QUESTION 2 Construction industry is highly risk prone, with complex and dynamic project environments creating an atmosphere of high uncertainty and risk. The industry is vulnerable to various technical, sociopolitical and business risks. The track record to cope with these risks has not been very good in construction industry. As a result, the people working in the industry bear various failures. In light of this, it can be said that an effective systems of risk assessment and management for construction industry remains a challenging task for the industry practitioners. REQUIRED:

(a) Explain FOUR (4) potential risks associated with a construction industry. (8 Marks)

(b) Assess the likelihood and impact of the FOUR (4) potential risks as identified in (a). (8 Marks)

(c) Recommend an appropriate response to mitigate each of the potential risks as identified in (a).