Because Early-Stage Financing Is Almost Always a Problem for Those

question 252

Multiple Choice

Because early-stage financing is almost always a problem for those starting a new business, ________ is a way to gather an online community of supporters to financially rally around a specific project that is unlikely to get resources from traditional sources.

• A) crowdfunding
• B) open sourcing
• C) venture capital
• D) online banking
• E) crowdsourcing

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Definitions:

Law of Effect

A principle of behavior psychology suggesting that actions which produce rewards tend to be repeated, while actions that produce discomfort are avoided.

Positive Outcomes

Favorable, beneficial, or desirable results from actions, decisions, or situations.

Fundamental Attribution Error

Overestimates internal factors and underestimates external factors as influences on someone’s behavior.

Situational Factors

External conditions or events that influence an individual's behavior or outcomes, often beyond their control.