Question

Which of the following choices accurately explains instances where managers only look to obtain satisfactory returns?

a) Seeking Maxiμm Profit.
b) Pursuing Strategic Success.
c) Adopting a Satisficing Strategy.
d) Embracing Risk Aversion.

Answer 1

The correct choice that accurately explains instances where managers only look to obtain satisfactory returns is adopting a satisficing strategy. The correct option is: c) Adopting a Satisficing Strategy.

Step-by-step explanation:

The correct choice that accurately explains instances where managers only look to obtain satisfactory returns is c) Adopting a Satisficing Strategy.

A satisficing strategy is when managers make decisions that are good enough to achieve a satisfactory outcome, rather than trying to maximize profits or pursue strategic success. It involves finding a solution that meets the minimum criteria or expectations set by the manager, rather than aiming for the best possible outcome.

For example, a manager may choose to invest in a project that is expected to generate a moderate level of return, rather than taking on higher risks or investing in projects with uncertain outcomes in pursuit of maximum profit or strategic success.