Final answer:
The type of business risk associated with employee protection and environmental concerns is compliance risk, which stems from potential legal or regulatory consequences. the correct option is (A).
Step-by-step explanation:
The type of business risk that refers to rules and regulations associated with employee protection and environmental concerns is called compliance risk. This involves the risk of legal or regulatory sanctions, material financial loss, or loss to reputation a business may suffer as a result of its failure to comply with laws, regulations, codes of conduct, and standards of good practice related to business operations. Compliance risk can be related to various factors including employee protection measures, environmental laws, and other regulatory requirements businesses must adhere to.
Financial risk is related to financial losses due to various reasons such as market changes.
Operational risk involves failures in internal processes, people, and systems.
Strategic risk is tied to adverse business decisions or the failure to implement appropriate business decisions in a timely manner.