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Essay

Managers, Markets and Prices

Essay specific features

 

Issue:

Business

 

Written by:

Anna R

 

Date added:

March 7, 2014

 

Level:

University

 

Grade:

A

 

No of pages / words:

12 / 3090

 

Was viewed:

9399 times

 

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Essay content:

Warranty clauses, which are designed by the agent to be a signal of commitment, end up becoming an area for moral hazard. We discuss why government clients become risk averse as a starting basis for understanding Technology One’s preferred contractual arrangements. It is suggested that an incentive-based contract would be more likely to produce an innovative solution for the principal and would more closely align the motivations of the two parties...
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It is suggested that an incentive-based contract would be more likely to produce an innovative solution for the principal and would more closely align the motivations of the two parties. Alternatively, the use of a performance surety bond may alleviate the risk for the vendor, but only serves to increase the average bid price for the principal...
displayed 300 characters

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