Why Might a Large Firm Actually Be at an Advantage

question 19

Multiple Choice

Why might a large firm actually be at an advantage over a smaller firm with respect to labor?

• A)Large generally pay a compensating differential to attract workers
• B)Worker turnover is generally lower
• C)Large firms enjoy better scale economies when negotiating with health insurance companies for health benefits
• D)Large firms are generally less attractive to qualified,upward mobile workers
• E)Large firms often have to draw workers from a greater distance to fill their ranks

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Definitions:

Conditional

Dependent on certain conditions or requirements being met before full effect or enforcement.

Partial Performance

An exception to the statute of frauds in which the performance of portions of an unwritten agreement by one or both parties can constitute proof that an oral contract exists between the parties.

Significant Performance

A legal concept in contract law indicating that a party has fulfilled enough of its contractual obligations to warrant payment.

Express Conditions

Clearly stated stipulations in a contract that must be met for contractual obligations to be performed or for certain outcomes to take place.