Which of the following mitigation tactics could reduce economic risk? A) subcontractors on...
Question:
Which of the following mitigation tactics could reduce economic risk?
A) subcontractors on retainer
B) multiple transportation modes and warehouses
C) purchasing contracts that address price fluctuations
D) franchising and licensing
Economic Risk:
The possibility of macroeconomic conditions which might affect an investment or firm's possibilities is called economic risk. It includes exchange rate variations, shifts in government policy, or political volatility. The economic risks are challenging to anticipate.
Answer and Explanation: 1
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View this answerThe correct option is C) Purchasing contracts that address price fluctuations.
The risk caused in the economy can cause destruction for the business...
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Systematic Risk Principle: Definition, Types & Examples
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Chapter 2 / Lesson 10
301
The principle of systematic risk refers to risks that are impossible to be foreseen. Learn the complete definition of this principle, its examples of such risk in history, and its different types.
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