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Risks
1. Economic risks: Danone S.A. is highly dependent on the macroeconomic environment, so fluctuations in macroeconomic conditions can have an impact on Danone’s sales and profits.
2. Competitor risks: Danone S.A. faces competition from other food product companies which means their sales and marketing activities must be constantly monitored for effectiveness and changes must be made as necessary for remaining competitive.
3. Regulatory risks: Danone S.A. is subject to food safety regulations, which may change over time. If the company fails to abide by regulatory standards, it could face fines or other penalties.
4. Political risks: Changes in government policies, laws, and regulations can have an impact on Danone S.A.'s profitability.
5. Financial risks: Danone S.A. relies on capital markets to finance its operations and may face higher borrowing costs or be unable to access credit when market conditions are challenging.
6. Supply risks: Danone S.A. depends on a variety of suppliers for raw materials, which means their operations are vulnerable to supply chain disruptions.