Question

Your medical group wants to expand by starting a new venture, owning and operating a pharmacy. In order to increase the chances for success, you have been asked to perform an enterprise risk assessment that includes reputational risk. Give three examples of how starting a new venture might have risk events that could lead to repercussions that would negatively impact the organization’s reputation and three examples where it might be enhanced, creating opportunity.

Answer 1

Explanation:

The opening of any business is subject to potential risks, so it is necessary for new entrepreneurs to maintain a proactive stance so that organizational practices and processes are effectively aligned to prevent risks. That's why it's important to know the market you're going to be in, as well as risk and opportunity management to guide your business to success.

Some potential risks in opening a pharmacy would be:

Product Risk: The products that will be marketed must be carefully selected and in accordance with the quality and safety parameters, especially when it comes to the sale of medicines, which presents greater care in marketing.

Market risk: A company only progresses if it has market to operate. A new business should consider whether it will be able to deliver a quality product with customer benefits compared to its competitors.

Supplier Risk: Choosing good suppliers is essential to organizational success. In the pharmaceutical industry it is necessary to choose good and reliable laboratories so that there is no risk of obtaining unsafe medicines for human health.

But in addition to risks, opportunities must also be considered when opening a new business. In this case they can be:

Market Opportunity: A pharmacy is a business that not only sells medicines, there may be increased profitability by selling non-durable goods such as food, beverages and beauty products, widely consumed by various types of consumers.

Reputation Opportunity: Because it is a pharmacy formed by a medical group, the reputation and image to the consumer can be enhanced, which creates greater security in choosing to buy a drug in your establishment.

Branding opportunity: A company that markets private label products ensures benefits such as consumer confidence and increased profitability by marketing low cost manufacturing products to the company.