Chapter P, Problem 6E

To determine

Business risk: Business risk is the chance of having lower profit or experience a loss. It is influenced by various factors like sales unit competition in the market increasing cost, changes in government rules. Different company faces different risk depending upon the industry. The risk of government regulations, hyper competition in the market, risk of increasing cost, risk of being obsolete and many other risk.

To Identify: The risk faced by the companies that compete with each other in same industry for the given industries.