Commentary - (2022) Volume 10, Issue 2
Consumer risk: Key criteria in business
Dursun Delen*Received: 27-May-2022, Manuscript No. ABFM-22-65849; Editor assigned: 30-May-2022, Pre QC No. ABFM-22-65849 (PQ); Reviewed: 13-Jun-2022, QC No. ABFM-22-65849; Revised: 20-Jun-2022, Manuscript No. ABFM-22-65849 (R); Published: 28-Jun-2022, DOI: 10.51268/2736-1845.22.10.073
Description
Consumer risk is not the same quality; it is a problem of products that enter the market without being detected.
This can result in financial and other losses including loss of reputation, market loss, and even loss of life.
This includes net income, adjusted net income, return on equity, adjusted return on equity, return on total assets, adjusted total return on assets, return on total shareholders, market value of stocks, and profit before interest and tax ( EBIT) Adjusted EBIT, Earnings per Share (EPS) or Adjusted Earnings per Share(EPS).
Consumer risk or consumer risk is a potential risk found in all consumer products, where products that do not meet quality standards are not detected in the consumer market through the manufacturer's quality control system.
It may pass through; Business standards apply to compensation chosen by the administrator in its sole discretion.
It include earnings per share, cash flow (which means cash and cash equivalents derived from either net cash flow operations, financing activities), total shareholder return, gross revenue, revenue growth, operating income (before or after taxes), net earnings (before or after interest, taxes, depreciation and/or amortization), return on equity, on assets or on net investment, cost containment or reduction, or any combination.
The risk of legal sanctions, financial loss, or damage to reputation and franchise value for failure to comply with laws, regulations, or standards or the organization's own policies, procedures, codes of conduct, and ethical standards, or an actual or perceived failure to adhere to principles of integrity and fair dealing applicable to the business activities and functions.
Effective goals for building a successful business
Economic goals: Business is essentially an economic activity and is inherently economical.
Human goals: Human goals relate to employees and customers.
Organic goals: These are goals that cover all aspects of the company, their development, survival, progress, and prospects.
Social objectives: These include the production and supply of high quality and standard goods and services, the adoption of fair trade practices, the contribution to the general interests of society and the provision of social services.
Key elements for business
Executive planning: The section must recap all of the material in plan. The reason of section gets so much attention is that it might be the only section the reader looks at when making a decision to go forward or stop.
It is the ultimate elevator where introduction for the idea of business, provide background, talk about approach and results, and convey confidence that it will be successful.
Marketing plan: An issue for a small business is reaching new customers, for many business owners, it is most important section, and time is devoted for developing it without demand.
It has three main sections for market planning:
• Market analysis
• Competitive analysis
• Specific marketing actions
Financial planning: financial plan is a very important section; it is an appropriate way because the financial section is a recap of all that precedes it, The products and services, marketing, operations and personnel sections demonstrate that the business idea is feasible, but it`s the financial section it is viable.
Conclusion
Business objectives such as increasing sales and large profits are obvious, but these goals are requires target for performance objectives to achieve. Understanding common business objectives and criteria can use to evaluate the operations that will help to keep business growing and reaching its potential. It refers to the purpose for which the company is formed.