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Two Basic Tools That Can Be Used to Reduce the Consequences

question 198

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Two basic tools that can be used to reduce the consequences of managers making self-serving decisions include offering managers stock options and offering managers restricted stock.


Definitions:

Cohesion

The degree to which members of a group are bonded together, resulting in a sense of unity or teamwork.

Group Cohesion

The extent to which members of a group stick together and remain united in the pursuit of common goals and objectives.

Conflict

A situation or process in which individuals or groups perceive opposition in their needs, interests, or concerns, leading to tension or disagreement.

Groups

A collection of individuals who come together to achieve a common goal or share common interests, and whose interactions are guided by a set of norms and roles.

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