Asked by Frasier Williamson on May 14, 2024
Verified
The relationship between quality of HRM activities and market value:
A) fluctuates with the economy
B) has not been proven
C) indicates firms with better HR practices have greater increases in value per employee
D) depends upon the relationship among the members of the HR triad
E) none of the above
HRM Activities
Tasks and functions associated with Human Resource Management, focusing on managing people within organizations in areas such as recruitment, training, and compliance with labor laws.
Market Value
The estimated worth of a product, service, or company within the marketplace, determined by factors like supply, demand, and competition.
HR Practices
Strategies, methods, and processes implemented by the Human Resources department to manage and develop the workforce efficiently.
- Understand the implications of HRM activities on market value and shareholder interests.
Verified Answer
GF
Grace FeldmanMay 19, 2024
Final Answer :
C
Explanation :
Research has shown that firms with better HR practices tend to have greater increases in market value per employee. This suggests a positive relationship between quality of HRM activities and market value.
Learning Objectives
- Understand the implications of HRM activities on market value and shareholder interests.