Identify potential risks and explain how to reduce their impact.

Components:

  1. Market Risk: Potential changes in customer demand or market trends; mitigation: market research, diversification.

  2. Operational Risk: Risks in day-to-day operations; mitigation: standard operating procedures, automation.

  3. Financial Risk: Funding shortfalls, cash flow issues; mitigation: budgeting, reserve funds, alternative funding.

  4. Competitive Risk: New competitors or substitutes; mitigation: continuous innovation, IP protection.

  5. Regulatory Risk: Legal or compliance issues; mitigation: legal advice, compliance audits.

  6. Technology Risk: System failures or cyber threats; mitigation: security measures, backup systems.

24 Nov 2025
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