The willingness to undertake risk with the opportunity of gaining an increased payoff for the organisation is known as:
A) problem definition
B) opportunity analysis
C) risk propensity
D) bounded rationality
E) None of these choices.

Question

Quizplus · Accepted Answer

Risk propensity refers to the willingness of an individual or organization to take risks in order to achieve a higher payoff. This can involve investing in new ventures, pursuing growth opportunities, or making strategic decisions that involve some degree of uncertainty. While risk taking always carries the potential for loss or failure, organizations that display a high risk propensity are often more innovative, creative, and competitive than those that are overly cautious or risk averse.

The Willingness to Undertake Risk with the Opportunity of Gaining