Markets - Promotion Policy - Turnover Rate
5 important questions on Markets - Promotion Policy - Turnover Rate
In most PSF industries, firms have a high target rate of turnover (high turnover rate), what does this mean?
What is a benefit of having a high turnover rate for the large PSFs/consulting firms? List the 2 (one for the firm, one for the young consultants)
- Increases the surplus value (billing multiple) for firm's partners (and shareholders) since the juniors do not have to be 'repaid' in the form of a promotion.
- 'Making it' in these firms helps them maintain a prestigious reputation.
What, for the juniors, compensates for the poor promotion opportunities?
- Higher grades + faster learning
- Never study anything twice
- 100% sure, 100% understanding
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Why is working for a prestigious PSF seen as a post-graduate degree?
How do these alumni's become a source of future business for the PSF?
The question on the page originate from the summary of the following study material:
- A unique study and practice tool
- Never study anything twice again
- Get the grades you hope for
- 100% sure, 100% understanding
