Firms that adopt primarily a cost reduction emphasis perform better than firms that adopt primarily a revenue expansion emphasis.

Question

Quizplus · Accepted Answer

Research and empirical evidence suggest that firms need a balanced approach between cost reduction and revenue expansion to perform optimally. Focusing solely on cost reduction can limit growth potential and innovation, while focusing only on revenue expansion can lead to inefficiencies and increased risk.

Firms That Adopt Primarily a Cost Reduction Emphasis Perform Better