Disadvantages of the Virtual Network Approach Include

question 30

Multiple Choice

Disadvantages of the virtual network approach include:

• A) a lack of hands-on control.
• B) the possibility of losing an important part of the organization.
• C) weakened employee loyalty.
• D) all of these.
• E) a lack of hands-on control and weakened employee loyalty.

---

Definitions:

Profit-Maximizing

A strategy or process aimed at increasing a firm's profits to the highest possible level given its production and market constraints.

Monopolistically Competitive

A market structure characterized by many firms offering products that are similar but not identical, allowing for some degree of market power.

Monopolistic Firm

A company that possesses unique characteristics in its products or services, giving it significant control over its market prices.

Cournot Duopoly

An economic model that describes an industry structure in which two firms compete on output levels and choose quantities independently to maximize profit.