The Main Advantage for an Employer in Setting Up an Employee

question 8

Multiple Choice

The main advantage for an employer in setting up an employee stock ownership plan is

• A) increased protection against union organizing attempts.
• B) reduction of financial risk for employees and consequent reduction in employee turnover rate.
• C) increased employee productivity.
• D) favorable tax treatment on earnings earmarked for use in the ESOP.

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Definitions:

Anita Roddick

Founder of The Body Shop, known for her ethical approach to business and pioneering the use of environmentally friendly and cruelty-free cosmetic products.

Risk Takers

Individuals or entities that are willing to engage in actions that entail a significant chance of loss or failure in anticipation of a potential gain.

Act Collectively

refers to the process of making decisions or actions as a group, emphasizing collaboration and shared responsibility.

Risk-taking Individual

A person who is willing to undertake actions that involve risk, with the potential for significant rewards or losses.