4

(a)

Uncertainty is associated with risk and proft. Clarify why and how.

(b)

Risk is associated with fear and hesitation to act, while entrepreneurs are supposed to be people of action. How does this come together?

Are entrepreneurs gamblers? Do they have another appetite for risk? Are they just overly optimistic? Do they systematically practise wishful thinking? Do they have another view of decision situations? Or do they have methods to reduce the risk in the situation?

Elaborate and discuss your thoughts on this issue.