Successful Organizations Must Be Forward-Looking, Which Includes the Ability to

question 74

Multiple Choice

Successful organizations must be forward-looking, which includes the ability to

• A) develop strategies based on those that were successful in the past.
• B) be backward-looking, examining the past carefully to learn from mistakes.
• C) anticipate future events and respond quickly and effectively.
• D) hire the most culturally diverse team possible in order to generate the best new ideas.
• E) involve all stakeholders of the organization when defining its business mission.

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Definitions:

Risk-Averse

A characteristic of investors who prefer lower risk investments, opting for certainty and stability in their investment choices.

Variance

A measure of the dispersion of a set of data points around their mean value, representing the average of the squared differences from the mean.

Reward-To-Volatility Ratio

A measure used in finance to assess the return of an investment relative to its risk, with higher ratios indicating better risk-adjusted returns.

Standard Deviation

A statistical measure of the dispersion or variability of a set of data points, often used in finance to gauge the volatility of an investment.