Business Finance Report: Paper Industry Analysis and Risk Assessment

This report provides a financial analysis of the paper industry, focusing on the challenges and risks it faces. The report highlights the impact of environmental changes, technological advancements, and government regulations on the industry's operations and profitability. It discusses the slow growth of the industry, emphasizing risks related to climate change, deforestation, and the need for technological adaptation to meet market demands. The report also mentions the importance of cost-benefit analysis and evaluating the environmental impact of new projects. The author references the need for wood and the adherence to the environmental regulations. The report concludes by highlighting the need for companies to adapt to changing circumstances, and the need to consider environmental factors and technological changes. The report includes references to support the analysis.

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Business finance

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Table of Contents
d)......................................................................................................................................................3
Reference.........................................................................................................................................4

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d)
From the graph, it can be noted that the growth is slow and in this process various risks are
involved which are due to the technological changes, climatic change, and government
intervention.
The climate is changing in a different manner and in that it is not possible for the wildlife to
survive. With that tress are also destroyed and this reduces the number of forests which are
available for the wood (Obidzinski and Dermawan, 2012). The pulp and paper industry has to
face adverse impacts as there will be shortage of wood.
The changes in technology are taking place and they are not being incorporated in the paper
industry. Due to this, they are not able to meet the changing requirements. The time which is
consumed is more and due to this companies are not able to meet with the demand of the market.
There are various laws which are made for the protection of the environment and that restricts
the producers from obtaining the required raw material. They are not having the required
resources and this lead to the negative results.
The new project will be evaluated by considering them as in that there will be need of the wood
and the company will be required to fulfill all the conditions (Environmental paper, 2018). There
will be a high cost at which the material will be available and so the proper cost-benefit analysis
is to be made. The climatic conditions of the setup will also be evaluated and then on the basis of
all the factors the decision will be made.

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Reference
Environmental paper. (2018) The state of global paper industry. [Online] Available at:
https://environmentalpaper.org/wp-content/uploads/2018/04/StateOfTheGlobalPaperIndustry201
8_FullReport-Final-1.pdf [Accessed 11 September 2019]
Obidzinski, K. and Dermawan, A. (2012) Pulp industry and environment in Indonesia: is there
sustainable future?. Regional Environmental Change, 12(4), pp.961-966.