Factors Such as Weather, Natural Disaster, Terrorism, Labor Strife, or Political

question 9

Multiple Choice

Factors such as weather, natural disaster, terrorism, labor strife, or political unrest can shut down a firm's operations. Which of the following is one of the measures taken by firms to hedge such risks?

• A) Driving up profitability by increasing prices of market goods
• B) Spreading productions facilities across the globe
• C) Requesting government intervention in the form of subsidies or nationalization
• D) Sourcing raw materials from countries with low labor costs
• E) Diverting marketing and advertising budgets to accommodate greater production

---

Definitions:

Large-Scale Medical Emergencies

Significant health crises affecting a large population or geographic area, requiring extensive medical intervention and resources.

Suspended

Temporarily halted or postponed, often referring to processes, activities, privileges, or operations until certain conditions are met or resolved.

Computer Technology Industry

A sector focused on the development, manufacturing, and sales of computer hardware, software, and services.

Organizational Structures

The systematic arrangement of roles, responsibilities, and authority within an organization, designed to facilitate coordination and efficient management.