Four factors help explain the extent to which employees and managers will be able to obtain a proportionately high level of the profits that they generate. Which is not one of these factors?

Correct option is D

Competitor bargaining power

Explanation:

Factors that help to explain the extent to which employees and managers will be able to obtain aproportionately high level of the profits that they generate are as follows:

• Employee bargaining power,

• Eemployee replacement cost,

• Employee exit costs, and

• Manager bargaining power

The answer is competitor bargaining power

Explanation:

Employee Bargaining power can be defined as the process of negotiation, administration, and enforcement of agreement by the representative of trade union and management of the organization. The main objective of collective bargaining is to prevent unilateral action by employers. It is the process of making rules that govern the work place. Such as substantive and procedural rules. Substantive rules has to do with financial issues, while procedural rules has to do with the process for reviewing of collective agreement, periodicity of meetings and method of dispute settlement .

Employees organized into a trade union are always able to obtain large wage concessions from their employers than they would as unorganized individuals. The collective bargaining is also of value to the management because it saves them the cost of negotiating with each worker and also simplifies the salary administration system, it also ensures that rules jointly made with the union are easily obeyed by the workers. The other factors is the employees replacement cost, and the employees exit cost.

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in terms of experimental research, mcdonald’s charging different prices in the two cities relates to