Which of the following would create business risk within an oil company?
A)The impact of new environmental laws encouraging the uses of alternative energy sources
B)Uncertainty over potential new oil reserves
C)The entrance of new oil producers into the industry
D)Fluctuations in the price of oil on the market
E)All of the above

Question

Quizplus · Accepted Answer

All of the choices listed would create business risk within an oil company. New environmental laws encouraging alternative energy sources could lead to decreased demand for oil, uncertainty over potential new oil reserves could impact future production and profitability, new entrants into the industry could increase competition, and fluctuations in the price of oil on the market could impact revenue and profits.

Which of the Following Would Create Business Risk Within an Oil