BUAW-Stakeholders and risks

What kind of stakeholder is the following statement describing? An individual or organisation that has a direct financial impact on an organisation and is vital to its existence as it participates in its operations.

• A primary stakeholder

• A secondary stakeholder

• A regulatory stakeholder

• A passive stakeholder

Identify which of the following are not primary stakeholders.

• Government, Regulatory/professional bodies, The general public

• Shareholders, Employees, Customers

• Suppliers, Investors, Management

• Owners, Directors, Employees

Which one of the following stakeholders is likely to be the most risk seeking?

• Customers

• Employees

• Finance providers

• Owners

Name the four kinds of business risk covered in this lesson.

• Business risk, Financial risk, Strategic risk, Operational risk

• Market risk, Credit risk, Liquidity risk, Compliance risk

• Reputational risk, Environmental risk, Legal risk, Political risk

• Product risk, Customer risk, Supply risk, Technology risk

What kind of risks are cyber and reputational risks?

• Operational

• Financial

• Strategic

• Compliance

What kind of risk do irrecoverable debts pose to the company?

• Financial

• Operational

• Reputational

• Legal

A logistics company has analysed its receivables and calculated that approximately 2% of its credit customers fail to pay their invoices. Last year this applied to a major client and the company had to write off a significant sum. How should the risk be assessed in terms of likelihood?

• Low

• Medium

• High

A logistics company has analysed its receivables and calculated that approximately 2% of its credit customers fail to pay their invoices. Last year this applied to a major client and the company had to write off a significant sum. How should the risk be assessed in terms of outcome?

• Low

• Medium

• High

A logistics company has analysed its receivables and calculated that approximately 2% of its credit customers fail to pay their invoices. Last year this applied to a major client and the company had to write off a significant sum. What is the most appropriate action to take in relation to the risk?

• Transfer

• Avoid

• Reduce

• Accept

A logistics company has analysed its receivables and calculated that approximately 2% of its credit customers fail to pay their invoices. Last year this applied to a major client and the company had to write off a significant sum. e. Suggest a way that the action could be taken.

• To take out insurance against irrecoverable debts

• To increase the price of all products

• To stop offering credit to any customers

• To reduce the number of employees