Relative performance is best described as which of the following??
A)The excess of a firm's revenue over its costs
B)How a firm performs based on a comparison to another firm in its peer set within an industry
C)The average compensation of employees compared to the average at other firms
D)The percentage of output attributed to fixed versus variable costs
E)How a firm compares in number employees to another frim in its peer set within an industry

Question

Quizplus · Accepted Answer

Relative performance refers to how a firm performs compared to another firm in its peer set within an industry. It helps to understand the firm's position in the market and enables managers to make strategic decisions. Other options are not accurate descriptions of relative performance.

Relative Performance Is Best Described as Which of the Following