Potential Conflicts of Interest Between Shareholders and Managers May Be

question 12

Multiple Choice

Potential conflicts of interest between shareholders and managers may be overcome if managers are given incentives which cause them to behave as if they were

• A)creditors.
• B)owners.
• C)debtors.
• D)vendors.

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Definitions:

Two-Factor Theory

A psychological theory proposing that employee motivation is influenced by hygiene factors that can prevent dissatisfaction and motivators that can create satisfaction.

Job Content

The actual tasks, responsibilities, and activities that constitute one's employment, defining their role and expectations within an organization.

Job Satisfaction

The level of contentment employees feel about their work, which can affect their performance and motivation.

ERG Theory

ERG Theory is a motivational theory developed by Clayton P. Alderfer that categorizes human needs into three basic levels: Existence, Relatedness, and Growth, suggesting that these needs can be pursued simultaneously.