The correct answer is: B. agency problems
An agency problem is a conflict of interest between a principal and an agent, where the agent acts in their own self-interest rather than in the best interests of the principal. In the case of an initial public offering (IPO), the principal is the company’s shareholders, and the agent is the investment bank that is hired to manage the IPO. The investment bank has a fiduciary duty to act in the best interests of the shareholders, but there is a risk that they will act in their own self-interest, such as by charging excessive fees or selling shares at too low a price.
Hiring problems are problems that arise when a company hires employees. These problems can include finding qualified candidates, making bad hiring decisions, and not providing adequate training to new employees.
Corporation internal problems are problems that arise within a corporation. These problems can include conflicts between management and employees, poor communication, and inefficient operations.
Corporation external problems are problems that arise between a corporation and its external environment. These problems can include government regulation, competition, and changes in consumer demand.