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yarga [219]
2 years ago
9

True or false: this result stems from both incumbent managers and outside bidders having perfect information.

Social Studies
1 answer:
natulia [17]2 years ago
8 0

This result stems from both incumbent managers and outside bidders having perfect information. - False

<h3>In China, in cases where the incumbent manager was the winning bidder, firm productivity tended to increase dramatically. When the outside bidders won, there was little productivity improvement. If incumbent managers were not generally more qualified, how can you explain this result?</h3>

The incumbent managers have the authority of holding office for a specific tenure. When outside bidders make a bid for holding office, then these bidders express their profit margins.

If they would get selected for managerial jobs, then their performances are not up to the mark.

Instead, incumbent managers generally have more experience and all information regarding offices and operations, then these managers have a higher probability of showing good performances.

Hence, these managers can perform very well even after being less qualified.

To learn more about bidding, refer

brainly.com/question/3148645

#SPJ4

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