Topic: Coping with Risk. - page 7. (Read 1354 times)

First of all you are comparing two different things to choose which one is better. Business and investments both can make someone rich but I feel to be successful in business will take time and complete effort if its started from scratch while investment is short term compared to the time needed for making a business to be successful.

Everyone thinks they can play both fields, but it's about what you can handle, not what you want. Running a physical business requires knowing your community and the market. In addition to money, it requires your soul. What about internet investments? While unpredictable, they challenge your digital awareness and ability to discern trends from murmurs

Talk about danger like a game. It's not. Every move has implications in this deliberate decision. Diversification is lifesaving, not just good strategy. But it also demands self-knowledge, not simply market knowledge. Know your boundaries, strengths, and, most importantly, shortcomings. And advice? Look for it, then examine it. The key is how you handle risks, not the ones you take. Risk-smart, not risk-averse

First and foremost, anyone who wishing to formally introduce themselves to any kind of business must ascertain the capabilities of the venture they wish to pursue and conduct extensive research on it in order to determine the range of risks involved or to speak with those who have been in the industry for some time in order to determine whether they can truly afford it. Additionally, by knowing how much money he can start with, he may avoid losing money. The problem with cryptocurrency holding is that some people are extremely negligent about storing currencies in their wallets, and instead of maintaining their private keys, they misplace them.
All businesses face significant risks, the only difference is that they outperform one another. But we frequently take risks in order to succeed, because any business that generate money definitely has his own risk, because establishing a physical investment has a large risk since you never know which one will being more profitable in the long run. And if you don't have enough money you won't make a physical investment. However with an online business, you can start with a little amount of money and earned huge profits.

online business, of course, with the risks you mentioned, it will definitely make your heart skip a beat if you hear about hacking,
But basically all businesses have risks and all of this must be dealt with if you don't want to experience a high level of risk
like a physical business: you can only stock a certain amount if we are still in a small and medium business
For online investments such as crypto, try saving in a personal wallet without ever linking to existing sites

What do you mean by Shitcoin here? by taking small capital but making big profits even though you know that shitcoin is not a real investment but just gambling under the guise of investment. So don't make a mistake in defining business, investment and gambling. We will not tolerate shitcoins. There have been many victims and it is common for beginners who want to invest overnight but think they are investing. Invest in assets like Bitcoin for the long term, all of which require sufficient capital to achieve profits. Because the capital you have is directly proportional to the profits.

Taking risk is part of life cause without taking risks there is no result.but what kind of risks matters both physical or online business doesn't matter..you can do a physical business and have an high risks loses.the important thing is do what you no.get informed for the risks you are about to take.have a good feasibility study on your risks it matters alot.

Deciding between a physical business and online investments is a complex choice, as both involve inherent risks. Physical businesses require significant upfront costs, rely heavily on location, and are vulnerable to economic downturns. Online investments, on the other hand, are volatile, carry the risk of scams, and lack complete control over market fluctuations. Ultimately, the "riskier" option depends on your individual experience, resources, risk tolerance, and time commitment. Diversification and calculated risk-taking are key strategies regardless of your choice. Conduct thorough research and seek professional advice before making any significant financial decisions.

If I were in your shoes, I would consider pursuing both options. Running a physical business can create employment opportunities and contribute to the local economy, while online investments can offer potential for increased profits. However, it's crucial to minimize risks in both endeavors.

Risk is everywhere and the more we take it, the better for us as we can never be successful in life without taking risks. However, how you separated the two is not so good, you didn't think well about them in my opinion.

For the two, if the physical business could have a whole lot of risks as you said (which I know is not true) why won't the investments have the same, and even more? We can't just shortchange the safety of physical business for that of online. In my opinion, though there is also a degree of risk attached, but there are minimal risks to physical business unlike how you portray it, you can look around you for the proof. Online only brings easy opportunities, and this is not what risk means. This depends largely on the business we are talking about, there are some that are almost without risks, they only require your professional, resources and creative thinking, and if you are an employee, you can find a secure job and will be fine.

This is happening around us and you can imagine how people are making their huge money doing physical business and investments safely daily. Also, online investment is good but one must be extra careful online than the physical business/investments. This is partly because online is not as safe as offline, and most investments online are so volatile and dangerous, and many have shared both sides of the story (good and bad), nevertheless, in my opinion, those who are lamenting are more.

The point is that every business has risks in running it and we are required to be able to minimize them. The two points you mentioned both have risk impacts and physical and online businesses are not much different, it's just that the framework has a different pattern. Running a physical business such as a shop also does not guarantee that someone will not be cheated as long as the person running it does not try to avoid fraud and people tend to prefer running a physical business. But now there are also many people who are successful in businesses that are run online and the advantage is that we don't need to rent a shop because doing business online can be done in a slightly simpler way.

We can avoid hacking in online investments because it is actually related to the internet that it is impossible for anyone else to maintain the security system other than ourselves. Of course the risk is much greater, but as long as we can maintain a good security system, I am sure that the investment we make will definitely be much safer.

If I have to choose, I choose my own offline business run by myself by hiring other people too. because by existing and having a business is not just money. but we also have social status as entrepreneurs owning a company business.

indeed everything in regard of generating money always involves risk, but finding the best opportunity definitely could helps a lot.
i've experienced running quite few small business, some of them succeed some of them not, its a small scale so it doesn't necessarily cause me to go broke when i failed, thats why so many rich people keep saying to start from small business, just do it in short, because if we start from small we can test the water.
from my experience, there are simply too many things that needs to be considered, even running business and the accounting shows that we are in profit, we should see whether the profit is worth it.
i've started business once where i get profit but the amount of energy i put into turning that business too profit simply unsustaining and in the long term I think that'd be just a burden therefore i decided to close down the business and move on.
thats the thing with running physical business, the overhead sometime too much and need to be taken into account seriously.

