Why Managers and Companies Take Risks

  • Les Coleman

Part of the Contributions to Management Science book series (MANAGEMENT SC.)

Table of contents

About this book


The book answers a simple question: when managers and companies face a decision with two outcomes that are safe and risky, what leads them to choose the risky alternative? The answer starts with a detailed review of the theory behind risk and decision making by managers. The book then gathers real-world evidence using two surveys of senior managers and directors to analyse why they take risks, and how companies control risks. Integrating theory and evidence the book develops a model of risk taking that draws from academic thinking across multiple disciplines and the actual practice of experienced managers. The last section of the book discusses how managers can apply its findings to dialling up the required level of risk inside their firm.


Corporate Governance Decision Making Risks management organization performance

Authors and affiliations

  • Les Coleman
    • 1
  1. 1.Department of FinanceThe University of MelbourneParkvilleAustralia

Bibliographic information