Effective Signals

question 270

Multiple Choice

Effective signals

• A) convey useful information from informed parties to uninformed parties.
• B) impose little or no cost on the signaler.
• C) cannot be conveyed accurately when there is an information asymmetry.
• D) can be used by employers to alleviate the moral hazard problem in the workplace.

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Definitions:

Organizational Change

Organizational change involves the process through which companies modify major components of their operations, structures, or strategies to address internal or external opportunities or challenges.

Customer Feedback

Information coming directly from customers about the satisfaction or dissatisfaction they feel with a product or a service, often used for improvement and adjustments.

Offshoring

The practice of relocating company operations or functions to another country to reduce costs or access skilled labor.

Multinational Corporation

A company that operates in multiple countries, managing production or delivering services in more than one country.