Much Ado About Nothing - A Feminist Perspective of Hero Essay -- Femin

A Feminist Perspective of Hero in Much Ado About Nothing  Ã‚     Ã‚   Unlike the title of this piece suggests, Hero did not undergo her transformation in Much Ado About Nothing through magic.   Rather, Hero was a victim of the double standards and illogical fears that the men of Shakespeare’s plays commonly held.   The following quote sums it up quite well:   In the plays female sexuality is not expressed variously through courtship, pregnancy, childbearing, and remarriage, as it is in the period.   Instead it is narrowly defined and contained by the conventions of Petrarchan love and cuckoldry.   The first idealizes women as a catalyst to male virtue, insisting on their absolute purity.   The second fears and mistrusts them for their (usually fantasized) infidelity, an infidelity that requires their actual or temporary elimination from the world of men, which then re-forms [sic] itself around the certainty of men’s shared victimization (Neely 127).     Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Hero’s plight in Much Ado About Nothing is a perfect example of how the skewed male perspective can turn a sweet and innocent girl into a scheming strumpet in no time.   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   The main problem is young Count Claudio.   He is immature when it comes to matters of love, and it shows when he hints of his growing feelings for Hero when he asks Benedick what he thinks of her (I.i.161).   Claudio cannot come out and just say that he has feelings for Hero, he has to seek approval from his male counterparts first.   While talking to both Benedick and Don Pedro, Claudio describes his feelings as passion first (I.i.219-220), and then he says, â€Å"That I love her, I feel† (I.i.228), indicating that he knows he feels something for Hero, but he is unsure of exactly what his feeling... ...   Ironically, this has occurred because of the folly of the men, almost making up for the double standards exercised in the beginning†¦But not quite.   Hero should not have had to depend on the men to regain her honor. Works Cited   Ã‚   Much Ado About Nothing.   Directed by Kenneth Branagh.   Samuel Goldwyn Company and Renaissance Films, 1993.    Much Ado About Nothing.   The Riverside Shakespeare, 2nd ed.   Boston: Houghton Mifflin Co., 1997.   366-398.    Neely, Carol Thomas.   â€Å"Shakespeare’s Women: Historical Facts and Dramatic Representations.†Ã‚   Shakespeare’s Personality.   Ed. Norman N. Holland, Sidney Homan, and Bernard J. Paris.   Berkeley: University of California Press, 1989.   116-134.    Ranald, Margaret Loftus.   â€Å" 'As Marriage Binds, and Blood Breaks': English Marriage and Shakespeare† Shakespeare Quarterly 30, (1979): 68-81.      

Biography of Jean Jacques Rosseau

Rousseau was born in Geneva, the son of a watchmaker. His mother died shortly after his birth, and his aunt and uncle raised him. At 16 he set out on into the world which brought him into contact with Louise de Warens, who became his patron and later his lover. She arranged for his trip to Turin, where he became a Roman Catholic convert. After serving as a footman in a powerful family, he left Turin and spent most of the next dozen years at Chambery, In 1742 he went to Paris to make his fortune with a new system of musical notation, but he failed. Once in Paris, however, he became friends with Denis Diderot. Diderot later commissioned Rousseau to write articles on music for Diderot†s Encyclopedia. In 1749, Rousseau won first prize in a contest, held by the Academy of Dijon, on the question: â€Å"Has the progress of the sciences and arts contributed to the corruption or to the improvement of human conduct? † In 1765 he was expelled from Bern and accepted the invitation of David Hume to live at his house in England; there he began to write the first part of his Confessions, but after a year he quarreled violently with Hume, whom he believed to be in league with Diderot and Grimm, and returned to France in 1767. After wandering through the provinces, he finally settled in Paris, where he lived in a garret and copied music. The French authorities left him undisturbed, while curious foreigners flocked to see the famous man and be insulted by him. At the same time he went from salon to salon, reading his Confessions aloud. In his last years he began Reveries du promeneur solitaire, descriptions of nature and his thoughts about it, which was unfinished at the time of his death. Shortly before his death Rousseau moved to the house of a protector at Ermenonville, near Paris, where he died. In 1794 his remains were transferred to the Pantheon in Paris. Few people in the Enlightenment Period equaled Rousseau†s influence on politics, literature and education. Rousseau†s thoughts