THE THREAT OF ANALYSIS

So what is it threats? Threats include anything that could have a

negative impact in the company from the outside, such as issues with
the supply chain, changes in consumer demand, or a lack of qualified
applicants, it can be inside or outside of the company. It's critical to
foresee threats and respond to them before the company may
become a victim of them and your growth stagnates.

A threat analysis is a process used to determine which components of

the system need to be protected and the types of security risks
(threats) they should be protected from .
importance
IT is important to a upcoming business or while engaging in a
business, because As an organization grows and changes, and as the
outside world changes, the degrees and types of threats to that
organization will also change. Finding out information and gathering
data with solution ensures that new threats are included and shows
where new security mechanisms may be applied to the network as
such as making conclusive plan or sanction to be the solution . Which
resolves the issue in and out of the company.

Threat of new entrants describes the danger that fresh competitors

offer to established rivals in a market. Consequently, a prosperous
industry will draw additional rivals trying to make money. The firms
already engaged in competition in that sector are put at risk if it is
simple for these new competitors to enter the market and if entry
barriers are low. Less profit is generated when there is more
competition or when production capacity is raised without a
corresponding increase in consumer demand. structured. Thus,
Porter's characterization of the threat of new entrants altered how
people view competition in an industry. These means that getting a
new business to produce in the market without conclusive analysis on
what you are making, will lead to failure, while making conclusive
assumptions and where would be the goal is can get the business
growing as by knowing the market itself. Thus there are two types of
threats which are high and low threat that we should know.

PRODUCTS
High
Undifferentiated products
- These are the products that common or not unique which are can be easily
replace by the other producers.

Staples like sugar, flour, toothpaste, dish soap, and fruits and vegetables are just a few
of the many undifferentiated product examples that just about everyone buys,
regardless of demographics.

It is high risk for it has many competitors within the market

Low
Differentiated product”
- These are products that unique qualities or modified to be different among other
specifics
- refers to products that can remain competitive despite being put against
competing products that are very similar. Cars, smartphones, computers,
shoes, and perhaps most notably, bottled water are just a few common
examples of differentiated products.

It is a low risk for the products eye catching and which gets curiosity to its consumer
with high assumptions

BRAND
Brand are not well known
- We all know that trying to get business with a brand not being well known is high
risk, for it has a lot of time to gain trust or loyalty from customers and to gain
attraction or consumers to products that you are selling, it also leads to high cost
 marketing expenses to introduce the product and company to its consumer and
investors

Brands are well known

- Due to the brand is well known therefore the companies are easily trusting the
business you will put in as well as customers that are brand loyals, it will much
easier to sell and to get investors.

Capital
High risk

There are many reasons why small businesses don't succeed, one of the most common
reasons being lack of capital. Lack of capital can result in not having enough to cover
overhead expenses, funding expansion opportunities, or launching a new
product to market

Low working capital can often mean that the business is barely getting by and has
just enough capital to cover its short-term expenses. However, low working capital
can also mean that a business invested excess cash to generate a higher rate of return,
increasing the company's total value.

Your credit may suffer if you miss a deadline for paying a bill or other debt. Creditors want
assurance that your company can cover its payments. You have more control over sustaining
working capital levels once you've obtained a loan. However, if you don't have enough working
capital, it could be challenging to secure additional loans. The potential lender will be worried
about your ability to pay more monthly obligations on top of your current obligations.

Low risk
Having a high capital can gain trust on investors, which leads to enough assets or working
capital to produce another capital which also means they have have a high liquidity on cash to
pay their expenses, thus having a high capital can also shows that the company has many
assets that are not working to produce another one.