Question

Firms that pursue cost advantage will implement different structures and systems distinguishable from those pursuing differentiation advantages. Among the following features, which is not typically found among firms pursuing cost advantage: a. Employee remuneration based upon individual productivity b. Frequent performance reporting c. High levels of outsourcing d. Low levels of job specialization

Answer 1

Answer:

d. Low levels of job specialization

Explanation:

Firms that pursue cost advantage have effective & efficient management techniques.

Employee remuneration based upon individual productivity , Frequent performance reporting , High levels of outsourcing : are all important for proper management of firms to achieve cost advantage.

However, proper effective & efficient management cant be achieved without proper division of labour & specialisation of job. So, firms pursuing cost advantage have all features in their systems except 'Low levels of job specialization'