Firms use hostages
A)to force employees to work.
B)to encourage good behavior.
C)to get employees to work for less money.
D)None of the above.

Question

Quizplus · Accepted Answer

In the context of business and negotiations, "hostages" refer to mechanisms or assets held by one party to ensure the other party fulfills their obligations or behaves in a desired manner. This does not involve actual people being held hostage, but rather contractual or structural commitments that encourage good behavior, such as performance bonds, escrow accounts, or other forms of collateral.

Firms Use Hostages