GMATNinja wrote:
Quote:
... yet recent research has shown that the actual economic effects of downsizing are often negative for firms. Thus, organization theory cannot adequately explain downsizing; non-economic factors must also be considered.
That's nice and clear: the author is saying that firms' traditional claim -- that downsizing is economically rational -- isn't really the whole story, and that we need to consider non-economic factors. This seems like a really, really key part of the passage.
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