Question

Which is an example of company experiencing external risk?
A. a toy store operating in an area with no families or children
B. a paint store that manages its waste with green technologies
C. a technology business operating during a power outage
D. an investment company that was accused of defrauding investors

Answers

GPT-4o mini
A. a toy store operating in an area with no families or children

This example illustrates external risk because the lack of families or children in the area directly affects the toy store's customer base and sales potential, which is outside the company’s control.