MANAGEMENT

Detailed explanation-1: -There are five categories of operational risk: people risk, process risk, systems risk, external events risk, and legal and compliance risk.

Detailed explanation-2: -The main risks that are associated with businesses engaging in international finance include foreign exchange risk and political risk. These challenges may sometimes make it difficult for companies to maintain constant and reliable revenue.

Detailed explanation-3: -Specific risks include fluctuations in currency exchange rates, economic or political instability, the potential for trade sanctions or embargo and anything else occurring in the country that could negatively impact the business environment or trade and cash flows in and out of that country.

Detailed explanation-4: -There are five basic steps that are taken to manage risk; these steps are referred to as the risk management process. It begins with identifying risks, goes on to analyze risks, then the risk is prioritized, a solution is implemented, and finally, the risk is monitored.