Enterprise Risk Management in Innovation Process : The Risk Comparison between Small- to Medium-Sized Enterprise and Multinatinoal Corporation

Ristk Management is a fairly a significant topic for companies no matter the big or small to medium-sized company. The risk-category was identified and classified by economists and financial experts and relevant literatures such as financial risk, market risk, operational risk, technological risk etc. The main risk also classifies systematic and unsystematic risks. For all kinds of companies, a potentially more important value is the use of risk management which is to help ensuring companies' cability and awareness to fund their investment opportunities and carry out their long-term strategic plan. Innovation management is also an important topic for companies and top managers in day-to-day management. In order to compete with another rival in fierce global business market, companies always seek the solution to improve performance in different perspectives of manufacturing or service and management. Innovation process contains many uncerain factors that influence the final result of work, not only is a big corporation, as well as the small- to medium-sized enterprises constrain the risk to reduce the losses in innovative period. Therefore, all companies in product and servivce sectors consider that understanding the antecedents and consequences of innovation and entrepreneurship is critical because technological change hs been shown to be related to improvements in economic performance at the firm, industry and national level. (...