Answer One
The two categories factors are listed behind that accelerate the industry sickness are discussed below:
Internal risk factors:
1. Lack of
Experience
2. Poor Management
3. Wrong feasibility / Uneconomic Plant size
4. Lack of
working Capital
5. Obsolete technology
6. Faulty employee appointment
7. Non-cooperation among owners and employees
8. Marketing Problem
9. Dependence on single financial
source
10.Irregular wage payment
11.Poor product quality
External risk factors:
1. Lack of working Capital
2. Political Unrest
3. Smuggling
4. Trade liberalization
5. Poor infrastructure
6. Global price fluctuate
7. Problems in loan disbursement (already sanctioned)
8. Bank control over machinery purchase
9. Natural calamities
10.Duty on raw materials /customs problems
11.Non-availability of
raw materials
12.Lack of modern technology
13.Long project implementation period
14.Lack of demand for the product
15.High loan interest
Answer Two
[A. Internal risks factors
1. Lack of Finance: The weak equity, inefficient working capital, absence of costing
& pricing and
budgeting, and so on will accelerate the industry sick.
2. Inefficient Production Policies: This includes wrong selection of site is related to production, lack of quality control and standard, research & development, etc.
3. Marketing factors: Inefficient planning and product mix, weak market research and
sales promotions are force to industry sickness.
4. Improper Staffing: It includes bad wages and salary administration, bad labor relation, conflicts among the employees and workers.
5. Ineffective Corporate Management: It includes improper corporate planning, lack
of coordination, control and
integrity in top management, etc.
B. External risks factors
1. Personnel Constraint: Unskilled labor, wages disparity, general labor invested in
the
area will accelerate behind make a sickness.
2. Marketing Issues: The sickness arrives due to liberal licensing policies, changes in global marketing, excessive tax policies by govt. and market recession.
3. Production problem: This arises due to shortage of raw material and its high prices, shortage of
power, import-export restrictions.