What Happens When the Process by Which Governance Develops Exhibits

question 5

Multiple Choice

What happens when the process by which governance develops exhibits path dependence?

• A)Governance arrangements split decision rights and controls between two related firms
• B)Governance arrangements are optimal
• C)Past circumstances could exclude certain possible governance arrangements in the future
• D)The firm will split into two entities to reduce the governance issues created
• E)The governance will form effectively

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Definitions:

Diseases

Medical conditions characterized by a dysfunction of the body or mind, often resulting in symptoms and impacting an individual's health.

Misalignment

A condition where parts of a structure or system are not properly aligned or positioned.

Different Directions

Deviating paths or courses of action, indicating variation or diversity in approaches or objectives.

Elongated Eyeball

A condition where the eyeball grows longer than usual from front to back, often leading to myopia or nearsightedness.