Question

Lakeri Inc. is expanding its global operations into South Fordland in spite of the allegations made against its prominent leaders to have had criminal connections. As Lakeri Inc. expands into South Fordland, it must deal with _____.

Answer 1

Answer:

Political uncertainty

Explanation:

Political uncertainty occurs when there is economic risk because government policy is uncertain, businesses tend to limit spending and investment till this uncertainty has been resolved

Political uncertainty can affect cost of input as well as consumer behaviour.

As a result of the allegations made against its leaders having criminal connections, Lakeri Inc is planning to expand into South Fordland. The company must prepare for political uncertainty as a result of these allegations.