Which of the Following Is a Disadvantage of Comparing Managers

question 106

Multiple Choice

Which of the following is a disadvantage of comparing managers in different countries only on the basis of return on investment?

• A) The managers are not responsible for increasing the ROI of an organization.
• B) Managerial actions do not have a significant impact on firms' profitability.
• C) Return on investment is not a valid indicator of organizational profitability.
• D) Environmental factors also contribute to ROI of firms and these factors differ.

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Definitions:

Antitrust Law

Legal regulations designed to promote competition and prevent monopolistic practices by prohibiting unfair business practices and mergers that significantly reduce competition.

Exempt

Status or conditions that provide immunity or exception from a general rule, such as certain incomes being exempt from tax.

Regulatory Bodies

Organizations or agencies established by a government to enforce specific laws, regulate sectors, and ensure compliance with legal standards.

Price Discrimination

A selling strategy that charges customers different prices for the same product or service, not justified by differences in cost.