First, you need to remember that investment is done even for people who have business. For example, Elon Musk still invests his money (which he made from his business) into different places. I’m trying to make you understand that you do not have to consider investment as business (at least not the primary business you have). You’re meant to have a business where you can take out money and make investments. I think it’s great to have a physical business and from the gains, you invest in Bitcoin or whatever you decide. 

The two are full of risk and there's no how you could play being so smart of going out of the risk involved in it, upon everything that we do, there's a certain amount of risk involved in it, this may be visible to us or not, but anything that will have to cause us should be completely avoided and we should take it, risk is not something we should afford taking all the time, we can always play safe as well, both online and in physical do exist risk taking, any investment we couldn't afford taking risk on should be avoided.

I don't know who tell you these but I hope you know that these are your risk which you can manage and if you follow proper guide and rules, you would have nothing to worry about. Who hack into wallet? Have you ever heard that Bitcoin wallet has been hacked before? You can get phish when you download a malware into your device but using hardware wallet keeps yous safe from these.

Your seed phrase is very difficult to attack, nobody has tried that has succeed and I don't think there is any software right now that can break that function because it's one way hashing.
Sending your coin to a wrong wallet can o my be your own mistake.


All business involves risk and there are levels to these various risk. If you have not try a physical business before, please don't try it with your last cash because the tendency of losing in a first try of a physical business is very high, you don't want to try a new business and get nothing. Just know that no successful business is risk free, you will definitely have something to lose.

Online business doesn't have to be crypto investment alone. Look out to other legit online business and diversify your money into them to mitigate the risk involves in them and have a hedge to protect your investment.

In general, the risk of online investment is greater, while starting a physical business the risk is lower, and both really depend on personal understanding and insight. On the other hand, starting a physical business also really depends on the environment, what kind of business you want to start, and only by making a choice can we measure future risks. It is true that no job is free from risk, only that we can minimize it. Regarding the risks involved in investing online, it is actually not limited to high hacks, where we are required to have specific and comprehensive knowledge regarding the model and type of investment we want to make.

To narrow the discussion, we can take investing in Crypto currency as an example, of course we have to learn a lot about how the market works and other basic stages. We also need to learn to analyze thoroughly the type of coin we want to buy. In essence, we have to know every detail well, so we can measure the risk to avoid losses.

like you've rightly pointed out, every business has it's own peculiar risk and what makes a business stand strong or fail is the ability to understanding the risk involved in the business and work out ways to overcoming it.

With regards to which of the business that has the highest risk, we can't plainly say that doing a physical business is more risky than doing an online business because in the case of bitcoin trading, ones you've lost access to your wallet, all your effort has gone waste. A physical business also has its own problem because their are cases were fire outbreak do happen and everything just goes down like that and their is nothing left for The owner of the business to start up with.

But since the online business requires more of skills than finance, if in the even that you've lost all your access to whatever you're doing online, since you're are skilled at what you're doing, you can easily find a way of starting all over again.

Mr John can establish an online business and not be successful and Mr Dave can set up same business and be successful. Also, all businesses come with its own risks and it doesn't matter whether online business or physical business, the most important thing is having the required knowledge to make it work. For instance if you want to invest in Bitcoin, it is required that you know how the market works and wallet security to be a successful investor.

OP, who could say what's more risky? Would it matter to you? Because let's pretend that you gave more details about your "Plan A" and your "Plan B", and that we could make the "risk" more quantifiable, then the result tells you that running the physical business is "less risky". The question would be is that what you really want to do for the next five years? Starting a business is NOT easy. It will take a lot of commitment and conviction from you to keep it going. 

Plus the fact that you're asking random people in the forum for advice probably means that you're not ready. If you're truly ready to take on any risks, your motivation would have already made you start moving.

   The answer to this question depends on the type of business, the goals of the business owner, and the resources available. Generally speaking, an online business can be more cost effective than an offline business because it requires fewer overhead costs. For example, online businesses don't need to pay for rent or utilities like a traditional store would. Additionally, an online business can reach a much larger audience than an offline business due to its ability to be accessed from anywhere in the world with an internet connection. Finally, online businesses have access to more sophisticated tools and technology that can help automate processes and increase efficiency.
   Offline businesses, on the other hand, offer more personal interaction with customers, the ability to build relationships and trust, and a physical presence in the community. They may also be better suited for certain industries, such as retail or food service, where customers prefer to see and touch the products before purchasing. Overall, both online and offline businesses have their advantages and disadvantages. It's important to consider all factors before deciding which type of business is best for you.

You cannot do business that is not risky, expect is not a business that can generate money any business you choose to engage on,  you need to get knowledge about it before you begin so that your risk will minimized. In my opinion, I prefer online business because he generates profit fast when you understand everything about it. In physical business, you need to have the actual money before you can start the business and he can lead to lose as long as there is risk involved. but in online business you can even start with a small money and he can lead you to a huge profit, just like crypto, that you can invest any amount you have and he will give you income when you leave it for long term.

Physical business has benefits, and online business also has benefits. It is up to you to choose which one will work best for you, because everyone has different knowledge. If someone tries physical business, he will most likely fail, but if he starts an online business or invests, he will benefit and profit. It is just a matter of understanding and choosing the one that you think will be better for you, but both of them are risk.