INTRODUCTION TO ENTREPRENEURSHIP
DEFINITION OF ENTREPRENEURSHIP
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Expert who is analytical and risk-averse
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Gets in at the right time, exits at the time the business scales
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Has unique innovative ideas but is hard to manage
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None of the answers are correct
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Detailed explanation-1: -A person is said to be: risk averse (or risk avoiding)-if they would accept a certain payment (certainty equivalent) of less than $50 (for example, $40), rather than taking the gamble and possibly receiving nothing.
Detailed explanation-2: -reluctant to take risks; tending to avoid risks as much as possible: risk-averse entrepreneurs. of or noting a person who invests in stocks, bonds, etc., with lower risks and generally lower rates of return so as to minimize the possibility of financial loss: risk-averse investors who stick with government bonds.
Detailed explanation-3: -Risk aversion refers to the tendency of an economic agent to strictly prefer certainty to uncertainty. An economic agent exhibiting risk aversion is said to be risk averse. Formally, a risk averse agent strictly prefers the expected value of a gamble to the gamble itself.