Final answer:
Option C: Responses involves developing a probabilistic model for understanding and responding to identified risks in business.
Step-by-step explanation:
The correct option that involves developing a probabilistic model for understanding and responding to identified risks is Option C: Responses. This is a part of the risk management process in business, where potential risks are identified and analyzed, and appropriate responses are planned and implemented to mitigate those risks.
Developing probabilistic models helps in assessing the likelihood and impact of different risks and in determining the most effective strategies for mitigating those risks. By understanding the potential risks and their impact, make informed decisions and take appropriate actions to minimize negative outcomes.