The example of Enron shows that
A)selection of people is the key to organizational success or failure.
B)large incentives play an important role in motivating people within a corporation.
C)the success of a business is possible in a regulatory environment.
D)organizational structure is extremely important in business success.

Question

Quizplus · Accepted Answer

The example of Enron highlights the importance of organizational structure in determining the success or failure of a business. Enron had a complex organizational structure with many subsidiaries and off-balance-sheet transactions, which ultimately contributed to their downfall. Their unethical practices also highlight the importance of having a strong ethical culture within the organization. While selection of people and incentives are important, they are not the main lessons to be learned from the Enron case.

The Example of Enron Shows That