Choosing Performance Measures
Jen and Barry opened an ice cream shop in Eugene.It was a big success,so they decide to open a ice cream shops in many cities including Portland.They hire Dante to manage the shop in Portland.Jen and Barry are considering two different sets of performance measures for Dante.The first set would grade Dante based on the cleanliness of the restaurant and customer service.The second set would use accounting numbers including the profit of the shop in Portland.
What are the advantages and disadvantages of each set of performance measures?
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