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HOME > Elements for Successful Business > Profitability of Schemes > Key Questions on Financial Risk Assessment and Management | ||||
1. Is the viability of the horticultural production system well tried and tested? Consideration: if the crop in question is new to the area and the method of cultivating it is still experimental, or if the market and prices of the product are uncertain and the profitability of the enterprise is unproven, it is unwise to recommend it to small producers who are not able to bear the financial risks involved. 2. Can the growers be relied upon to deliver the quantities and quality of product that the buyer requires? Consideration:
a reliable supply of product sourced from small growers requires careful
3. Has the buyer explained clearly what it expects of the growers and can it be relied upon to keep to its side of the bargain? Consideration: due diligence in appointment by the exporter of buying agents is as necessary as care in selection of growers, since failings by either side can jeopardise the financial viability of the enterprise. |
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Natural
Resources Institute 2003
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