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4 cards from this section. Quick, good the night before a test.
What is financial risk?
Think about what happens when expenses exceed income.
Name a consequence of operational risk.
Consider what happens when a machine breaks down.
What type of risk involves fluctuating market conditions?
Think about how changes in consumer trends can impact sales.
True or False: Operational risks stem only from financial problems.
Consider the different aspects of business operations.
A business incurs a legal penalty due to non-compliance with regulations. Discuss the implications for its financial and market risks.
Consider how legal issues can ripple out to affect finances and market position.
Analyze a scenario where a tech startup faces financial risk due to failed product launches. How should they address the potential operational and market risks moving forward?
Reflect on how the failure of one product affects the entire business structure and future projects.
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