Which of the Following Is a Difference Between Risk Management

question 39

Multiple Choice

Which of the following is a difference between risk management and scenario planning?

• A) Risk management plans for either high risk or low risk,whereas scenario planning prepares to minimize the impact of only high-risk events.
• B) Risk management is the identification and assessment of risks,whereas scenario planning is a technique to prepare and plan for multiple situations.
• C) Risk management is a new phenomenon beginning in the late 20th century,whereas scenario planning started 2,000 or 8,000 years ago.
• D) Risk management is driven by recent technological innovations,whereas scenario planning is driven by a Western ideology.

---

Definitions:

Cotton Farming

The agricultural practice of cultivating cotton plants for their fibers, which are used in textile production.

Differentiated Oligopoly

A market structure in which a few companies dominate the market and sell products that are different but closely related, often with marketing brands, designs, or functionalities.

Homogeneous Oligopoly

A market structure characterized by a few companies that sell identical or very similar products, leading to strategic behavior among competitors.

Automobile Industry

A sector that encompasses companies involved in the design, manufacture, marketing, and selling of motor vehicles.