Read the text. Say whether the statements following the text are the true (T) or false (F)

RISK ANALYSIS

Risk analysis is a broad term that is used in a number of different settings. The term refers to the evaluation of the potential risk that helps at least to find ways to protect yourself while taking any kind of risk. In the business world, risk analysis is one of the primary tools used in the process of risk management. Within this setting, the business looks at how various operations, campaigns, and expansions are likely to impact the financial stability of the company.

When it comes to growing a business, risk analysis is an important part of any constructive business planning. The business assessment often includes understanding both the risks of maintaining the company in its current state as well as determining what could happen if new policies, procedures or product lines were introduced into the corporate culture. Taking the time to engage in this level of assessment helps companies to avoid making hasty decisions that may have long term repercussions that do a great deal of damage to the business.

Risk analysis is not necessarily confined to understanding the degree of financial risk involved. Both businesses and non-profit organizations often engage in risk assessment that focuses primarily on the public’s perception. Because a favourable public perception helps any organization to move closer to success, changes in marketing plans, public relations efforts, and community involvement strategies are often reviewed before their launch. The idea is to determine if there is a risk of negatively impacting the current public image of the entity. If the answer is yes, the proposed project may be retooled or abandoned altogether. If the analysis indicates an extremely low risk of damage to the public image, it is likely to move forward with few or no refinements taking place.

1. Risk analysis is quite a specific term that refers to the stability of a business risk analysing it from within.

2. Risk analysis is a broad term that is used in a number of different settings.

3. In the process of risk management risk analysis is only an additional tool for assessing the level of risk possible.

4. The financial stability of a company depends greatly on the results of the risk analysis.

5. Risk analysis is an important part of any constructive business planning.

6. The assessment of the potential risk doesn't help companies to avoid making hasty decisions.

7. To predict the consequences of the business risk, it takes a long period of time to analyze it.

8. Risk analysis is not necessarily confined to understanding the degree of financial risk involved.

9. Both businesses and non-profit organizations often engage in risk assessment that focuses primarily on the public’s perception.

10. Even if there is a risk of public neglect of a product, any organization may succeed under favorable circumstances.