📚 Learning Guide
Strategic Decision-Making
hard

In strategic decision-making, why is it crucial to consider long-term implications over short-term gains?

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Choose the Best Answer

A

Long-term planning aligns with sustainable growth and avoids future pitfalls.

B

Short-term gains are always more profitable than long-term strategies.

C

Stakeholders prefer immediate results over future benefits.

D

Long-term implications are often too uncertain to factor into decisions.

Understanding the Answer

Let's break down why this is correct

Answer

When a decision is made, thinking only about immediate profit can hurt the organization later, because it might ignore costs that will appear after the short‑term benefit ends. Long‑term thinking looks at how a choice will affect resources, reputation, and future opportunities, so it keeps the organization stable and able to grow. For example, a company that saves money by cutting quality now may lose customers and need costly repairs later, while a company that invests in better materials builds trust and saves money over time. By weighing future risks and rewards, leaders can choose actions that support lasting success rather than quick wins that may backfire.

Detailed Explanation

Planning for the future gives a company a clear direction that keeps it growing steadily. Other options are incorrect because Some think quick profits always win, but they can hurt the company later; People often think everyone wants instant results, but many care about lasting value.

Key Concepts

Strategic Decision-Making
Long-term Planning
Sustainable Growth
Topic

Strategic Decision-Making

Difficulty

hard level question

Cognitive Level

understand

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