Confronted with agency problems,which of the following is not one of the challenges for principals?

Question

Quizplus · Accepted Answer

All of these choices are challenges for principals when confronted with agency problems. They need to shape the behavior of agents, reduce information asymmetry between agents and principals, develop mechanisms for removing agents who do not act in accordance with the goals of principals, and remove agents who mislead principals to ensure that their interests are aligned with those of the principals. Failure to address these challenges can result in agents pursuing their own interests rather than those of the principals, which can lead to suboptimal outcomes for the organization.

Confronted with Agency Problems,which of the Following Is Not One