begin with the fact the he believed we are good by nature but when put in society we begin become more disorganized. According to Rousseau, humanity†s only flaw was social behavior as he stated in his book â€Å"The Social Contract. † â€Å"But human nature does not go backward, and we never return to the times of innocence and equality, when we have once departed from them. † (The Social Contract, Book I, Ch. ) Going along with his idea of social order was Rousseau†s aim at freedom. He believed that the purpose of law and government was to expose the people†s wishes for the ideal government. Rousseau†s theory was, since the people decided if a ruler is fair or not, it was up to the society if the government was able to grant the people their liberty and well being. Basically, the government was only as strong as the people worked for it to be. If society didn†t like the tactics used by the ruler, the government would not gain control. Rousseau†s ideas on education are still used today. Rousseau outlined in his book, Emile, that education shouldn†t be viewed as trying to get a child to understand everything, but to draw out what was already in the child. Education was to be monitored and controlled very carefully and in the end, the process should result in the natural development of a child†s potential. Rousseau†s writings were always personal, describing his deeply keep secrets and thoughts. During the Enlightenment Period, Rousseau†s writings were incredibly popular. His book, Heloise, was one of the most popular and his book Confessions is still widely read today. His knowledge of musical theory was amazing because it was self-taught. Although his work did not have an effect on Enlightenment music, his compositions live on today. Rousseau†s influence on the Enlightenment was just as great as many of the more well know philosophs. Rousseau expanded on John Locke†s theory that a society has the right to question the authority of an unjust ruler. Rousseau highly influenced German and English romanticism, a movement in the 18th century that was marked by an emphasis on emotion and imagination. His thoughts about the rule of the government had a profound impact on French revolutionary thought. During the Enlightenment, people were beginning to become more independent and question authority. Society was starting to move away from conventional thinking and Rousseau social contract was the beginning to this revolution. Rousseau†s social contract was an addition to Thomas Hobbes†s social contract. Rousseau†s version stated that the contract was an agreement between free individuals to create a society and a government while Hobbes believed the ideal relationship was between a society and its government. Rousseau contributed greatly to the movement in Western Europe for individual freedom and against the absolutism of church and state. Rousseau†s ideas were a stepping-stone onto which the American colonists followed. Using Rousseau†s ideas on individual freedom, the colonists declared their independence from Great Britain and formed their own colonies. Rousseau†s ideas on education not only reflected the movements of his time, his ideas started a new movement. His thinking has not only influenced our ideas on education, they have formed the basis for what we believe in. Rousseau believed every child had the potential to become great, but it just a matter of releasing their knowledge. Teachers today use Rousseau†s thinking of allowing the free development of human potential to guide students through life. His ideas on education were new and different at the time. With these ideas, Rousseau added to the spirit of his time by creating new standards on education and learning. Rousseau†s thoughts can be summed up in a quote from his book, â€Å"The Social Contract,† (Book 2, Ch. 2) â€Å"Man is born free and everywhere he is in chains. Let us then admit that force does not create right, and that we are obliged to obey only legitimate powers. In that case, my original thought recurs, live free as equal individuals in a state of nature. â€Å"

Funding in SMEs and the Risk Faced - Free Essay Example

