Final answer:
The person who hires and delegates authority to an agent is commonly referred to as the principal. This is a formal relationship where the principal grants the agent the right to act and make decisions on their behalf.
Step-by-step explanation:
The individual or entity that hires and gives authority to an agent is known as the principal. In the context of a business environment, a principal appoints an agent to perform tasks or make decisions on their behalf. This relationship is often formalized through a legal document which clarifies the scope of authority and the duties of the agent. For example, in talent representation, an agent like Alaine Alldaffer would have the authority to represent actors and pitch them to casting directors, under the guidance and direction of the principal. Similarly, in governmental or organizational structures, executives or directors may have authorized representatives who execute agreements and carry out functions as stipulated by the principal's directives.