Workers and firms often enter into contracts that fix prices or wages, sometimes for years at a time. If the price level turns o
ut to be higher or lower than was expected when the contract was signed, one party to the contract will lose out. Briefly explain why, despite knowing that, workers and firms still sign long-term contracts.
There are five benefits to entering into a long term contract:
Established "order of business": Most jobs require a period for employee training and setting up SOP. In firms with long term contract employee turnover is not high and these people become well trained in the field and minimal time is wasted training new people too frequently
Higher investment return; most businesses need a start-up fee for buying the tools and offices that are needed. This fee for long time contracts will be a one-time fee for a long lived company. Money will be made in the long run to cover the initial investment
Better support for customer service: the longer a business is kept open the easier it is for the employees to understand that there are specifics about customers that can make their experience worth while
Stronger Relationships can be built with other business for collaborative advantages as the long term business will show that they are committed to the firm and the brand that they represent.
Better Protection from people around such as the auxiliary staff that have become familiar with the persons in the company. They will be more protective of the physical building as well as the people that they have become very familiar with.
Explanation: In online, a consumer is one who buys things just like in the real world. We represent ourselves through purchases we make online. Companies tend to tailer their advertising based on purchases made.
One of the main ways in which the Townshend Acts affected many colonists was that They required colonists to pay taxes on several household items, which the colonists greatly resented. These taxes helped lead to the American Revolution.