Sample details Pages: 9 Words: 2743 Downloads: 2 Date added: 2017/06/26 Category Management Essay Type Research paper Did you like this example? Funding in SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s and the risk faced. Risk management and SME 2.1 Definition of SME Hermann, 1996 ; à ¢Ã¢â€š ¬Ã…“Small and medium sized enterprises (SME) differ from large corporations among other aspects first of all in their size. Their importance in the economy however is largeà ¢Ã¢â€š ¬Ã‚ . There are different definition of SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s but most commonly the firm should have up to 250 employees and jobs in small and medium enterprises accounts of 50% of formal employment in developing countries (Ayyagari et al 2007) . According to the European commission 2011, SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s should consist of these following criteria : Company Employees Turnover Balance sheet total Medium-sized 250 à ¢Ã¢â‚¬ °Ã‚ ¤ à ¢Ã¢â‚¬Å¡Ã‚ ¬ 50 m à ¢Ã¢â‚¬ °Ã‚ ¤ à ¢Ã¢â‚¬Å¡Ã‚ ¬ 43 m Small 50 à ¢Ã¢â‚¬ °Ã‚ ¤ à ¢Ã¢â‚¬Å¡Ã‚ ¬ 10 m à ¢Ã¢â‚¬ °Ã‚ ¤ à ¢Ã¢â‚¬Å¡Ã‚ ¬ 10 m Micro 10 à ¢Ã¢â‚¬ °Ã‚ ¤ à ¢Ã¢â‚¬Å¡Ã‚ ¬ 2 m à ¢Ã¢â‚¬ °Ã‚ ¤ à ¢Ã¢â‚¬Å¡Ã‚ ¬ 2 m Table 1 : criteria for SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s European commission 2010 SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s play an important role in our Mauritian economy , they are the major source of innovation, employment and entrepreneurial skills. In Mauritius the Small and Medium Enterprise Development Authority (SMEDA ) defines an SME as an à ¢Ã¢â€š ¬Ã…“enterprises in all economic sector and a Small Enterprise is defined as an enterprise which has an annual turnover of not more than 10 million MUR and Medium Enterprise is defined as an enterprise which has an annual turnover of more than 10 million MUR but not more than 50 million MUR à ¢Ã¢â€š ¬Ã…“ . Small sizes and medium sizes are defined separately due to different support and objectives which these enterprises required. Section B : sources of finance for SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s 2.2 Capital structure SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s do not have the opportunity to contact business consultants of business specialist with them so they have to rel y on their general competence as owners. SMEs have a different characteristics as compared to a big companies (Berger and Udell,1998). Small and medium enterprises suffer from a great lack of financial resources which prevent them from growing . since competitive threats can affect small businesses , they prefer to quickly adapt changes in market demand rather than implementing a long term approach (Jennings and Beaver, 1997). Vos et al, 2007 stated that entrepreneur are forced to use debt as an important financing instrument 2.3 Financing of SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s Firms typically need different types of financing measures for different purposes and at different points in their life cycle.SME financing received much attention in recent years from researchers, economists and policy makers (De la Torre et al, 2010). Basically, the level of required financing depends on a firmà ¢Ã¢â€š ¬Ã¢â€ž ¢s financial performance and its assets (Hillier et al, 2010). SMEs finance themse lves through internal sources such as both from the business owner and through retained profit. Many SMEs also use external sources of finance. It can be in two forms either from informal sources such as family , friends and from Formal sources such as bank loans, leasing, trade credits, factoring and more à ¢Ã¢â€š ¬Ã…“formalà ¢Ã¢â€š ¬Ã‚  Venture Capital, which is important for a select group of high potential SMEs (EIM, 2009). In addition it can be said that SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s have more problems in acquiring external financing as compared to larger companies. Naturally, SMEs are not able to raise money directly in the capital markets and are hence they need other external sources they primarily depend on traditional bank financing, which is itself limited by constraints due to banksà ¢Ã¢â€š ¬Ã¢â€ž ¢ refinancing capacity, their risk appetite and capital and equacy (Kraemer-s,Lang, and Gvetadze, 2013) 2.4 Sources of finance Don’t waste time! Our writers will create an original "Funding in SMEs and the Risk Faced" essay for you Create order Retained earnings Retained earnings are à ¢Ã¢â€š ¬Ã…“the profit that a company of business have earned to date less dividend and other distributions paidà ¢Ã¢â€š ¬Ã‚  Steve B, 2010. à ¢Ã¢â€š ¬Ã…“Earnings are cumulative and represent past and present earningsà ¢Ã¢â€š ¬Ã‚  ( Peaver R, 2012).this earnings can be a good source for SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s and it is less risky . Personal savings Using your own money to start up is an own satisfaction in itself and you donà ¢Ã¢â€š ¬Ã¢â€ž ¢t owe anyone . Many owners or managers do not like to use long term debt , so they try to adopt a à ¢Ã¢â€š ¬Ã…“pecking order of financing preferencesà ¢Ã¢â€š ¬Ã‚  (Howorth, 2001). The owners use their own personal savings or receive savings from families and friends . Nottingham,20 November 2013 , it was found that one quarter SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s use their personal savings to finance their own business . Angel investors Collen D, 2010 define Angel investor is an individual who is willing to invest in the early stage of a