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What is the main benefit of listing possible risks in a business plan?

Answer and explanation

Correct answer: It helps in timely prevention and preparation

Listing risks makes possible difficulties visible before they occur. The entrepreneur can estimate their likelihood and impact, prepare preventive measures, arrange alternatives, and decide which risks are acceptable. This improves readiness and may reduce losses, but it cannot guarantee success or eliminate uncertainty. Demand, execution, finance, and customer satisfaction still require continuous attention.

Related tags

Business-PlanRisk-ManagementBusiness RiskBusinessTrade And CommerceBusiness Trade And CommerceBusiness StudiesClass 11 Mcq

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