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• Headquarter: Hershey Pennsylvania, which is also the home of Hershey Park and
Hershey’s Chocolate World.
2. Commodity Risks
• Decreasing Margins - costs of all products is increasing. Distribution costs, labor cost,
fuel costs, everything is rising.
• Increase in raw materials and energy costs.
3. Operating Risks
• Disruption to our manufacturing operations or supply chain could impair our
ability to produce or deliver finished products, resulting in a negative impact on
our operating results.
4. Market Risks
• Many Small Players - the segment is such that there are many and small regional
players thereby cutting the market shares in different regions.
5. IT Risks
• Disruptions, failures or security breaches of our information technology
infrastructure could have a negative impact in our operations.
1. Reputational Risks by:
• Making reputational risks part of strategy and planning, control
process.
• Understanding all actions can affect public perception and
stakeholders' expectations.
• Focusing on a positive image and communication.
• Creating response and contigency plans.
2. Commodity risks by :
• Managing and making sure that equipments work properly.
• Keep strong business to business relationships
• Having adequate insurance
• Knowing the regulations
3. OPERATIONAL RISKS BY:
• Having strategies and plans in place
for managing disruptive events,
including their global supply chain
strategies and their principle-based
global relations strategy.