A Manager Wants to Invest in One of Three Start-Up

question 81

Multiple Choice

A manager wants to invest in one of three start-up companies.All three of the companies seem to have a good business plan.None of the companies has a track record.The manager is operating under which condition?

• A)uncertainty
• B)certainty
• C)low certainty
• D)risk

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Definitions:

Bicultural Audit

An assessment process that evaluates the integration, respect, and representation of two distinct cultures within an organization or community.

Due Diligence

The comprehensive appraisal of a business or investment opportunity to assess its value and uncover any potential liabilities or risks.

Attraction-Selection-Attrition (ASA) Theory

A theory suggesting that organizations attract and select individuals with similar personalities and lose those who are less similar, thereby becoming more homogeneous over time.

Artifacts

Physical objects created by human beings that have cultural or historical significance.