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If you have ever seen a game show "Deal, or no deal" you have witnessed a real-world lesson in tendency of people to be risk-adverse about gains. Examine offers of banker. Banker's propose is virtually always below statistically expected payoff for continuing game. So far, quite frequently people will accept banker's offer.

In organizations we notice paralysis induced by people's greater attention to risk of change as contrasting to risk of not changing. "Better devil you know" mentality. In organizations, how have leaders dealt with this circumstance?

 

Business Management, Management Studies

  • Category:- Business Management
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