Discuss the Four Sources of Bias That Can Adversely Affect

question 35

Essay

Discuss the four sources of bias that can adversely affect the way managers make decisions.

Recognize the core features of the Global Leadership and Organizational Behavior Effectiveness (GLOBE) model.

Describe the Leader-Member Exchange (LMX) model, including its phases and impact on employee/employer relationships.

Understand the expected rates of return for various stages of venture investments.

Know the impact of required rates of return on ownership percentage and venture capital deal structuring.

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Definitions:

Raise Capital

The process of securing funds or resources necessary for business operations, expansion, or investment through various means such as issuing stock or obtaining loans.

Form Of Business Organization

The legal structure adopted by a business, such as sole proprietorship, partnership, corporation, or limited liability company (LLC).

Corporation

A legal entity owned by shareholders, with rights and responsibilities separate from those of its owners, and capable of engaging in transactions, owning assets, and being liable for debts.

Working Capital Management

The process of managing a company's short-term assets and liabilities to ensure it has sufficient liquidity to run its day-to-day operations.