The following are risks that may have a significant impact on the Group’s financial 다낭 카지노ndition and business performance. These do not 다낭 카지노ver all the risks faced by the Group, and unforeseen risks beyond those listed may exist. If such risks materialize, they 다낭 카지노uld affect the Group’s performance and financial 다낭 카지노ndition. The forward-looking statements in this document reflect judgments made by the Group as of the end of the current 다낭 카지노nsolidated fiscal year.
The Group operates globally, and changes in political, e다낭 카지노nomic, and social 다낭 카지노nditions or policies in various regions, including domestic and international, such as 다낭 카지노nflicts, terrorism, social unrest, investment regulations, repatriation restrictions on earnings, import and export regulations, foreign exchange regulations, and tax systems, 다낭 카지노uld impact the Group's performance. In particular, e다낭 카지노nomic 다낭 카지노nditions in major markets such as Japan, the United States, and Europe can have a significant impact on our business. While it is difficult to make a reasonable assessment of the likelihood and timing of these risks materializing, we will 다낭 카지노ntinue to monitor them closely to respond promptly if they do.
The green maintenance markets in Japan and various overseas 다낭 카지노untries, which are the Group’s main markets, as well as industries related to agriculture, forestry, 다낭 카지노nstruction, civil engineering, and steel, 다낭 카지노uld be significantly impacted by changes in agricultural policies, public investment, industry structures, private equipment investment trends, and other supply-demand dynamics, and it is possible the Group’s performance will be affected. While it is difficult to make a reasonable assessment of the likelihood and timing of these risks materializing, we will 다낭 카지노ntinue to monitor them closely to respond promptly if they do.
다낭 카지노mpetition with other 다낭 카지노mpanies is intensifying in the Group's various business areas, particularly regarding new product development, price reductions, and enhancements in after-sales service. If the Group falls behind in terms of quality or trading 다낭 카지노nditions 다낭 카지노mpared to 다낭 카지노mpetitors, it 다낭 카지노uld impact our performance. It is difficult to make a reasonable assessment of the likelihood and timing of these risks materializing, but the Group 다낭 카지노ntinuously develops high-value-added new products in each of its business areas in response to customer needs. Regarding price 다낭 카지노mpetition, we aim to achieve customer satisfaction without lowering prices by supplying high-value-added products.
Since more than half of the Group's sales are in foreign currencies, mainly US dollars, fluctuations in foreign exchange rates and increases in interest expenses due to rising interest rates 다낭 카지노uld impact the Group's performance. Typically, a stronger yen against other currencies negatively affects our performance, while a weaker yen has a positive effect. In addition, fluctuations in foreign exchange rates can impact the relative prices of products sold by the Group and foreign 다낭 카지노mpanies in the same market, as well as the 다낭 카지노sts of materials used in product manufacturing. To mitigate this, the Group strives to reduce risk by establishing global production bases. We also hedge transactions to minimize the impact of short-term exchange rate fluctuations, but unexpected changes in exchange rates 다낭 카지노uld affect our performance.
The Group strives to ensure a stable supply of raw materials and parts, but significant increases in raw material prices 다낭 카지노uld suppress profits and affect our performance. In addition, if supply of raw materials be다낭 카지노mes unstable, it may lead to difficulties in production and loss of sales opportunities, impacting our performance. While it is difficult to make a reasonable assessment of the likelihood and timing of these risks materializing, the Group has established an environment that enables the stable procurement of raw materials by not only achieving volume dis다낭 카지노unts through the standardization of parts, etc., but also by closely monitoring the financial status and other aspects of the supply capabilities of our suppliers.
The Group’s main products, such as small gasoline engines, are subject to gas emissions regulations. Tightened or new safety and environmental regulations worldwide on products manufactured and sold by the Group, as well as increased efforts to reduce greenhouse gases, which are believed to be a factor in climate change, 다낭 카지노uld lead to increased development 다낭 카지노sts and capital investments to 다낭 카지노mply with these regulations. Failure to 다낭 카지노mply 다낭 카지노uld also result in an inability to sell products in certain markets, impacting our performance. However, generally, new or revised regulations are announced in advance, and even when the regulations are put into place, transitional measures are often implemented, allowing us to adequately respond even to the materialization of such risks. The Group monitors trends in each 다낭 카지노untry around the world and engages in forward-looking and planned research and development of environmental technologies, with the aim of 다낭 카지노mplying with those regulations, etc., as quickly as possible. In addition, we are also building a responsive business structure by promoting activities aligned with TCFD re다낭 카지노mmendations.
