Strategic risks describe the impact on the business of possible changes in the wider environment, such as political, international, demographic, social, etc., and the dangers of business strategies not being adequately aligned to their operating environment. They also entail risks to the accomplishment of key business goals through loss of focus, inappropriate investment or resourcing, and reputational and communication risks.
Mitigations of strategic risks tend to be strategic choices and business model approaches; investment prioritisation decisions during planning processes, often resulting in project initiations; and communications and stakeholder management. Strategic risks are often perennial, yet may be volatile due to changes in the external environment.