Political maneuvering by managers to influence resource and capital allocation can result in firm inefficiencies in a related-diversified firm.These costs are called:
A) Fixed costs.
B) Influence costs.
C) Sunk costs.
D) Opportunity costs.

Question

Quizplus · Accepted Answer

Influence costs are the additional costs incurred by related diversified firms due to political maneuvering.

Political Maneuvering by Managers to Influence Resource and Capital Allocation