As firms grow,owner managers often need to hire functional specialists to handle the increased information-processing burden.

Question

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As firms grow, excessive demands may be placed on the owner-manager in order to obtain and process all of the information necessary to run the business. Chances are the owner will not be skilled in all specialties (e.g., accounting, engineering, production, and marketing). Thus, he or she will need to hire specialists in the various functional areas.

As Firms Grow,owner Managers Often Need to Hire Functional Specialists