Types of Perceived Risk

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Financial risk

The fear that a potential purpose can tax or outstrip a person's monetary resources

Time risk

Time lost when a product turns out to need replacement or fails to deliver as promised.

Psychological Risks

Whether a purchase is the morally right choice.

Functional risk

the fear that a product or service will fail to deliver promised functions or benefits

Physical risk

the perceived potential for a purchase to cause bodily harm to a person or loved one.

Social risk

the possibility that buying a product or using a service can reduce a person's status with friends, family, or neighbors.


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