Which of the following statements is true about small firms?
A) They face difficulties in monitoring employees.
B) Rewarding employees is much more difficult for them.
C) They tend to be more entrepreneurial.
D) They are likely to have lower rates of new product success.

Question

Quizplus · Accepted Answer

Small firms typically have fewer levels of hierarchy and less bureaucratic procedures, allowing them to be more agile and adaptable to changes in the market. This often results in a more entrepreneurial culture within the organization. While small firms may face challenges in monitoring and rewarding employees, these factors are not necessarily more difficult for them than for larger firms. Additionally, small firms may have higher rates of new product success since they can be more innovative and nimble in exploring and implementing new ideas.

Which of the Following Statements Is True About Small Firms