You are on page 1of 2

RISK

1. need to compete with other companies that selling vending machine.


- many companies open vending machine business as we can see there
are many vending machines everywhere such as in the mall, at the
mosque, school, campus, and office.
- This can result in reduction of revenue for people who are into the
business.
- from here, our company must know how to tackle the customer to buy
our products so we can increase our selling.
- so, our first efforts are we are selling vending machine with the
affordable price and interesting foods and beverages

2. Legal risks
- While starting any business we must consider the legalities of it.
-example; licensing and leasing agreement
- In some cases, the business owner who owns the location you want to
site your vending machine may require you to sign a leasing agreement
with them. The implication of this is that you will have to offer a
percentage of your sale to him or her as a form of royalty irrespective of
how much you made. This will further reduce your monthly income.

- so, we are trying to take help of legal advisors to check insurance


papers, lease documents and license of our company. = The documents
must meet up all the requirements with utmost precision to avoid any
legal traps in the future. An eye on specifications of these documents
would help in smooth running of the vending machine business as well.
-example; licensing and leasing agreement

3. Theft occurred against money and food in the machine


- Vending machine usually the main attention for thieves to steal
because they are even more vulnerable since they are meant to be
accessible.
- If this happens, it will bring loss to our company
- This can happen if the location of the machine lacks security and
especially at the high-crime area.
ADVANTAGES
1. The machine has variety of food and beverages for people to choose
- Inside the machine, we put some foods like snack, sandwich, and
frozen food and beverages
- The total of the food and beverages is 12

2. it will save time and other costs for people.


- If vending machine has at workplaces, it will give convenience for
workers to buy foods and drinks
- Rather than let the staffs get up and leave to get food and beverages
outside office, they can get them at the vending machine quickly and
conveniently.
- It will save their time and costs like money and also the petrol
- the lunch time is very short, and some people do not have time to go
out to buy foods.

DISADVANTAGES
1. some of the foods need to be heated and our vending machine does not
provide the microwave to heat the food.
- The customers need to find the microwave to heat their food if they
buy the frozen food

2. The foods might be expired and damaged if people do not buy it


- Like sandwich, this food only can last in 3 days.
- So if there are no buyers for this food, we need to throw away the
food and replace with the new. >this will affect our profit

You might also like