What Is the Importance of Providing Instructions to Stakeholders During

question 34

Multiple Choice

What is the importance of providing instructions to stakeholders during a crisis?

• A)This shows a company's commitment to formulating a response as soon as it can.
• B)It prepares stakeholders for an impending excuse or justification.
• C)This helps stakeholders avoid any further physical or financial harm.
• D)It reduces the number of claims against the organization.
• E)It helps in developing a sample response for a similar future crisis.

---

Definitions:

Goodwill

An intangible asset that arises when a business is purchased for more than the fair value of its standalone assets and liabilities, often attributed to the company's brand, customer base, and reputation.

Escrow Settlement

A financial arrangement where a third party holds and regulates payment of the funds required for two parties involved in a given transaction, ensuring fair and secure dealings.

Due Diligence

The process of thoroughly investigating the accuracy of information before signing a franchise (or any other) agreement.

Fact Finding

The process of gathering information and data to understand a subject or resolve an issue comprehensively.