Liberalization has changed the way organizations are working. To be competitive, organizations have taken recourse to reduce the cost of production which is undertaken by the reduction in overhead costs. This has led to both positive and negative outcomes. The article takes the help of literature from all over to examine the effects of downsizing especially on the survivors and discusses the strategies for their successful handling. At the end it tries to develop a model mentioning the effect of downsizing on survivors and strategies to handle them.
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