Question

One major role of firms is to manage risk. Consumers do not want to pay for products of unknown quality or where the delivery date is questionable. Managers also worry about unexpected changes in supplies or markets. Strategic management seeks to adapt to and benefit from change. For strategists, this ________ is both a challenge and an opportunity.

a. resource scarcity
b. uncertainly
c. stability

Answer 1

Answer:

uncertainty                

Explanation:

Uncertainty basically means an occurrence is lacking in assurance or certainty. Uncertainty in accounting refers to the inability to predict outcomes or results, because there is a lack of knowledge or foundations from which to create some assumptions.

The concept is often commonly used by the financial reporting, particularly given that there are many things outside the influence of a business that can significantly affect its activities. Because financial choice taking during times of uncertainty is much harder, many business owners avoid making one to avoid creating issues.