Identify a principal-agent problem and evaluate the tools

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Reference no: EM132315531

Case Study: Cases Analysis of Risk, Uncertainty and Managing Incentives

Select a company of your choice, any company but Southwest Airlines, and write a six to eight (6-8) page paper in which you:

1. Evaluate a company's recent (with in the last year) actions dealing with risk and uncertainty.

2. Offer advice for improving risk management.

3. For the company you selected examine an adverse selection problem and recommend how it should minimize its negative impact on transactions.

4. For the company you selected determine the ways in which it is dealing with the moral hazard problem and suggest best practices used in the industry to deal with it.

5. For the company you selected identify a principal-agent problem and evaluate the tools it uses to align incentives and improve profitability.

6. For the company you selected examine the organizational structure and suggests ways it can be changed to improve the overall profitability.

7. Use at least five (5) quality academic resources in this assignment. Note: One of your references regarding your research should have been published within the last 6 months. Note: Wikipedia and Investopedia do not qualify as an academic resource.

Your assignment must follow these formatting requirements:

• Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with your professor for any additional instructions.

• Include a cover page containing the title of the assignment, the student's name, the professor's name, the course title, and the date. The cover page and the reference page are not included in the required assignment page length.

Reference no: EM132315531

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