99.9k views
2 votes
Entrepreneurs who mortgage their homes for the business and stake their reputation on the success of an unproven product demonstrate:

A) Risk-taking
B) Conservatism
C) Procrastination
D) Passivity

1 Answer

1 vote

Final answer:

Entrepreneurs investing in their ventures by mortgaging property and risking reputation are demonstrating risk-taking, highlighting their confidence and commitment to their business plan.

Step-by-step explanation:

Entrepreneurs who mortgage their homes and stake their reputation on the success of an unproven product demonstrate risk-taking. This behavior is characteristic of entrepreneurs who have confidence in their ventures despite the inherent uncertainties. By investing their personal finances, they show a commitment to their startup firm, which is often considered more than just an idea on paper. Such actions reflect the entrepreneur's belief in the potential of their business plan, which they often understand better than anyone else. If successful, these risk-takers can be rewarded with monetary success and contribute to the market with innovative or improved products.

User Asking
by
7.6k points