Risk Management Case Study For Students
This article explores the role, organization, and limitations of risk identification and risk management, especially in situations that are not amenable to quantitative risk modeling.It argues that firms can avoid the artificial choice between quantitative and qualitative risk management, allowing both to play important roles in surfacing and assessing risks.This study develops a new model for government cost-benefit analysis, and shows that distortionary taxation impacts the optimal scale and pricing of government programs.It also highlights the interaction between social and fiscal risk management motives, which frequently come into conflict.When times are tight, companies usually respond with employee layoffs.But what if they held on to workers and cut their salaries instead?Closed for comment; Going global is one thing, targeting emerging economies quite another.In this collection from our archives, HBS faculty discuss strategy development, government relations, exploiting local opportunities, and risk management when dealing in emerging economies. Roth was a co-winner of the Nobel Prize in Economic Science this week for his Harvard Business School research into market design and matching theory. Key concepts include: Successful marketplaces must be "thick, uncongested, and safe." Sufficient "thickness" means there are enough participants in the market to make it thrive.
It shows that investors’ appetite for risk—revealed by common movements in the pricing of volatile securities—helps determine economic outcomes and real interest rates.
Cole, Martin Kanz, and Leora Klapper explores how various compensation incentives affect lending decisions among bank loan officers.
They find that incentives have the power to change not only how we make decisions, but how we perceive reality.
Open for comment; We can forecast hurricane paths with great certainty, yet many businesses can't predict a supply chain snafu just around the corner. Open for comment; SUMMING UP: James Heskett's readers point to examples of complex environmental problems conquered through multinational cooperation.
Can those serve as roadmaps for overcoming global warming?