Several senior managers recently left Bass Automobile Inc. and went to work at Unicorn Autos Inc., a rival company. What does this imply?
A) The resource stock of Bass Automobiles Inc. increased.
B) Bass Automobiles Inc. faced resource leakage.
C) The resource flow into Unicorn Autos Inc. was reduced.
D) Bass Automobiles Inc.'s tangible assets decreased.

Question

Quizplus · Accepted Answer

Resource leakage might occur through employee turnover, especially if key employees leave. Significant resource leakage can erode a firm's competitive advantage.

Several Senior Managers Recently Left Bass Automobile Inc