E-business risk is everywhere and it can severely damage your company reputation. But in this day and age not using internet technology would leave you falling behind the competition. So how do you get by and manage the potential e-business risks?
In the most basic terms, e-business is using internet technology for your business. By using this, companies can reach out to more customers, speed up their services and create a better product. It’s an ever changing part of the industry, but learning how to use it isn’t the hardest part of e-business. One of the toughest aspects is keeping up with the progression. One of the e-business risks is being left behind, but by staying one step ahead of the industry you can use it to your advantage. Some of the examples of e-business are:
- Online Banking
- Customer Relationship Management
- Business to Business Data Exchange
- Commercial Transactions
Types of E-Business Risk
There are various threats and e-business risks involved with operating internet technology. One of the main concerns for small business owners is security. With constant rumors of hackers and viruses it’s imperative that security is maintained. A single attack can shut down a company operation and cause income to pause. To avoid this, install anti-virus software and any scans they include. Update these weekly and monitor their work. You can never be too safe.
Another e-business risk is systematic risk, and may only affect certain companies. Systematic risk is the risk businesses will face in conjunction with an entire market. For example, if you’re a business that deals online, and the whole of the online world suffers, you will suffer too. This may not happen on such wide scale but consider your online format and the sites you use to keep you operational.
When dealing with e-business risk it needs to be thought out much the same way as with any business risk. This can be done in three steps and includes risk identification, risk analysis and risk evaluation. Once you have worked on these three areas you can work on where the risks come from, how they affect your company and the best methods of eradicating them. As you do this be sure to make sure they don’t return, though don’t rule it out.
While working online new threats are forming all the time so staying up to date will keep you guarded against new threats. E-business risk is an evolving pressure on small businesses but can always be fought against when picked out early enough. Use e-business should be an advantage to the business world, not a hindrance.
For more information on e-business risk contact the Winflow Financial Group.
At Winflow Financial Group, our consultants help entrepreneurs with our experience. Tell us about your business or investment today and find out how we can help your business save money and grow.