What is Knitted Fabric

What is knitted fabric?

Knitted fabric:

Knitted fabrics provide comfortable wear to almost any garment. For getting comfortable wear we first think about knitted garments. Though it has open structure so most of the knitted garments contour to the body’s silhouette. That’s why knitted garments are so much popular as inner-wear, body wear and sportswear.

what is knitted fabric

A nice comfortable wear made by knitted fabric

Types of knitted fabric

There are basic two types of knit fabrics.

  1. Weft knits
  2. Warp knits

Weft knits

Weft knitting is the simplest method of converting a yarn into fabrics. In weft knitting loops are made in horizontal way from a single yarn. In this way inter-meshing of loops take place in a circular or flat form on crosswise basis. Most of the weft knitting is of tubular form.

Weft Knitting

Weft Knitting

Warp knits

In warp knits yarn zigzag along the length of the fabric. In warp knits the number of stitches in a row is equal of the number of separate strands of yarn. It is almost done by machine not by hand.

Warp Knitting

Warp Knitting

By

Engineer Sheikh Nurja

B.Sc engineer of textile

Merchandiser at buying house

 

 

Basic Types of Risk

What are the Basic Types of Risk?

We know that future is uncertain, because of uncertainty; involvement of risk can be traced to our every part of life. When we talk about any investment we have to think about risk and return, higher the risk higher the rates of return and lower the risk lower the rates of return. Our life is directly related with economic activities where risk is the considerable element that cannot be overlooked.

To minimize the risk people go for savings and some people take the help of insurance companies/ agencies by paying insurance premium. Risk can be categories into different perspective but here we only discuss about the business risk.

Before discussing the types of risk, let’s have some idea of risk. Risk is the deviation between the actual outcome and expected outcome. Some risk can be minimized and some risk cannot be minimized. Some risk arisen from the micro economic factor and some from macro economic factors.

Basic types of risk that we may found are:

Basic Types of Risk

Basic Types of Risk

Unsystematic Risk

Unsystematic risk is that portion of risk which can be minimize through diversification of the investment by forming portfolio. If we form a portfolio using the negatively correlated investment securities then it would be possible to minimize the risk at lower level. This types of risk is known as diversiable risk Theoretically it is possible to eliminate the portion of unsystematic risk but in real sense it is not possible to eliminate the risk through diversification.

Systematic Risk

Systematic risk is that portion of risk which cannot minimize through diversification of the investments. Systematic risk is mainly arisen from the macro economic variables which are beyond our control. Beta is the measure of the systematic risk. Sometimes this risk is also known as systematic market risk. Sources of systematic risk are given below with short explanation.

Business Risk

Business risk is the risk which mainly arise when a firm or business organization unable to generate sufficient revenue to maintain its operating expenditure through providing service or selling products, that is risk is directly related with the operation of the firm.

Financial Risk

When a firm is unable to pay off its fixed financial obligation then this type of risk may arise. This type of risk is involved with the levered firm which uses debt capital for business. In some cases this risk can lead a lead a company to bankruptcy.

Liquidity Risk

This risk is involved with the marketability of a security or investment that is the capacity to generate asset into cash as much quicker as possible. If an investment is takes less time to convert into cash then it is liquid asset or investment.

Country Risk

Unstable political condition of a country is responsible for this type of risk. If this risk is more than an economy definitely fall, so does business. In our Bangladesh this type of risk is higher.

Exchange Rate Risk

Exchange of currency is required when a country is involved with import and export. For importing product or services foreign currency basically dollar is used. So if there is more fluctuation of the exchange rate frequently then a business may incur loss. This probable loss is the risk for the business.

Although every economic activity is involved with risk, we need to be more cautious to minimize the risk. If we can minimize the risk of doing business then it will be possible to generate profit for the company/ business organization.

Written by

Md. Nahian Mahmud Shaikat

Student of MBA

Institute of Business Administration (IBA)

Jahangirnagar University

Email: [email protected]

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