By Fully Utilizing Its Employees' Skills and Knowledge, Pelican Gadgets

question 66

Multiple Choice

By fully utilizing its employees' skills and knowledge, Pelican Gadgets is making more effective use of organizational resources than do its competitors. It is thus increasing ________.

• A) economies of scale
• B) brand loyalty
• C) compliance with regulations
• D) barriers to exit

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Definitions:

Invisible Hand

A term coined by Adam Smith to describe the self-regulating nature of the marketplace, where individuals' pursuit of self-interest leads to the benefit of society at large.

Adam Smith

An 18th-century Scottish economist known as the father of modern economics, best remembered for his theory of the invisible hand.

Wealth Of Nations

A seminal book by Adam Smith, published in 1776, that discusses what builds nations’ wealth, emphasizing the importance of a free market economy.