Connector new product development process
In the process of new product development, risk control needs to be considered in advance. There are four basic approaches to risk control: risk avoidance, loss control, risk transfer, and risk retention. Risk avoidance is the intentional abandonment of risky behaviors by investment entities to completely avoid specific loss risks. Simply risk aversion is the most negative way to deal with risk, because investors often give up potential target returns at the same time they give up risky behavior. Therefore, this method is generally used only in the following situations: 1. The investment subject is extremely averse to risk. 2. There are other solutions that can achieve the same goal, and the risk is lower. 3. Investment entities are unable to eliminate or transfer risks. 4. The investment entity is unable to bear the risk, or the risk cannot be adequately compensated. Loss control is not abandoning risk, but making plans and taking measures to reduce the possibility of loss or t...