Mutual dependency reduces the risks
Beijer Electronics’ business is influenced by a number of exogenous
factors, whose effects on consolidated profits and financial position can be
controlled to varying degrees.
The group has a close collaboration with Mitsubishi Electric, which is significant to operations,
and accordingly, constitutes a risk factor. Mitsubishi Electric is
a supplier to the group and buyer of Beijer Electronics’ products,
creating a balance and mutual dependency that alleviates this risk. The
collaboration with Mitsubishi Electric has lasted over 20 years, suggesting
sustained stability.
The acquisition of Hitech Electronics implies normal business risks; other
risks associated with acquisitions have been thoroughly analyzed, and Beijer
Electronics considers it has good control over them.
Other business risks such as market risks, collaboration agreements, currency risks, product liability, technological
progress and dependency on staff are subject to continual analysis, and where
necessary, measures are taken to alleviate the group’s risk
exposure.
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