Which of the Following Statements Is Least True Regarding the Accumulation

question 4

Multiple Choice

Which of the following statements is least true regarding the accumulation of power?

• A)The accumulation of power is helpful when there are high agency costs in coordinating among managers and lower-level workers
• B)The accumulation of power is helpful when the firm's environment is relatively stable
• C)The accumulation of power is harmful when there are high agency costs in coordinating among levels of upper management
• D)The accumulation of power is harmful when the firm's environment is relatively unstable
• E)The major purpose of corporate governance is not to reign in the accumulation of power by CEOs

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Definitions:

Motivation-Hygiene Theory

A theory proposed by Frederick Herzberg that suggests job satisfaction and dissatisfaction arise from two different sets of factors—satisfaction comes from motivating factors and dissatisfaction from hygiene factors.

Motivators

Factors that drive individuals to perform actions or pursue goals, often related to fulfilling needs or achieving aspirations.

Physiological Needs

Fundamental physical requirements for human survival, such as food, water, shelter, and sleep, considered as the base of Maslow's hierarchy of needs.

Maslow's Hierarchy

A theory in psychology proposed by Abraham Maslow in his 1943 paper, detailing a five-tier model of human needs, from basic (physiological) to advanced (self-actualization).