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โ Due DiligenceRisks
1. Competition Risks: With companies continually introducing new products, Mitsui Chemicals faces increased competition with low-cost producers from countries such as China.
2. Technology and Innovation Risks: Mitsui Chemicals may struggle to keep up with the pace of technological and scientific advances that can disrupt its industries.
3. Pricing Risk: Swings in the prices of raw materials, such as oil and natural gas, may cause significant fluctuations in the companyโs operational costs, which can then hurt its profitability.
4. Regulatory Risks: Mitsui Chemicals must comply with the stringent regulations imposed by government agencies in each country in which it operates.
5. Environmental Risks: Mitsui Chemicals must manage its waste products in order to comply with environmental regulations. Any failure to do so could lead to fines and other penalties.