Having Mutually Agreed to the Negotiation Terms Put Forth by Each

question 53

Multiple Choice

Having mutually agreed to the negotiation terms put forth by each other,the negotiators of two firms cut a deal.However,there is always the risk associated with the willingness of the other party to honor its terms and live up to its contractual obligations.What risk is this known as?

• A) operational risk
• B) contractual risk
• C) financial risk
• D) company risk

---

Definitions:

Low-hostility Situations

Scenarios characterized by minimal antagonism or aggression, where parties involved are more conducive to cooperation and peaceful conflict resolution.

Formal Intervention Methods

Structured procedures or strategies employed by a third party to help resolve conflicts or disputes.

Set of Rules

A collection of guidelines or principles designed to govern behavior or procedures.

Advisory ADR

Alternative Dispute Resolution methods where an adviser or neutral third party provides opinions or advice but does not have the authority to impose a decision.