Perceptions of Fairness and Equity Play a Key Role in Understanding

question 62

Multiple Choice

Perceptions of fairness and equity play a key role in understanding how survivors react to a downsizing.What type of justice is associated with the procedures or rules used to determine which employees will be downsized?

• A)procedural
• B)interactional
• C)distributive
• D)manipulative

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Definitions:

Rights Offering

A method by which companies raise capital, by giving existing shareholders the right to buy new shares at a discount before they are offered to the public.

Stock Price

The current market price at which a share of a company is bought or sold, reflecting the market's perception of its value at any given time.

Existing Stockholders

Individuals or entities that currently own shares in a company.

Subscription Price

The cost at which existing shareholders can buy additional shares of a company, often at a discount.