Corporate Investment and Finance

This chapter discussed some of the ways managers can manage risk and most of this is situational. Please give a business situation, and then an example of how managers might mitigate this risk exposure.

Decision tree first appeared in 1968 but there has recently (in the last 10 years) been a rebirth in the use of this technique. Thinking as a strategic planner, why do you think there has recently been a rebirth in decision trees as a risk management tool?

(DOES NOT NEED TO BE LONG ANSWERS)