Having well-known or well-regarded owners,employees,supporters,or spokespeople primarily increases a firm's _____ legitimacy.
A) cost-based
B) organization-based
C) people-based
D) competition-based

Question

Quizplus · Accepted Answer

People-based legitimacy refers to the reputation and credibility of the people associated with a firm, such as owners, employees, supporters, or spokespeople. Thus, having well-known or well-regarded individuals in these roles can increase a firm's people-based legitimacy. Cost-based legitimacy is based on a firm's efficiency and profitability, organization-based legitimacy is based on its internal structure and governance, and competition-based legitimacy is based on its ability to compete in the marketplace.

Having Well-Known or Well-Regarded Owners,employees,supporters,or Spokespeople Primarily Increases a Firm's