Question

In: Economics

The Sector is: "Food Manufacturing" or "Building Instruction" Question: Identify and rank two risks to the...

The Sector is: "Food Manufacturing" or "Building Instruction"

Question:

Identify and rank two risks to the sector from climate change and outline how these risks may disrupt the firm’s capacity or profitability

Identify one opportunity that climate change policy presents the sector or company with?

Identify the best strategic choice available to the sector or company?

Solutions

Expert Solution

ANS

The food manufacturing sector is one of the major sectors of any economy and it contributes to the food chain and also to the growth and development of the country .There are many risks associated with the food sector of the country like the food sector has to go through many phases of inspections and regulations ,this results in longer time for the final product to consumers and also this would lead to many damages to the firm if any fault is present in the product.Also there is a risk of spoliage of mateerial in food industry , the change in food preferences of consumers is also a risk also the major risk is availability of multiple substitues.The climate change policy gives benefits to the units of food production sector which are affected by the sector, this policy initiated that the units like farms and farmlands which burn due to climate change or the floods will be provided with the fund to overcome the crisis.The best strategic choice that is available with the food production sector industry is to maintain the adequate level of production to increase the market size of the product and then to gain profit thereby. The food sector should also generate new marketing schemes and new products relatiing to different areas of marketing like Mc Donalds did in india by not producing anything with beef and porks in the subcontinent.


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