V. Trade Fair Participation
F. Risk Management

Trade shows combine opportunities and risks. The opportunities are meeting new clients, developing a better company image and placing orders. However, there exist normal economic risks such as less contacts and contracts; low turnover and a low contribution margin. These risks can be minimized if the planning and preparation for the participation is done correctly.55) 
Other external factors might influence the trade fair participation as well:

  • Political Risk
    - Revolutions and
    - Hostile interventions by the government;
    - Unforeseen loss of a licence;
    - War risk.
    For example:
    After September 11th, 2001 the visitor rate at the COMDEX, Las Vegas dropped from 250.000 people in 2000 to 150.000 in 2001
     
  • Medical Risk
    - For example infection risk by SARS
    For example:
    - Hong Kong Trade Development Council and China External Trade Development Council were forced to cancel four important industrial mega-shows in Hong Kong and Taiwan
    - Fair organizers worldwide prepared special services for exhibitors and visitors from effected regions
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