“aloha releasing” wants to expand its genre offering. to that end, they want to hire a well-known action director. aloha’s problem

“Aloha Releasing” wants to expand its genre offering. to that end, they want to hire a well-known action director. aloha’s problem is that they want to ensure that the studio and director’s incentives are well aligned. which of the following cleaving framework is an appropriate tool to solve this problem?

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QUESTION: “Aloha Releasing” wants to expand its genre offering. to that end, they want to hire a well-known action director. Aloha’s problem is that they want to ensure that the studio and director’s incentives are well aligned. which of the following cleaving framework is an appropriate tool to solve this problem?

  • A. Principal/ Agent
  • B. Collaborate/ Competea
  • C. Equality/ Liberty 
  • D. Supply/ Demand

The appropriate cleaving framework to solve the problem of ensuring that the incentives of Aloha Releasing and the hired action director are aligned would be the Principal-Agent Framework.

In this framework, Aloha Releasing is the principal who hires the action director as an agent to direct an action movie. The principal-agent framework is used to analyze the relationship between the principal and agent to ensure that the agent’s incentives align with the principal’s goals.

To ensure alignment, Aloha Releasing can use various tools such as performance-based incentives, clear and well-defined goals, and monitoring systems to ensure that the director is working towards the agreed-upon objectives. The principal-agent framework will help Aloha Releasing to establish a clear understanding of the expectations and obligations of both parties and align their incentives towards a successful outcome.

The appropriate cleaving framework to solve Aloha Releasing’s problem of ensuring that the studio and director’s incentives are well aligned when hiring a well-known action director to expand its genre offering is the principal/agent framework.

The principal/agent framework is a useful tool for analyzing situations where one party (the principal) hires another party (the agent) to act on their behalf. In this case, Aloha Releasing is the principal hiring the action director as their agent to direct the film.

“aloha releasing” wants to expand its genre offering. to that end, they want to hire a well-known action director. aloha’s problem
“aloha releasing” wants to expand its genre offering. to that end, they want to hire a well-known action director. aloha’s problem

The principal/agent framework helps to ensure that the interests of the principal and the agent are aligned by creating incentives that motivate the agent to act in the best interests of the principal. This can be achieved by providing the agent with incentives such as performance-based bonuses, profit-sharing, or equity in the project.

By using the principal/agent framework, Aloha Releasing can ensure that the incentives of the studio and the director are well aligned, which will lead to a more successful collaboration and a better outcome for the project.

Answer: A: Principal/ Agent

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