Question

about business risk with example

Answer 1

strategic, for example a competitor coming on to the marketcompliance, for example responding to new health and safety legislationfinancial, for example non-payment by a customer or increased interest charges on a business loanoperational, for example the breakdown or theft of key equipment.

environmental risks, including natural disastersemployee risk management, such as maintaining sufficient staff numbers and cover, employee safety and up-to-date skillspolitical and economic instability in any foreign markets you export goods tohealth and safety risks - see health and safety risk assessmentcommercial risks, including the failure of key suppliers or customers

Answer 2

HLO THERE UR ANSWER IS...

The term business risk refers to the possibility of inadequate profits or even losses due to uncertainties . Business risk is the possibility a company will have lower than anticipated profits or experience a loss rather than taking a profit. Business risk is influenced by numerous factors, including sales volume, per-unit price, input costs, competition, the overall economic climate and government regulations. A company with a higher business risk should choose a capital structure that has a lower debt ratio to ensure it can meet its financial obligations at all times.

The main types of risk to consider are:

strategic, for example a competitor coming on to the market

compliance, for example responding to new health and safety legislation

financial, for example non-payment by a customer or increased interest charges on a business loan

operational, for example the breakdown or theft of key equipment.

HOPE IT HELPS...