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Risks
1. Company-Specific Risks: General Mills is exposed to several company-specific risks, such as changes in the competitive landscape, increased commodity costs, economic downturns, and changes in consumer tastes and preferences.
2. Regulatory Risks: General Mills has to comply with laws and regulations regarding packaging, labeling, and safety of its products. Any non-compliance may lead to fines and/or legal action.
3. Reputational Risks: In a highly competitive FMCG industry, brand reputation is of utmost importance. Any negative news or bad publicity can have a detrimental effect on General Mills’ market share and profitability.
4. Supply Chain Risks: A disruption in the supply chain can lead to high costs and delays in production and delivery of products. This could prove to be extremely damaging to the company and its profits.