Explanation:
This question is imprecise, because the reason for the existence of business is to satisfy the needs of consumers, being characterized as an economic activity whose main objective is to generate profits.
Therefore, the economic needs of society are not met by companies at the expense of the suffering imposed on their customers, since the goods and services produced exist to satisfy the human needs necessary for a better quality of life.
It is also important to emphasize that, currently, there is a new interaction between company and consumer, where there is a much more direct relationship, where there is a social demand that companies be much more than just profitable entities, consumers expect companies to exercise a social role of contributing to the social and environmental development of the macroenvironment in which it is inserted. Therefore, a company that does not exercise corporate governance in the globalized world, has little conditions to remain in the market in the long run.
One reason that underpricing of new issues occurs more frequently than overpricing is that underwriters want to reduce the risk of a firm commitment. Therefore, Option A is correct.
<h3>What is
underwriting?</h3>
Some major financial institutions, including banks, insurance companies, and investment firms, offer underwriting services in which they guarantee payment in the event of damage or financial loss and accept the financial risk for liability resulting from such guarantee.
Therefore, One reason that underpricing of new issues occurs more frequently than overpricing is that underwriters want to reduce the risk of a firm commitment. Option A is correct.
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"Your question is incomplete, probably the complete question/missing part is:"
A. underwriters want to reduce the risk of a firm commitment.
B. the demand for a new issue is typically too high.
C. underwriters earn low rates of return.
D. issuing firms demand that equity be underpriced.
The attribute of the angle of leadership, and management is related to the personal characteristics of the individual.
Leadership is the capacity of a character or a group of individuals to influence and guide fans or different contributors of a corporation.
Leadership is the accomplishment of a purpose through the route of human assistants. the man who effectively marshals his human collaborators to attain particular ends is a pacesetter. A super chief is a person who can achieve this every day, and year after year, in a huge kind of instances.
Leadership competencies may be practiced to any degree regardless of the identity you have. they're important competencies to have due to the fact an amazing leader is capable of delivering out the fine capabilities in his/her crew members and encouraging them to work collectively in attaining a shared goal. The secret's to constantly be chronic in pursuing your dreams, and open-minded and bendy in how you get there. inspire the people around you to spend at least 15 percent of their time exploring new thoughts via brainstorming and prototyping. Success leadership is constructed by the humans around you.
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