Spot Markets Are an INEFFICIENT Way for the Firm to Purchase

question 146

Multiple Choice

Spot markets are an INEFFICIENT way for the firm to purchase inputs if:

• A) opportunism is a problem.
• B) suppliers engage in hold-up.
• C) profit sharing is used to compensate managers.
• D) opportunism is a problem and suppliers engage in hold-up.

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Definitions:

Overqualified

A term used to describe an individual whose education, experience, or skills exceed the requirements of a job position.

Job Analysis Information

Data gathered about a job’s duties, responsibilities, necessary skills, outcomes, and work environment, used for hiring and training.

Selection Criteria

The specific qualifications, experiences, skills, and attributes that employers look for in candidates during the hiring process.

Employment Interviews

Formal meetings between employers and job candidates used to assess the suitability of applicants for specific roles within an organization.