Retail trade is the final activity of the distribution chain. It consists of the sale of goods and services directly to final consumers.
The companies that carry out this activity are called retailers. Retail trade includes the sale of goods and services retail. Therefore, the clientele is abundant and the products are purchased for personal use. Examples of these companies are clothing or clothing stores, food supplies and stores selling appliances, and technological items. Commercialization of capital goods is excluded from retail trade.
This type of trade constitutes the end of the chain of distribution of goods and services. It is the link between wholesalers and consumers or end users. Wholesale trade is the previous link in the distribution chain and its activity consists of buying and selling products in large quantities. Sometimes they sell at a discount to other organizations for commercial purposes.
Risk management is the process of planning, organization, management and control of the human and material resources of an organization, in order to minimize or exploit the risks and uncertainties of the organization.
Uncertainties represent risks and opportunities with the potential to destroy or create value. The company's risk management allows managers to effectively address uncertainties as well as the risks and opportunities associated with them, in order to improve the ability to generate value.
Value is maximized when the organization establishes strategies and objectives to achieve the ideal balance between growth objectives, return on investment and the risks associated with them, and to explore its resources effectively and efficiently in achieving the organization's objectives. .
- Would an investment generate attractive returns? - What is the degree of risk inherent in the investment? - Should existing investment holdings be liquidated? - Will cash flows be sufficient to service interest and principal payments to support the
firm's borrowing needs? - Does the company provide a good opportunity for employment, future advancement, and
employee benefits? - How well does this company compete in its operating environment? - <span>Is this firm a good prospect as a customer?</span>