3.4.1 Corporate influences

Question 1

What are the 2 main ways of making decisions?

Answer 1

Evidence based:
+ Data reduces risk
Helps to compare
- Data can be time consuming to collect
May be out of date

Subjective
+ Experienced managers can make good intuitive decisions
- Element of risk with gut instincts

Question 2

What is short termism?

Answer 2

A quick financial reward.

Question 3

What is corporate timescales?

Answer 3

The strategy and expectation of when a return on investment will be achieved.

Question 4

What does long termism incorporate?

Answer 4

• CSR
• Ethical considerations
• Retaining staff
• R+D