A manager is more confident of his or her assessment of a situation if it involves risk rather than uncertainty.

Question

Quizplus · Accepted Answer

Risk refers to a situation where the possible outcomes and probabilities are known, while uncertainty refers to a situation where the outcomes and probabilities are unknown. In a risk situation, the manager can make a more confident assessment based on the available information, whereas in an uncertain situation, the manager may have to rely on intuition or guesswork.

A Manager Is More Confident of His or Her Assessment