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Tju [1.3M]
3 years ago
10

A semi-conductor company has established a plant overseas in south africa where the power grid is somewhat unreliable. the plant

has a continuous manufacturing process. of the two main risks of international strategy, which is most relevant to the circumstances of the semi-conductor company?
a. economic risks
b. political risks
c. lack of natural resources
Business
1 answer:
alisha [4.7K]3 years ago
4 0
The answer is "<span>economic risks".
</span><span><span>
</span>
<span>Economic risk</span><span> is the possibility that macroeconomic conditions like trade rates, government direction, or political security will influence a venture, typically one in a remote nation. Beside the business hazard related with making the plant profitable, the semi-conductor company is open to economic risk.</span></span>
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B. decrease the demand for e-readers.

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Substitute Good is a factor effecting demand of a good. A good's demand and it's substitute good's price are directly related.

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So, If tablet computers & e - readers are substitutes : Decline in price of tablet will make e - readers relatively expensive & decrease the demand for e - readers.

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