The Problem-Solving Argument for Diversity Suggests That More Diverse Organizations

question 2

Multiple Choice

The problem-solving argument for diversity suggests that more diverse organizations will be more competitive because they tend to:

• A) easily understand different markets.
• B) have a larger pool of unique information.
• C) be better able to respond to changes in its environment.
• D) become known among women and minorities as good places to work.
• E) have higher levels of productivity and lower levels of turnover and absenteeism.

---

Definitions:

Utility

A measure of satisfaction, usefulness, or value that a consumer derives from consuming a good or service.

Decreasing Rate

A situation or condition in which the rate at which something occurs or is processed diminishes over time.

Expected Utility

A theory in economics that calculates the utility expected from different choices, aiming to predict an individual's preferences under uncertainty.

Risk-neutral

Refers to being indifferent to risk, showing no preference toward either risk-taking or risk-avoidance behavior.