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L3Harris
Aerospace & defense / Aerospace and defense technology
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Risks
1. Economic Risks: L3Harris is exposed to the risks associated with general economic and market factors, such as recession, inflation, currency fluctuations, and global economic uncertainty. These risks can negatively impact the company’s performance and earnings.
2. Competition: L3Harris faces intense competition from other defense contractors, as well as smaller niche players. This could lead to lower pricing, decreased demand, and reduced profits.
3. Operational Risks: L3Harris’s operations could be adversely impacted by any failure of their systems, networks, and software. This could lead to disruptions in production, availability of products and services, and reduction in customer satisfaction.
4. Cybersecurity Risks: As with any other company, L3Harris is subject to cyber risks, such as hacking, data breaches, and loss of intellectual property. Such risks can have damaging effects on the company’s reputation and financial performance.
5. Regulatory Risks: Compliance with applicable laws and regulations is essential for companies in the defense industry. Changes in applicable laws and regulations could create compliance risks and adversely impact the cost and availability of products and services.