A marketing firm is trying to win a major contract from a large retail company and is concerned with four major threats.

(1) Competition: the probability of very competitive bids is high at 0.6, and the potential impact would be substantial at a value of 5 on a scale of 1-7 (where a 7 is a major negative impact and a 1 is slight).

(2) Economy: probability of a recession is 0.4 and its impact would be 7 since the company would probably decide not to advertise.

(3) Chance of a loss: a small probability of only 0.3 with a negative impact of 4.

(4) Personnel loss (head of marketing is being courted by a competitor): probability of loss is 0.5 but negative impact is only 3. 

Use the FMEA technique to determine which risks are critical and which can be ignored?