According to Boyd et al., _____ occurs when managers threaten the survival of their firms by failing to act because they perceive the environment as stable when it is (objectively) turbulent.
A) A type 1 error
B) A type 2 error
C) A type 3 error
D) A type 4 error

Question

Quizplus · Accepted Answer

A type 2 error occurs when managers fail to act due to perceiving the environment as stable when it is actually turbulent, thus threatening the firm's survival.

According to Boyd Et Al