Question

What do economics mean when they describe management as a “techology” and why might management quality vary across firms and sectors?

Answer 1

As per economics management when it is described as technology it means that the firm should improve their productivity and create competitive advantage in the market by using technological fundamental. So that they can redefine their management style.

Management quality varies from firm to firm and sector to sector because not all firms have the same management techniques because not all firms will achieve the same quality standards and they won't follow same technique of management style. So different firms have different styles which makes the management quality to vary. The overall output is same that the product should achieve the required quality but the achieving method need not be same in all firms across all sector.