| A | B |
|---|
| Government laws/regulations | these create INCREASED economic risks for businesses because of things like permits, recalls, etc |
| product obsolescence | risks for items that depend on trends being outdated or useless |
| Life insurance | The kind of insurance required for sole proprietors to borrow money |
| economic risk | changes in overall business conditions like consumer lifestyles, product obsolescence, population changes etc |
| Natural risks | weather related issues like drought, lack of snow/sun etc. & other unpredictable weather |
| Risk Transfer | Purchase of various types of insurance like property insurance is an example of this way of handling risk |
| Risk prevention | an example of THIS is having employees do things to try and keep from getting hurt like exercises |
| Risk avoidance | For example, a business NOT doing something because the risk is too great |
| Recall | Taking back faulty or defective products |
| shoplifting | This adds 3 to 4% to the costs of products |
| fraud | a customer using a stolen credit card |
| Bonding company | the company that pays for employees who may steal or cause a company a loss |
| economic risk | changes in general business environment that may result in loss |
| insurance policy | contract that covers certain business risks |
| Surety bond | insures against loss by failure to complete a job or complete it on time |
| natural risk | possibility of loss from unexpected weather |
| performance | A bond for completing a project such as construction |
| beneficiary | person who receives $ from a will or insurance policy |
| business risk | can lead to financial gain, loss, or failure |
| 1/3 or about 33% | Shoplifting accounts for this amount of lost inventory in retail |
| employee training | This can help prevent the human risk of employeee incompetence |
| corporate | THIS form of business ownership offers the most protection from losses |
| external theft | Proper store lighting and well-organized merchandise displays in retail stores can increase sales and decrease THIS |
| fidelity | this is a bond for employees lie bank tellers or cashiers who deal with money |
| risk prevention | this can include pre-employment screenings and new-employee orientations. |
| cybercrimes | malware software, hacking, phishing, are all types of THESE |
| risk transfer | ways to handle business risk, involving another business or party |
| 85% | If you have THIS replacement coverage that means you will have to pay the other 15% |
