The management of an organization is less able to afford a strike when the:
A)product is non-perishable in nature.
B)organization is capital intensive.
C)replacement workers are scarce.
D)company has more than one production unit.
E)demand for its product is strong.

Question

Quizplus · Accepted Answer

The management of an organization is less able to afford a strike when the demand for its product is strong because that is when more revenue and profits are lost. A strike by certain kinds of employees (farm workers at harvest time, truckers transporting perishable food, airline employees at peak travel periods)will result in permanent losses of revenue, thus increasing the cost of the strike to management.

The Management of an Organization Is Less Able to Afford