The major difference between downsizing and rightsizing is that:
A) rightsizing reduces the size and scope of a business, while downsizing reorganizes the business.
B) more workers are likely to lose their jobs during rightsizing than during downsizing.
C) downsizing reduces the size and scope of a business, while rightsizing reorganizes the business.
D) rightsizing attempts to improve financial performance, while downsizing attempts to increase efficiency.

Question

Quizplus · Accepted Answer

Downsizing and rightsizing both aim to reduce costs and improve efficiency, but they differ in their approach. Downsizing refers to the reduction of the size and scope of a business, often through layoffs and cutbacks. Rightsizing, on the other hand, reorganizes the business to optimize performance without necessarily reducing the overall size of the organization. Therefore, choice C is the best option because it accurately represents the difference between these two strategies.

The Major Difference Between Downsizing and Rightsizing Is That