The High Failure Rate Among New Ventures Is Due in Part

question 34

Multiple Choice

The high failure rate among new ventures is due in part to the liability of newness, which refers to the fact that new companies often falter because:

• A) they are underfunded and the founder's of the firms don't move quickly enough to put together boards of directors and boards of advisors that can provide them direction and advice
• B) they underestimate the complexities involved with starting a new business and the firm lacks a "track record" with outside buyers and sellers
• C) the people who start the firms can't adjust quickly enough to their new roles and the firm lacks a "track record" with outside buyers and sellers
• D) the people who start the firms can't adjust quickly enough to their new roles and they are underfunded
• E) they underestimate the complexities involved with starting a new business and they don't move quickly enough to establish business partnerships

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Definitions:

Preretirement Program

A structured set of activities and planning processes intended to prepare individuals for retirement, often including financial planning and lifestyle adjustments.

Retirement Leave

A period of absence from work granted to employees as they transition into retirement, sometimes including benefits.

Family-friendly Benefits

Employee benefits designed to support employees' needs regarding their family responsibilities, such as flexible working hours, childcare services, or parental leave policies.

Employee Participation

The involvement of workers in the decision-making process within an organization, often leading to increased job satisfaction and productivity.