business in exchange for ownership stake . If owners want quick and aggressive growth they can turn to angel investors for capital they bring both time experience and money à ¢Ã¢â€š ¬Ã…“One of the greatest contributions given by angel investors is that they prefer to invest in seed-stage, start-up-stage or early-stage enterprise mayer, 2008à ¢Ã¢â€š ¬Ã‚  some investors prefer early stages because they can have an important or active role in the business and others may take it as a challenge for them. There is definitely a share of control in the business since an investor is interested in it , this can affect decision making process but on the other hand the riskiness is shared. Partnership Alfonso et al , 1995 defined partnership as à ¢Ã¢â€š ¬Ã…“more than simply working togetherà ¢Ã¢â€š ¬Ã‚ . Partnership can be relationship with vendors, business alliance , emphasis of teamwork an collaboration. So the collaboration of two of more individuals of firms is an excellent source of providing funds to run a business or to go on a venture. It can be risky as other partners do not have the same way of thinking and taking decision process can be very long as the approval of other partners is required. Leasing Leasing provide SME to have access to short and medium term finance. Fletcher et al ,2005 define leasing as a contract between two parties where the lessor provide an asset to another party for usage for a given time period , in return for a payment by the lessee . In the budget 2012 speech it was announced that the interest rate under leasing of equipment was brought down from from 8.5 % to 7.25 % 2.5 Debt finance Debt involves that the owner must borrow and payback with an interest . An important aspect of debt financing is that it the owner have complete ownership of his business. According to Aswarth some general characteristics of debt are : commitment to make a fixed payments in the future, the fixed payment are tax deductible and finally failure to make payment lead to either default or loss of control of the business. Bank Loans to SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s One of the most important source of debt finance for small and medium enterprises is to take out a bank loan Yesseleva, M. (2010). Bank support to SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s in Mauritius : New measure announced in Budget speech 2012 by honorable Xavier luc duval. The scheme includes new overdrafts and bank loans as well as renewal of existing. 35% guarantee provided by Equity Fund Interest rate at 7.9 percent (repo + 300 basis points) SMEs apply directly to banks (sources : SME portal mauritius). 2.6 NON-bank sources of debt finance Asset base lenders à ¢Ã¢â€š ¬Ã¢â‚¬Å" à ¢Ã¢â€š ¬Ã…“usually smaller commercial banks, commercial finance companies, or specialty lenders, allow small businesses to borrow moneyby pledging otherwise idle assets such as accounts receivable, inventory, or purchase orders as collateralsà ¢Ã¢â€š ¬Ã‚  Discounting accounts receivables à ¢Ã¢â€š ¬Ã¢â‚¬Å" a small business pledges his account receivable as collaterals. Inventory financing à ¢Ã¢â€š ¬Ã¢â‚¬Å" à ¢Ã¢â€š ¬Ã…“a small business loan is secured by its inventory of raw materials, work in process, and finished goodsà ¢Ã¢â€š ¬Ã‚ . Vendor financing à ¢Ã¢â€š ¬Ã¢â‚¬Å" Borrowing money from vendors and suppliers in the form of credit Commercial finance companies à ¢Ã¢â€š ¬Ã¢â‚¬Å" a second option if the owner did not obtain a loan from a bank. Stock brokerage houses à ¢Ã¢â€š ¬Ã¢â‚¬Å" brokers also give loans and ità ¢Ã¢â€š ¬Ã¢â€ž ¢s interest rate are often lower than banks. Insurance companies à ¢Ã¢â€š ¬Ã¢â‚¬Å" these companies offer policy loans and mortgage loans. Credit unions à ¢Ã¢â€š ¬Ã¢â‚¬Å"à ¢Ã¢â€š ¬Ã…“ these are nonprofit financial cooperatives that promote saving and provide loans to their memberà ¢Ã¢â€š ¬Ã‚  Bonds Sources : Michael wolff à ¢Ã¢â€š ¬Ã…“sources of debt and equity financeà ¢Ã¢â€š ¬Ã‚ . Some institutions that provide debt finance in Mauritius : Development bank of Mauritius (DBM) The Mauritius Leasing Company Limited SBM Lease Ltd SICOM Financial Services Ltd MAURITIUS POST COOPERATIVE BANK (MPCB) Section C : Risk and risk management 2.7 Definition of risk à ¢Ã¢â€š ¬Ã…“Risk appetite refers to the amount of exposure to potentially negative occurrences that an organisation is willing to acceptà ¢Ã¢â€š ¬Ã‚  (Baek et al., 2005). à ¢Ã¢â€š ¬Ã…“Constructed from an investment management perspective, the crucial aspect of risk appetite that impacts on our theoretical position is that traditionally, risk, rather than being seen for its potential opportunities has been conceptualised to reflect a perception of being undesirableà ¢Ã¢â€š ¬Ã‚  (Hansson, 1996, 1999, 2005; Campbell, 2006). When doing business, constantly decisions, where the outcomes cannot be foreseen with certainty due to incomplete information, have to be made (Stroeder, 2008, p.135) . Risk can be of two types . it can be either systematic , which is also called the market risk or undiversifiable risk, these risk are independent of business decisions. The second type of risk is unsystematic risk (also called diversifiable risk or specific risk) which are result of managerial decisions (Retzlaff, 2007, p.11) . 