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What is the difference between the mechanistic model and the organic model of organizational structure?
Cost-Minimizing
A strategy or approach aimed at reducing expenses to the lowest possible level while achieving the desired output.
Price of Capital
The cost of using capital for production, often measured by the interest rate on borrowed funds or the rate of return required on investment.
Price of Labor
The wages or salary paid to workers for their services, often determined by supply and demand in the labor market.
Least-Cost Rule
A principle suggesting that the most efficient way to achieve a desired level of output is by minimizing the cost of input resources.
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