Risks Specific to Chicago Steak Company
Economy: if the economy in the US should enter a recession or downturn it could cause customers not purchase a luxury good item.
2. Change of attitude: if the attitude of the American public turns negative toward Beef/Red Meat it could cause a decrease in business activity.
3. Transportation Costs: if the price of Gasoline increases it would cause our delivery cost to increase and we would need to pass that cost on to the customer. This may result in people electing not to buy our product.
4. Mad Cow Disease: If (BSE) Bovine Spongiform Encephalopathy reoccurs in the US it could cause a crash in the beef/cattle market.
5. Management: should any health or personal issues arise in the Management Team at Chicago Steak Company it could cause a disruption in business activities.
6. Competition: should new competitors enter the market it could cause a cannibalization of the company’s market share.
7. If an issue develops with FedEx or UPS, it can cause trouble with the distribution of the product.
8. If a major storm or other “act of god” were to disrupt the UPS or FedEx delivery network, it would cause significant loss of products.
9. Supplier: should any issue arise with our supplier that prohibits them from supplying & fulfilling orders, it would cause disruption in the business activities.
10. Chicago Steaks is currently a S-Corp and has filed with the IRS to become a C-Corp. This is expected to be approved within 60 days.