2.8 Risk management Head , 2009 define risk management as à ¢Ã¢â€š ¬Ã…“the process of planning, organizing, directing and controlling resources to achieve given objectives when good or bad events are possibleà ¢Ã¢â€š ¬Ã‚  .according to Vaughan and Vaughan (2001) à ¢Ã¢â€š ¬Ã…“the main objective of risk management is to ensure that the organisation is not prevented from achieving its primary objectives as a result of losses that might arise from its operations. à ¢Ã¢â€š ¬Ã‚  Henschel and Gao (2010) affirm that a à ¢Ã¢â€š ¬Ã…“risk management system is necessary for SMEs not only because it is required by law but rather because it is in the essential interest of the SMEà ¢Ã¢â€š ¬Ã‚ . Smith and Watkins, 2002 further support that risk management should be of a main concern to small businesses as they are sensitive to business risk and competition . It is th e responsibility of the owner manage these risk and he will be accounted for risk decision made for the business. 2.9 Application of risk management Bajaj (1997) reported that à ¢Ã¢â€š ¬Ã‚ if a risk is not identified it cannot be controlled , transferred or otherwise managed.à ¢Ã¢â€š ¬Ã‚  Risk management should be applied throughout the whole life of a business or a project. Accordind to jaafari et al , 1995 , there are three stage of risk management : Risk identification Risk analysis and Risk respond 2.9.1 Risk identification This is the first stage of risk management, it is a process which can reveal and determine the possible risk . the correct risk should be identified effectively by risk managers . if those risk are not successfully identified , then losses or gains could not be found and in time it will become non-manageable by the organisation (greene and trieschmann, 1984) . à ¢Ã¢â€š ¬Ã…“the inability to identify possible gains is as inappropriate as non-identified risk related to lossà ¢Ã¢â€š ¬Ã‚  Dickson et al , 1986. So ignoring a good possibility is the same as bearing a loss . According to William et al , 1998à ¢Ã¢â€š ¬Ã‚  risk identification can be described through the following elementsà ¢Ã¢â€š ¬Ã‚ : Sources of risk Hazard factor Perils Exposure to risk Sources of risk à ¢Ã¢â€š ¬Ã…“Elements of the organization environment that can bring some positive or negative outcomesà ¢Ã¢â€š ¬Ã‚  lubka 2002. For example , if a firm undertake to produce a new good , this decision is barely influenced by the market. So the matket condition , availability of competitors , customers , quality of raw materials is the sources of the risk . Hazard factor This is the conditions and circumstances that increase chances of gains and losses. An error in the firm management about the market of a product can be a hazard factor . Peril Peril can cause unknown and unpredictable loss and it can happen any time.à ¢Ã¢â€š ¬Ã‚ A peculiarity of peril is that it does not include a positive meaning , as the peril always cause lossesà ¢Ã¢â€š ¬Ã‚  hance et al , 1991 . Resources exposed to risk à ¢Ã¢â€š ¬Ã…“These are objects facing possible losses or gain . they will normally be affected if a risk event occursà ¢Ã¢â€š ¬Ã‚  . 2.9.2 Risk analysis and evaluation à ¢Ã¢â€š ¬Ã…“Each event may be a single incident or an aggregation of incidentà ¢Ã¢â€š ¬Ã‚  (Williams, 1995). There are several analysis techniques to quantify risk. These techniques are code optimization , sensitivity analysis , probability analysis . 2.9.3 Risk response This means to manage the risk using proper techniques to minimize risk or to eliminate it . 2.10 Business risk faced by SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s Both large companies and SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s operates in the same business environment but they à ¢Ã¢â€š ¬Ã…“derive different benefits and opportunitiesà ¢Ã¢â€š ¬Ã‚ , they are also expose to different type of risks . à ¢Ã¢â€š ¬Ã…“ this is because of their differences in economic capacity including asses to human capital and material resources . Kelkar (2008) à ¢Ã¢â€š ¬Ã ‚ theorizes that SMEs are weak in terms of business plan, management structure and in decision making when compared to large organizations. This further increases SMEsà ¢Ã¢â€š ¬Ã¢â€ž ¢ inability to absorb most business uncertainties and risksà ¢Ã¢â€š ¬Ã‚ . According to suh , 2010 the SME sector is more affected by economic environment and is the first to bear external shock so there are more SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s closing down than being established. 