A financial consulting company is opening a new office in a foreign country. It is leasing the space and renting furniture until it is established in the location. When considering its foreign physical asset risk, which of the following decisions is in the best interest of the company? A.Risk avoidance, choosing not to move forward because of the high risk. B.Risk reduction, implementing new strategies to address its risk. C.Risk transfer, purchasing insurance to offset the risk. D.Risk retention, choosing to move forward and accept the low risk.

A financial consulting company is opening a new office in a foreign country. It is leasing the space and renting furniture until it is established in the location. When considering its foreign physical asset risk, which of the following decisions is in the best interest of the company? A.Risk avoidance, choosing not to move forward because of the high risk. B.Risk reduction, implementing new strategies to address its risk. C.Risk transfer, purchasing insurance to offset the risk. D.Risk retention, choosing to move forward and accept the low risk.

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter9: Decision Making Under Uncertainty

Section: Chapter Questions

Problem 30P

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