Risk taking

An entrepreneur assumes the responsibility for loss that may arise due to unforeseen contingencies in future. He guarantees interest to creditors, wages to labor and rent to the landlord. After making payment to these persons little or nothing may be left for him.

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Anticipation and Adaptation

At the next level are the business concerns which take a some what intelligent interest in the environment. They continuously anticipate and monitor changes in the environment and take necessary action before environment becomes a threat. they analyses the impact of environment changes on their operations and adopt ways and means to maintain a dynamic equilibrium with the external environment. For instance, Doordarshan launched channel 3 to meet the threat from private channels.

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The Subscription or Association Clause

This clause contains the names and addresses of subscribers to the memorandum. the subscribers make a declaration under their signatures duly attested by a witness that they desire to be formed into a company and agree to take qualification shares, if any. There must be at least seven signatories in case of a public company and at least two in case of a private company.

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Introduction of new Products

Before starting the production of a new product on commercial scale, it is always desirable to customers and management are uncertain and unknown. Therefore, operations are usually carried one small scale when new products or ideas are being introduced in the market. This also helps to reduce the risk.

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Separation of Ownership and management

The number of member in a public company is generally very large so that all of them or most of them cannot take active part in the day-to-day management of the company. Therefore, they elect their representatives, known as directors, to manage the company on their behalf. Representative control is thus an important feature of a company.

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Security Standards

The security standard should be integral part of the entire business continuity planning process. During a disaster, security becomes very important due to potential change in the working environment, personnel, and equipment. Consequently, different security risks will emerge that should be considered during the risk assessment process. Ultimately, mitigating strategies should incorporate the various risks identified to ensure that adequate security control are in place if an event triggers the implementation of the BCP. Additionally, security standard should be incorporated into the BCP training and testing program me.

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Sources Of Revenue

Depending on the business model, several revenue sources may be available to an e-business organisation. If one studies the existing e-business models, one will find that most of the organisations will have three to four of these revenue sources. A mix of revenue sources is often referred  to as a revenue model.

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