A firm is more likely to furnish salespeople with company-owned cars when the firm has centralized maintenance and storage facilities.

Question

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When a firm has centralized maintenance and storage facilities, it becomes more cost-effective and efficient for the company to provide salespeople with company-owned cars. This is because the firm can maintain and store the cars in a centralized location, reducing the need for individual sales representatives to manage their own vehicles, which can be time-consuming and costly. Additionally, the company can ensure that the cars are maintained and serviced regularly, which can prolong the lifespan of the vehicles and reduce repair costs over time. As a result, firms with centralized maintenance and storage facilities are more likely to provide company-owned cars to their salespeople.

A Firm Is More Likely to Furnish Salespeople with Company-Owned