With This Risk Strategy, an Organization Can Shift the Consequence

question 76

Multiple Choice

With this risk strategy, an organization can shift the consequence of a risk and responsibility for its management to a third party that is internal or external to the organization (outsourcing) , or it can move it to another department within the same company.

• A) Risk avoidance
• B) Risk acceptance
• C) Risk transference
• D) Risk mitigation

Understand the role and impact of barriers to entry and exit in competitive industries.

Explain how market prices adjust to shocks in supply and demand in competitive industries.

Appreciate the implications of the indifference principle on labor markets and asset mobility.

Comprehend the reasons behind the profitability and lack thereof in competitive and monopolistic markets.

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Definitions:

Citable

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Secondary Authority

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Legal Encyclopedia

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Breach-of-Warranty

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