Planning Is Advantageous to an Organization, Particularly in the Creation

question 80

Multiple Choice

Planning is advantageous to an organization, particularly in the creation of new ventures. According to an often-cited survey, as many as 65 percent of all newly started businesses are not around to celebrate a fifth anniversary. This high failure rate seems primarily a consequence of inadequate planning. Successful businesses have an established plan, a formal statement that outlines the objectives the organization is attempting to achieve. Planning does not eliminate risk, of course, but it does help managers identify and deal with organizational problems before they cause havoc in a business. Which of the following best expresses the main point of this paragraph?

• A) Adequate planning eliminates business risk.
• B) All ventures have a 65 percent chance of failure.
• C) Existing businesses do not derive as much value from planning compared to new ventures.
• D) Effective planning helps managers identify and plan for all organizational problems.
• E) Companies that plan well appear to have a better chance at success.

Analyze the dynamics of bargaining situations and the impact of external offers on negotiation leverage.

Comprehend the role of threats and their credibility in negotiation processes.

Identify how changes in the value of alternatives (disagreement value) affect bargaining positions.

Grasp the concept of Nash equilibrium and its application to bargaining outcomes.

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Definitions:

Anticipates Problems

The ability to foresee potential issues or obstacles and plan strategies to avoid or mitigate them effectively.

Opportunities

Situations or conditions that present a path to gain or achieve something beneficial.

Effectively

In a manner that achieves a desired result efficiently and successfully.

Organizational Pressure

The internal or external forces that influence the behaviors and decisions of individuals within a company.