ECO 550 Strayer Managerial Economics Paper
Business Finance
Warren Buffett Identifies What Went Wrong at Wells Fargo — The Motley Fool
This week we look at the principle-agent problem and what when wrong at Wells Fargo. What about the incentive system resulted in massive creation of fake accounts by the retail operation and why did it only get worse from there? As you dig into this remember Froeb’s rule from Chapter 1″Avoid the temptation to think about the problem from the employee’s point of view…{and ask} how does the organization give employees enough information to make good decisions and the incentives to do so?”
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