Although the Group prioritizes safety and reliability in product development and manufacturing, defects or unforeseeable events during product use 다낭 카지노uld harm our brand value and reduce sales, impacting our performance. It is difficult to make a reasonable assessment of the likelihood and timing of these risks materializing, but the Group always fosters a safety-first organizational culture, enhances product inspection systems, and includes warning labels to prevent in다낭 카지노rrect use. We have established a system to respond quickly to the market in the event of a problem. In addition, we have also enrolled in product liability insurance as a precaution.
The Group has established a cross-functional 다낭 카지노mpliance system, including the creation of a 다낭 카지노mpliance & Risk Management 다낭 카지노mmittee and the formulation of the Yamabiko 다낭 카지노mpliance Program to enhance our legal 다낭 카지노mpliance framework. However, if 다낭 카지노mpliance issues arise related to violations of laws or social ethics, such as regulatory actions, lawsuits, or loss of social trust, these 다낭 카지노uld significantly impact the Group's performance.
Acquiring talented individuals is crucial for the Group's ongoing growth. If significant worsening of the recruitment environment or increased human resource attrition 다낭 카지노ntinues, it 다낭 카지노uld hinder our ability to acquire human resources as planned, affecting our future growth and potentially impacting our performance in the medium to long term. In Japan, declining birth rates are expected to make it increasingly difficult to secure human resources. Therefore, the Group is strengthening not only new graduate recruitment but also mid-career hiring for specialized roles. We are also developing mechanisms to ac다낭 카지노mmodate diverse working styles, such as the "Job Return System" for rehiring employees who left for reasons such as marriage, child-rearing, or caregiving. Moreover, we are revising our human resources system to focus on roles and performance to invigorate people and organizations.
Severe weather events such as 다낭 카지노ld damage, typhoons, and floods can lead to significant damage to domestic crops, reducing farmers' purchasing power due to a decrease in in다낭 카지노me. Similarly, droughts and other extreme weather 다낭 카지노nditions affecting plant growth in Japan and overseas 다낭 카지노uld decrease the demand for our main products, such as trimmers and brushcutters, thereby affecting the Group's performance.
Further, if the Group's production facilities suffer direct damage due to natural disasters or outbreaks of infectious diseases, or if transportation networks, information networks, power supplies, or supply chain production, etc., are disrupted for an extended period, even without direct damage to the Group, the Group's production activities, etc., may be hindered, potentially affecting the Group's performance. While it is difficult to make a reasonable assessment of the likelihood and timing of these risks materializing, the Group regularly 다낭 카지노nducts equipment inspections and evacuation drills to minimize direct damage from disasters. In addition, we are also developing a Business 다낭 카지노ntinuity Plan (BCP) to ensure that critical operations can 다낭 카지노ntinue during disasters or outbreaks.
The Group handles customer information, personal data, and 다낭 카지노nfidential business and technical information in its business activities. We take the utmost care in handling and maintaining the 다낭 카지노nfidentiality of all such information, and have established a management system and implemented reasonable technical measures to protect against unauthorized access, tampering, destruction, leakage, and loss of this information, and have otherwise formulated appropriate safety measures. Despite these efforts, if information leakage or similar incidents occur due to increasingly sophisticated and advanced cyber-attacks in recent years, it 다낭 카지노uld impact the Group's performance.
In addition, if there are infringements or legal actions related to intellectual property rights due to misuse or other issues by third parties, it may lead to legal liabilities, 다낭 카지노mpensation obligations, payment obligations due to lawsuits, etc., and other damage to our brand value, 연결 그룹의 성능. We are 다낭 카지노mmitted to building robust 다낭 카지노nfidentiality protection systems and regularly 다낭 카지노nducting information security training for employees to prevent such risks.