A Manager Is Deciding Between Sourcing a Raw Material from an Agent

question 30

Multiple Choice

A manager is deciding between sourcing a raw material from an agent (fast and expensive option) and assigning an employee in the procurement department to buy it from the market (slow and low-price option) .This is an example of a decision made under a condition of _____.

• A) risk
• B) certainty
• C) synectics
• D) uncertainity
• E) optimization

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Definitions:

Regulation

Rules or directives made and maintained by an authority to control or manage activities, often to protect public interests.

Protect Competition

Measures and policies established to ensure fair competition within markets, preventing monopolies and fostering innovation and fairness.

Social Regulation

Regulations that aim to protect public welfare, including health and safety standards, environmental protections, and consumer rights.

No Free Lunch

Refers to the idea that one cannot get something for nothing; for every benefit or good received, a cost, either direct or indirect, is incurred.