Which type of risks occur from fluctuations in business conditions?

Understand the Problem

The question is inquiring about the types of risks that arise due to changes in business conditions, which could include factors like economic shifts, market trends, regulatory changes, and competitive dynamics. The response should explore various risks such as financial risk, operational risk, and strategic risk associated with these fluctuations.

More Information

Economic risks pertain to fluctuations in market conditions, economy, or industry trends. They can affect business operations, revenues, and profitability.

Tips

A common mistake is confusing economic risks with market risks or financial risks. Economic risks are broader and encompass impacts from overall economic conditions.

Sources

• Business Risk Factors - Renesas Electronics Corporation - renesas.com
• Types of Business Risks | Allianz Trade in US - allianz-trade.com
• Types of risk | Economic factors & business information - Achievable - app.achievable.me