LBJ$,$ Inc. has worked diligently in recent years to develop a culture of corporate entrepreneurship. Last week, a special team designing a new product created a prototype that ultimately failed, costing the firm more money than expected. How should the managers of LBJ$,$ Inc. respond to this failure?

Acknowledge that such failures are expected and encourage the team to learn from the experience

Return to the corporate culture that existed before changing to a culture focused on corporate entrepreneurship

Recommend the firm change to a cost leadership strategy

Fire the team members for wasting firm money and other resources