Question

THIS IS WHAT WAS GIVEN TO US ON COMMERCIAL EXPOSURES, SORRY THERE IS NO MORE INFO FOR IT.

Snow is on the ground as I look out my window. (I'm at home today, my office doesn't have windows) It is time for holidays! Black Friday and Christmas shopping. New Years celebrations. Hanukkah. Bathtub Party Day. December 5th. Invite a friend. OK, enough of that. This Unit is about commercial risks. What are the risks businesses need to consider for this time of the year? What strategies might business want to use to deal with risks?

Answer 1

The Christmas time is a time for celebration and holidays for a lot of workers and employees. However, it is also an extremely busy time for other businesses, for whom it is the peak season. Especially for companies who have stores and outlets, the demand of products seem to skyrocket during this period of the year.

But this increase in Business also brings a lot of risks to business. The companies try to strategize in advance to mitigate the risks during the christmas season.

a.) The weather during the Christmas time is really bad in a lot of countries, which can seriously hamper their supply chain and logistics. Thus leading to customer demand not being met in time and leaving behind a lot of angry customers.

To make sure this situation dosen't happen often the businesses should keep their inventories overloaded, to meet unexpected numbers.

b.) Even if the weather is good, the increased demand still demands the company to deliver products in time, so compromising in quality to meet the demand can impact the reputation of the company.

Componies should not compromise on the quality of products and services even if the employees are putting in extra hours at work.

c.) Talking about extra hours. The stores and outlets see a lot of customers everyday during the holiday season, which means there could shortage of workers attending the customers. This could also lead to loss of business and reputation.

During the peak seasons businesses should employ some part time workers to maintain a balance of demand and supply. This also helps in attaining customer satisfaction.

d.) Finally, a lot of work place accidents are noticed during the Christmas time. Mostly due to overcrowded customers and as it's party season so a lot of customers are also drunk. Another case is when, the fatigued employees can make a lot of worplace mistakes leading to product damages and also health issues with employees.

The businesses should take accurate safety measures. Shouldn't rack up the space in stores too much so that chances of accidents increase. And have adequate backup of temporary staff so that employees don't get fatigued and start taking leaves due to health issues.