Managers Sometimes Do Not Act in Ways That Are in the Best

question 20

Multiple Choice

Managers sometimes do not act in ways that are in the best interests of the overall company. What is the term for this?

• A) Strategic approach
• B) Suboptimization
• C) Optimal motivation
• D) Responsibility accounting

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Definitions:

Economics of Scale

Benefits in cost efficiency that organizations achieve through their operation size, leading to reductions in unit cost as the scale grows.

Diffusion

The process by which an innovation, idea, or trend spreads within a population or from one society to another.

Innovation

The act of transforming a concept or innovation into a product or service that generates value or that consumers are willing to purchase.

Imitation

The action of using someone or something as a model and duplicating their behaviors, strategies, or products.