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research / germany
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Any source of profit can only be exploited if the entrepreneur is willing to take economic
risk. Accordingly, the income of economic actors can be regarded as an equivalent for
risk taking activities. They pointed out that it is impossible to act as a merchant without
taking any risk. At least some risks will remain which cannot be insured in any way. This
insight is an important impetus for management, even in developing countries. Any
entrepreneur is forced to recognize the potential risks, to calculate them and to make
adjustments by an alert risk management. Others regards risks as the root of any kind of superior profit. Going beyond the insights it is senseful to point out that walking the road to superior profits goes along with tackling three basic tasks. The first one is about organizing economic activities which can be regarded as both an internal and external matter. Moreover, risk taking goes along with speculation which refers to make decision on markets. Finally
inspection is required as an internal task. All arguments clearly
demonstrates that taking risks can hardly be separated from the execution of other
entrepreneurial functions as mentioned above.
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