Non-competitive salaries, no incentives to provide quality work, only ONE client is gone after, they take any kind of work regardless of quality, client demeanor or deadline.
Project management is certainly favored over creative side of company, mostly due to owner not being a creative director or educated in that (which is unusual in creative agencies). Designers end up doing a large part of PM duties including client management, pricing, estimating and constant meetings and emails instead of brainstorming, researching, conception and producing files.