BUAW-Business Risk and PESTLE Factors Worksheet

What is the basic definition of “risk” in business?

• The chance to make more money

• The possibility of something going wrong

• The ability to control outcomes

• The chance to expand the business

Which factor is NOT part of assessing risk?

• A) Likelihood (how probable it is to happen)

• B) Impact (how bad it would be)

• C) Reward (how much money you can make)

• D) Risk – Reward balance (overall trade-off)

If something is likely to happen and would have a major negative impact, where does it fall on the risk matrix?

• Low risk

• Medium risk

• High risk

• Uncertain

A low-impact, low-likelihood event is considered high risk.

• True

• False

Which scenario shows Medium impact and High likelihood?

• A) “Low” risk

• B) “Medium” risk

• C) “High” risk

• D) Impossible to determine

What should you do before taking any business risk?

• Ignore it

• Consider what you might lose vs what you might gain

• Accept it without question

• Panic and avoid it

What does the "P" in PESTLE stand for?

• People

• Profit

• Political

• Productivity

Which of the following is a Political factor?

• A) Tax policies

• B) Social media trends

• C) Minimum wage levels

• D) Technological innovation

A rise in the national minimum wage is an example of which PESTLE factor?

• Technological

• Economic

Which factor from PESTLE is most impacted by changes in consumer lifestyles or attitudes?

• Legal

• Economic

• Social

• Technological