Benchmarking Refers To

question 50

Multiple Choice

Benchmarking refers to:

• A) identifying employees with promotion potential
• B) identifying performance differences with competing firms
• C) the process of identifying the best practice of a firm in a given area and comparing your practices to theirs
• D) the process of establishing performance standards through HRP

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Definitions:

Normal Profit

The minimum level of profit needed for a company to remain competitive in the market, covering its opportunity costs.

Entrepreneur's Potential Earnings

The hypothetical income an entrepreneur could earn, considering the risks and opportunities associated with starting and running a business.

Annual Lease

A contract or agreement stipulating the rental terms of a property for one year, often specifying the rent amount, payment schedules, and other conditions.

Minimum Efficient Scale

The smallest level of production at which long-term average total costs are minimized.