Question

Make Predictions What action might a company take if profits started to fall after having

added a number of new workers? Explain your answers.
Type your answer here.

Answer 1

A company may take actions such as reducing costs, improving efficiency, or reevaluating hiring decisions if profits fall after adding new workers.

Step-by-step explanation:

Action a Company Might Take If Profits Fall After Adding New Workers

If a company's profits start to fall after hiring new workers, there are several actions the company may take:

1. Reduce Costs: The company may look for ways to cut costs, such as streamlining operations, reducing spending on non-essential items, or renegotiating contracts with suppliers.
2. Improve Efficiency: The company may focus on improving productivity and efficiency, perhaps by providing additional training to employees, implementing more effective processes, or investing in technology.
3. Reevaluate Hiring Decisions: The company may reevaluate the decision to hire new workers and consider whether they were necessary or if there were other alternatives to address the company's needs.

These actions can help the company stabilize or increase profits by addressing the underlying factors contributing to the decline.

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