Risk Analysis(Costa Rica) - international management Essay

Risk Analysis(Costa Rica) - international management - Essay manikinchicken, meat, fish, poultry products, and vegetables more than its demand could result to a higher possibility that the supply on-hand will dirty and depreciate its value over time. Unless XYZ would enter into a consignment contract with its suppliers, it is more likely that XYZ would take a significantly financial loss.The same is true with other viands items like canned goods. over purchasing of slow-moving canned goods increases the supply chain risk associated with its expiration schedule. In some cases, the deficiency of sufficient supply for a particular consumer goods item could increase the business opportunity loss on the part of XYZ.As part of globalization, XYZ may decide to outsource some of its consumer goods item from other countries. In line with outsourcing, there is an increase supply chain risk associated with the increase of shipping cost due(p) to the sudden increase in the world market pr ices of oil. As a result of inflation or a sudden weakening of the Costa Rican colon (colones) the monetary currency in Costa Rica (BBC news show Costa Rica Guide), there is a higher possibility for XYZ to experience a decrease in its one-year sales due to the higher market prices of grocery items and the fact that Costa Ricans could purchase less with their money.Having a population coat of 4.5 million (BBC News) with 2.3% population growth rate (CostaRica.net) significantly contributes to potential market size for XYZ grocery store. However, there are also a lot of social or cultural risks associated with the types of food items and other non-food products solve at the grocery store.Given the fact that the population of Costa Rica is composed of assorted races including Ticos and minority groups like Indians, Chinese, Jews, and Black (CostaRica.net), XYZ should be able to accurately identify and consider the cultural aspects of severally group in order to satisfy their indiv idual needs and preferences when it comes to food and non-food items. For instance, a