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NEW QUESTION 23
Which of the following is an example of force majeure?
- A. The supplier is under criminal investigation for fraud
- B. The supplier's factory is hit by a hurricane
- C. The supplier asks for an uplift in prices
- D. The supplier delivers materials late due to a breakdown
Answer: B
Explanation:
Explanation
The hurricane is the force majeure event. Natural disasters such as this, or any events outside of the parties' control could be considered force majeure. This is a popular exam topic - see p. 66 in the study guide
NEW QUESTION 24
Which of the following models would be used to explore internal and external risks to a business?
- A. STEEPLE
- B. Poisson Distribution
- C. SWOT
- D. Porter's 5 Forces
Answer: C
Explanation:
Explanation
SWOT is used for this. S + W is strengths and weaknesses, which are internal risks. O+T are opportunities and threats which are external risks. See p. 12 for more information
NEW QUESTION 25
Which of the following will you put into box 4?
- A. strategic
(Correct) - B. operational
- C. hazard
- D. financial
Answer: D
Explanation:
Explanation
Anything to do with currency is a financial risk.
NEW QUESTION 26
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