Defining risk response options is performed after a risk assessment is completed. A risk assessment is the process of identifying, analyzing, and evaluating the risks that affect the enterprise’s objectives and operations. After a risk assessment is completed, the enterprise needs to define the risk response options, which are the actions that can be taken to address the risks.The risk response options include accepting, avoiding, transferring, mitigating, or exploiting the risks. Defining risk response options helps to select the most appropriate and effective strategy to manage the risks. Defining risk taxonomy, identifying vulnerabilities, and conducting an impact analysis are performed before or during a risk assessment, not after. References = Risk and Information Systems Control Study Manual, 7th Edition, Chapter 2, Section 2.1.1.4, page 541

1: ISACA Certified in Risk and Information Systems Control (CRISC®) Exam Guide, Answer to Question 644.