A Company That Wants to Be Successful Needs to Know

question 27

Multiple Choice

A company that wants to be successful needs to know

• A)what it wants to accomplish.
• B)how it is going to achieve it.
• C)both what it wants to accomplish and how it is going to achieve it.
• D)neither what it wants to accomplish nor how it is going to achieve it.

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Definitions:

Anchoring Effect

A cognitive bias where an individual's decisions are influenced by a particular reference point or "anchor," sometimes leading to irrational decision-making.

Behavioral Economists

Specialists in an area of economics that combines insights from psychological research with economic theory to better understand decision-making processes.

Large Risks

Exposures to significant potential losses or gains, often requiring careful assessment and management in decision-making processes.

Small Risks

Risks that have a minor potential impact or a very low probability of occurring.