3.01 Business Management II BB42

Front

The term risk is used in business to refer to the

Back

possibility of loss or gain

Front

An earthquake is an example of a _________________ risk.

Back

pure

Front

What do risk managers need to do to help their company successfully launch a new product?

Back

Evaluate the potential gains and losses of the launch

Front

Which of the following is an example of a hazard risk? Tornadoes, Product Shortages, Inflation, Competition

Back

Tornadoes

Front

An example of an internal financial risk is

Back

improper budgeting practices

Front

Poor product development, unreliable manufacturing equipment, and product shortages are examples of __________ risks.

Back

operational

Front

What category of risk typically has the most impact on a business's ability to reach its goals and objectives? Options: Strategic, Hazard, Financial, Operational

Back

Strategic

Front

Technological innovations can increase strategic risk for business by

Back

making some products obsolete

Front

A good source of information about a business's retroactive risks would be a(n)

Back

business incident log

Front

Which of the following statements accurately explains the nature of prospective risks? They have not happened before but could occur in the future, They are typically more common than retroactive risks, They are usually easier to identify than retroactive risks, They occurred in the past and could occur again in the future

Back

They have not happened before but could occur in the future