The word 损失 is formed by combining two characters, each contributing to the overall concept of "loss". The first character, 损 (sǔn), depicts the idea of damage or reduction, originally associated with the action of diminishing something valuable. The second character, 失 (shī), represents the idea of losing, missing, or failing to hold onto something. When placed together, they create a compound where 损 emphasizes the act or state of being diminished, and 失 reinforces the resultant absence or deprivation, thereby fully encompassing the notion of suffering a loss, whether material or abstract.