Organizational Change Is Associated with Both Direct and Indirect Costs

question 19

Multiple Choice

Organizational change is associated with both direct and indirect costs for which leaders must be prepared. Which of the following are examples of indirect costs associated with conflict (select all that apply) ?

• A) Loss of team morale
• B) Loss of reputation of an organization or its professionals
• C) Disability or stress claims
• D) Decreased management productivity related to time spent resolving conflict
• E) Loss of motivation for organizational change

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Definitions:

Monopolistic Competition

An arrangement in the marketplace where several businesses trade in goods that are akin but not completely identical, affording them limited market authority.

Economic Profits

Profits calculated by subtracting both explicit and implicit costs from total revenues, beyond just accounting profits.

Average Cost

Average cost is the total cost of production divided by the number of goods produced, indicating the cost per unit of output.

Purely Competitive Firm

A firm that operates in a purely competitive market, characterized by many competitors, homogeneous products, and free market entry and exit.