2.11 Specific Business risk In which SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s are exposed to Liquidity risk à ¢Ã¢â€š ¬Ã…“Liquidity measures the ability of the firm to cover itsà ¢Ã¢â€š ¬Ã¢â€ž ¢ expenses and therefore it also shows whether the company is able to cope with some losses due to risk occurrenceà ¢Ã¢â€š ¬Ã‚  (Smithson, Smith Wilford, 1995) . A lack of liquidity will prevent the firm to pay its bill and day to day expenses. Continuation of business à ¢Ã¢â€š ¬Ã…“The business entities under SME sectors are mostly proprietorship and partnership concerns. Few in the joint stock companies are private limited or closely held public limited companies. Thus, the very constitution itself may prove to be risky due to lack of professionalism and overdependence on one or two key persons for running the show. Lenders and other stakeholders in SME sector cannot afford to forget this factà ¢Ã¢â€š ¬Ã‚  R.s . Rahavan (2005) . Leverage of financial structure The limit to which small business can raise capital and due to this disadvantage this affect their capacity to leverage on the financial structure R.s . Rahavan (2005) Tough competition Due to intense competition on the market , SME have to cut down their product cost and reduce their profits. Therefore they absorb higher input cost. Account receivables Salima et al, 2011 stated that à ¢Ã¢â€š ¬Ã…“the supply of trade credit by SMEs is the product of both customer demand and the possibility of strategic advantage, but it is subject to risk.à ¢Ã¢â€š ¬Ã‚  Business who provide credit facilities always suffer the risk that customer do not pay their debt . Incapacity to go for technological advance à ¢Ã¢â€š ¬Ã…“Technological innovation is a key factor in a firmà ¢Ã¢â€š ¬Ã¢â€ž ¢s competitiveness. Technological innovation is unavoidable for firms which want to develop and maintain a competitive advantage or gain entry in to new marketsà ¢Ã¢â€š ¬Ã‚  (Becheikh et al. 2006) . with poor financial resources SME cannot go for sophisticated technological advancement which make them lose competitiveness and optimization of available resources. Employees turnover à ¢Ã¢â€š ¬Ã…“As growth prospects are very limited in SME sector, it is prone to high degree of employee turnover and this may involve lot of wastage of manpower and additional cost in the form of training and knowledge updating, affecting continuity besides lowering the productivityà ¢Ã¢â€š ¬Ã‚  R.s . Rahavan (2005). 2.12 How to manage these specific business risk arising to SMEà ¢Ã¢â€š ¬Ã¢â€ž ¢s Proper cash flow to prevent lack of liquidity à ¢Ã¢â€š ¬Ã¢â‚¬Å" Maintain a proper cash flow managements and make accounts up to date . Research and development Following market changes Hedging à ¢Ã¢â€š ¬Ã¢â‚¬Å" the owner can hedge against inflation changes , exchange rate and commodity price change which is a very important risk management tool in finance. Proper mode for collection of receivables à ¢Ã¢â€š ¬Ã¢â‚¬Å" take legal action to recover your money back and use agencies specialised to recover bad debts. 2.13 Financial risk It is the risk associated to financing. It is the loss in financing method. Eichhorn, 2004, said that financial risk can be in two forms, it can either be internal financial risk where to business itself is creating those risk or external risk which depend on financial market . SchÃÆ' ¶nborn, 2010, assesses external risk on 3 risk factors namely exchange rate risk, interest rate risk and commodity price risk Exchange rate risk à ¢Ã¢â€š ¬Ã…“Exchange rate risk management is an integral part in every firmà ¢Ã¢â€š ¬Ã¢â€ž ¢s decisions about foreign currency exposureà ¢Ã¢â€š ¬Ã‚  (Allayannis et al , 2001). Currency risk can be reducer eliminated by using hedging strategies . Selecting hedging strategies is often a discouraging task because of the à ¢Ã¢â€š ¬Ã…“complexities involved in measuring accurately current risk exposure and deciding on the appropriate degree of risk exposure that ought to be coveredà ¢Ã¢â€š ¬Ã‚ . (Papaioannou, 2001). Interest rate risk If small businesses is using a lot of debt to finance his business. The risk of fluctuations in the interest rate is an important factor to be taken into consideration . A rise in interest rate can raise the amount of interest pain. To prevent interest rate risk , business owners could request the borrowers to fix the interest rate for a certain period (CPA Australia 2008) . Commodity price risk It is the threat of the change in price of a production input which could have a negative impact on the producer .To manage this risk producers should be less reliant on one commodity. producers can diversify their products and income source . They can also use fixed price contracts arrangements .