Rewards strategies that work in the ________ term while the firm is niche-focused may be forced to change in the ________ term.

The correct choice highlights the dynamics of reward strategies in relation to a firm's market focus and the timeline of business strategy. When a firm is niche-focused, its reward strategies are often designed to achieve immediate goals, such as capturing a specific market segment or addressing current demands. Thus, these strategies are effective in the short term.

However, as the market evolves or shifts, the competitive landscape may require the firm to adapt its approach to sustain growth and effectiveness. In the long term, the strategies that once offered competitive advantages may need to be reevaluated and changed to respond to new conditions, including broader market trends, changes in consumer preferences, and emerging competitors.

This perspective emphasizes the importance of having flexible reward systems that can adapt over time to align with both immediate objectives and long-term strategic goals.