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The Concepts of Flexibility and Real Options Are Closely Related

question 30

True/False

The concepts of flexibility and real options are closely related to the importance of history and path dependence that are potential sources of sustained competitive advantage.


Definitions:

Commitment probability

The likelihood that an individual will remain dedicated to a task, goal, or relationship over time.

Variant of authority decisions

Different forms or approaches to making decisions based on established power or authority within an organization.

Vroom, Yetton, and Jago

A model of decision-making that focuses on leadership and outlines how leaders can evaluate the situation and determine the level of involvement from subordinates in the decision-making process.

Manager sharing the problem

A leadership approach where managers involve their team in problem-solving processes to encourage ownership and diverse input.

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