Introduction
In every day-to-day human endeavor, people are exposed to risk in some way or the other. This happens from the time they wake up, go to work, school and come back to the same bed. The degree of risk differ from every human’s activity throughout the day. Gibson (2010) defines risk as a likelihood of a negative occurrence of an event in business. This is called the loss likelihood. For any activity that brings reward or profit, risk is one partner that cannot be treated separately. This means that just like humans, businesses are exposed to risks in every activity they undertake however minimal it may be. Depending on the type of business an organization is involved in, risk levels are different. Some risks may be treated as industry inherent. Risk inherence is where business operating under a certain industry face related or similar risks. Still, those companies may still face different risks depending on their involvement in additional activities (Miksen, n.d.).
For a business to be prosperous, …show more content…
As a typical Web based company, Dress Lily faces risks that are associated with e-commerce. E-business deals in a kind of business that lacks facial customer interaction as opposed to traditional business environments. This kind of business involves low start up profits, fewer employees, and reduction of costs that are associated with business space. This saves the business from unnecessary spending apart from registrations and other legal duties. As much convenience is a factor that customers look for when shopping, security and utmost privacy is a must thing in an e-business scenario. In conducting risk assessment, focus must be shifted on information risks, technology risks and business risk. Each risk category requires in depth analysis. This means that blanket risk analysis will yield inept results. This assessment is focusing on technology
In every day-to-day human endeavor, people are exposed to risk in some way or the other. This happens from the time they wake up, go to work, school and come back to the same bed. The degree of risk differ from every human’s activity throughout the day. Gibson (2010) defines risk as a likelihood of a negative occurrence of an event in business. This is called the loss likelihood. For any activity that brings reward or profit, risk is one partner that cannot be treated separately. This means that just like humans, businesses are exposed to risks in every activity they undertake however minimal it may be. Depending on the type of business an organization is involved in, risk levels are different. Some risks may be treated as industry inherent. Risk inherence is where business operating under a certain industry face related or similar risks. Still, those companies may still face different risks depending on their involvement in additional activities (Miksen, n.d.).
For a business to be prosperous, …show more content…
As a typical Web based company, Dress Lily faces risks that are associated with e-commerce. E-business deals in a kind of business that lacks facial customer interaction as opposed to traditional business environments. This kind of business involves low start up profits, fewer employees, and reduction of costs that are associated with business space. This saves the business from unnecessary spending apart from registrations and other legal duties. As much convenience is a factor that customers look for when shopping, security and utmost privacy is a must thing in an e-business scenario. In conducting risk assessment, focus must be shifted on information risks, technology risks and business risk. Each risk category requires in depth analysis. This means that blanket risk analysis will yield inept results. This assessment is focusing on technology