Bachelor of General Studies (BGS) Degree Practice Exam

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What is a significant advantage of proactive companies?

They frequently ask for feedback from competitors
They are much less likely to be blindsided by crises
They rely on past successes without change
They avoid engaging with stakeholders

The correct answer is: They are much less likely to be blindsided by crises

A significant advantage of proactive companies is that they are much less likely to be blindsided by crises. This proactive approach involves anticipating potential challenges and addressing them before they escalate into serious problems. By staying ahead of trends and potential disruptions, these companies are better prepared and can implement strategies that mitigate risks, ensuring they can navigate difficult situations more effectively. In contrast, companies that do not take a proactive approach may neglect to foresee issues or changes in the market, making them vulnerable when crises arise. Such foresight not only allows for better crisis management but can also enhance a company's reputation and stakeholder confidence.