Risk Associated with Manufacturing, Trading and Service Concerns 1. Market Risk - Product Risk Complexity  Obsolescence Research and Development Packaging Delivery of Warranties - Competitor Risk Pricing Strategy Market Share Market Strategy

Understanding Business
12th Edition
ISBN:9781259929434
Author:William Nickels
Publisher:William Nickels
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
Section: Chapter Questions
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 Briefly Explain. 2-3 sentences

 

Risk Associated with Manufacturing, Trading and Service Concerns

1. Market Risk

- Product Risk

  • Complexity 
  • Obsolescence
  • Research and Development
  • Packaging
  • Delivery of Warranties

- Competitor Risk

  • Pricing Strategy
  • Market Share
  • Market Strategy

2. Operating Risk

  •     Process Stoppage
  • Health and Safety
  • After Sales Service Failure
  • Environmental
  • Technological Obsolescence
  • Integrity:
  •            Management Fraud
  •            Employee Fraud
  •            Illegal Acts

 

3. Financial Risk

  • Interest Rates Volatility
  • Foreign Currency
  • Liquidity
  • Derivative
  • Viability

4. Business Risk

  • Regulatory Change
  • Reputation
  • Political
  • Regulatory and Legal
  • Shareholder Relations
  • Credit Rating
  • Capital Availability
  • Business Interruptions
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