Jake is a small business owner of Macho Doors,a manufacturer and installer of garage doors.His business has earned the reputation as being reliable,trustworthy,and one that makes high quality,long-lasting doors.However,with rising gasoline and wood prices,Jake is finding it hard to maintain the existing quality standards.If he continues with the existing quality standard,his profit margins will go down and he will not be able to hike his employees' salaries; if he inserts panels of lower quality wood the reputation of his business will be lost.These are typically _____ legitimacy building features.
A) product-based
B) capital-based
C) people-based
D) industry-based

Question

Quizplus · Accepted Answer

The legitimacy building features in this scenario are based on the quality of the product, which is the garage doors produced by Macho Doors. The reputation of the business is built on its ability to produce high quality and long-lasting doors. Therefore, any compromise on the quality of the product will put the legitimacy of the business in jeopardy. This makes it a product-based legitimacy building feature. The other options, such as capital-based, people-based, or industry-based legitimacy building features, are not relevant in this context.

Jake Is a Small Business Owner of Macho Doors,a Manufacturer