Who is an individual that organizes, manages, and assumes the risk of a business?

The correct choice is based on the understanding of the role of an entrepreneur in the business world. An entrepreneur is defined as someone who identifies a market need, creates a business to meet that need, and takes on the inherent risks associated with starting and running a business. This individual is responsible for not only the management and organization of the business but also for making the critical decisions that drive its success or failure.

In contrast, an investor typically provides financial resources to a business but does not engage in its day-to-day management. An employee is someone who works for a company, following the guidelines set by management, and does not have ownership or decision-making authority relative to the business risks and strategies. A manager, while responsible for overseeing specific operations or teams within the company, does not assume the overall risk of the business as an entrepreneur does unless they are also the owner. Thus, the role of an entrepreneur distinctly encapsulates the combination of organization, management, and risk assumption.