Which of the following developments will cause an increase in the value created by a firm? Select
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Question:
"Which of the following developments will cause an increase in the value created by a firm? Select all that apply"
One of the correct Answer is : "Employees at the firm are willing to take a pay cut to work for the company" Reason/Explation Given: "This would decrease suppliers' willingness to sell a key input, creating more value overall"
My Qusetion : How does a pay cut affect the WTS of a supplier? Pay cut is an internal matter related to firm. It will help the firm to bring down the its cost but, how does it effect a decrease WTS?
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