What are the causes of business risk? Explain any three.
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Natural causes. Natural causes of risk include flooding, earthquakes, cyclones, and other natural disasters that can lead to the loss of lives and property. ...
Human causes. Human causes of risk refer to negligence at work, strikes, work stoppages, and mismanagement.
Economic causes
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Business risk is the possibilities 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, and the overall economic climate and government regulations.
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