GlossariesGCSE GlossariesGCSE Business GlossaryRisk

Risk - GCSE Business Definition

Reviewed by: Steve Vorster

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Risk refers to the potential for an action or decision to lead to a loss or an undesired outcome. Businesses face various risks, such as financial loss, damage to reputation, or failure of a new product. Understanding risk is crucial for entrepreneurs and managers, as it helps them make informed decisions.

By weighing up possible benefits against drawbacks, businesses can develop strategies to minimise risks while pursuing opportunities for growth. Managing risk effectively is a key part of successful business planning and operation.

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Steve Vorster

Reviewer: Steve Vorster

Expertise: Economics & Business Subject Lead

Steve has taught A Level, GCSE, IGCSE Business and Economics - as well as IBDP Economics and Business Management. He is an IBDP Examiner and IGCSE textbook author. His students regularly achieve 90-100% in their final exams. Steve has been the Assistant Head of Sixth Form for a school in Devon, and Head of Economics at the world's largest International school in Singapore. He loves to create resources which speed up student learning and are easily accessible by all.

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