If an organization deliberately tolerates a possibility of loss, is this possibility a stra- tegic or an external risk? Consider three organizations, one operating during an emergency, one during a cri- sis, and one during a disaster. By definition of the three terms, which organization has the best potential to stop any loss before it happens? If a company considers 10 different future states of nature to be equally likely, and each of the 10 has a different value, how can that company calculate the expected value? Is disruptive innovation more likely to create an emergency or a crisis? A manager assumes an unlikely request in an order must be the result of some unusual customer. Is this an example of outcome bias or normalization