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Research of practical aspects of the modeling of the risk tolerance management system of business models of restaurant business enterprise

Author

Listed:
  • Chatchenko Olga

    (Kharkiv State University of Food Technology and Trade)

Abstract

The object of research is the risk tolerance management process of the business model of a restaurant enterprise. One of the most problematic places in the implementation of the business model of the enterprise is the timely recognition of risk and minimization of its impact on activities. The restaurant business is the most profitable and profitable in the world. Competition in this area increases over time. Risk arises where there is profit and competition, as well as various options related to the likelihood of risk occurring in conditions of uncertainty. Identification and consideration of risk factors is the basis for making management decisions on the timely transformation of the current business model of the enterprise in accordance with changes in the external environment. It is shown that the risk tolerance management process of a restaurant business enterprise is associated with the difficulty of identifying key aspects of the risk tolerance of its business model and the need to take into account risks arising in the process of creating value. This is due to the peculiarities of the set of risks and the nature of their manifestation in the restaurant business. The restaurant industry is characterized by specific risk groups. These risks are associated with the formation and promotion of value propositions, revenue streams and customer/consumer relationships. The stages of modeling the risk tolerance management system of the business model of a restaurant enterprise have been determined. These stages include identifying the main risk groups and key value management systems, assessing their parameters and allow to define a set of management decisions to improve the risk tolerance level of the business model of the restaurant business enterprise. To implement the stages of modeling the risk tolerance management system of the business model of a restaurant business enterprise, an algorithm is proposed based on the theory of fuzzy sets with the ability to assess the compliance of the actual system parameters with their target value. This ensures the possibility of assessing the actual state of the risk tolerance management system of the enterprise's business model by key business processes. A set of management decisions has been developed that makes it possible for a restaurant enterprise to respond in a timely manner to various kinds of risks in the context of resource and time constraints.

Suggested Citation

  • Chatchenko Olga, 2019. "Research of practical aspects of the modeling of the risk tolerance management system of business models of restaurant business enterprise," Technology audit and production reserves, 1(45) 2019, Socionet;Technology audit and production reserves, vol. 1(4(45)), pages 44-50.
    • Handle: RePEc:nos:ojbutx:6
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    References listed on IDEAS

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    1. Robert E. Hoyt & Andre P. Liebenberg, 2011. "The Value of Enterprise Risk Management," Journal of Risk & Insurance, The American Risk and Insurance Association, vol. 78(4), pages 795-822, December.
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    More about this item

    Keywords

    risk tolerance of the business model of an enterprise; a set of management decisions; management system modeling;
    All these keywords.

    JEL classification:

    • C60 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - General
    • L29 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Other
    • M29 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Economics - - - Other
    • L80 - Industrial Organization - - Industry Studies: Services - - - General

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