An organization decided to increase its business by 80% and approach new different clients. This strategy is followed because previously this organization was depending with its sales on only one clie

The correct answer is C. Risk Taker. Aggressively expanding by 80% and diversifying away from a single client represents a high-risk, high-reward strategy-the hallmark of a risk taker. The previous single-client dependency was actually the risk-averse (concentrated) position. Taking bold, uncertain steps for potenti

Portfolio Risk Management

Question

An organization decided to increase its business by 80% and approach new different clients. This strategy is followed because previously this organization was depending with its sales on only one client. With this new approach, you can describe the organization as being

Options

APessimistic
BRisk Averse
CRisk Taker
DOptimistic

How the community answered

(20 responses)

A
5% (1)
B
15% (3)
C
75% (15)
D
5% (1)

Explanation

Aggressively expanding by 80% and diversifying away from a single client represents a high-risk, high-reward strategy-the hallmark of a risk taker. The previous single-client dependency was actually the risk-averse (concentrated) position. Taking bold, uncertain steps for potential large gains defines risk-taking behavior. Pessimistic describes negative outlook without action, Risk Averse describes avoiding uncertain situations, and Optimistic describes positive thinking but does not specifically characterize a risk strategy.

Topics

#Risk Management#Strategic Planning#Business Growth#Portfolio Strategy

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