Question

How can management address volatility and proactively establish long term financial and operational resilience across the business?

Answer 1

Volatility are universal part of business life and this volatility arise out of uncertainty in the business and they can never be completely eliminated because these volatilities are arising out of various uncertainty in the business environment and the Macro environment so businesses will be trying to proactively manage their risk associated with various volatilities of the Macro as well as micro environment because these plannings of the business will be leading to minimum risk and this will also help them to maintain their rate of return by mitigating the risk.

Businesses are highly futuristic in nature and they will be trying to prepare such strategies which will be helping the business in the long run in order to remain sustainable and stable through various volatile economics situations and businesses will be proactively trying to determine the risk associated with the Macro environment and the business environment and they will be trying to modify their strategies accordingly so these type of business who are highly flexible and dynamic in their approach are having a very high degree of sustainability in the adverse economic situations and hence since volatility can never be eliminated businesses will also have a chance to gain the higher market share because there will always be an opportunity in adverse situations because of elimination of their competition and hence the businesses should be trying to be proactive in managing operation and acquiring large amount of market share during adverse economic situation through proactive risk analysis.

Hence, the businesses key focus is on sustainability in the long run by adaptation of highly flexible strategies which will be preparing the businesses to survive and sustain through these adverse volatile uncertain economic situation.