Explain how an organization determines if it is spending too much on risk? At what point does managing risk become wasteful? Justify your opinions with a specific example.

Explanation:

An organization may be performing ineffective risk management when it does not meet the necessary requirements for the control and supervision of uncertainties, that is, it does not turn risks into opportunities to generate positive results for the company.

Risk management aims to minimize the risks arising from productive activities and uncertainties. For this, the organization must develop a set of practices and policies that are aligned with its internal and external values, maintain transparency, value human resources and correctly allocate materials so that all organizational processes flow smoothly.

When a company, for example, manages environmental risks but does not share values with all stakeholders, this constitutes ineffective risk management for the organization, as it does not promote the ideal continuous improvement that management proposes.

the correct answer is economics is a game without winners or losers.

unlike sports or games economic is a game without losers or winner rather it is a game where everyone wins. parties of business doing businesses exchange money with each other and hence exchange is done on the basis of goods. one party takes the goods and other sales it so there is winner on both sides. each party values more highly the good it gets than the good it gives up. both sides exchange only because both intend to increase their value. so there is no concept of lose or win.