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BusinessBusiness
20 July, 18:49

17. When a business hires another company to

perform a risky activity that it does not want to

undertake itself, it is practicing which type of

risk management strategy?

a. avoiding risk

c. insuring risk

b. transferring risk d. assuming risk

+1
Answers (1)
  1. 20 July, 20:08
    0
    Transferring risk

    Explanation:

    To transfer risk is in a way to test grounds of a volatile business by using a smaller company as bait and seeing how the market reacts to it before committing completely for the catch once the company decides what to do there.

    Transference of risk is possible for big firms and allows them to get a real view of the scenarios they can expect to see when they set up operations in a place.
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Home » Business » 17. When a business hires another company to perform a risky activity that it does not want to undertake itself, it is practicing which type of risk management strategy? a. avoiding risk c. insuring risk b. transferring risk d. assuming risk
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