Question

What do you understand by dynamic risk? Give one example.

Answer 1

Answer:

Dynamic Risk. The risk of loss resulting from changes in culture, taste or policy. For example, if one sells only black socks in the United States, one takes the dynamic risk that no one will buy black socks after Labor Day. ... It is related to political risk, but primarily connotes cultural changes.

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Answer 2

Answer:

Dynamic Risk. The risk of loss resulting from changes in culture, taste or policy. For example, if one sells only black socks in the United States, one takes the dynamic risk that no one will buy black socks after Labor Day. ... It is related to political risk, but primarily connotes cultural changes.

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