In a SWOT analysis, where would you categorize supply chain price increases due to a natural disaster?

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In a SWOT analysis, categorizing supply chain price increases due to a natural disaster as a threat is accurate because it reflects an external factor that poses risks to the organization. Such price increases can disrupt operations, raise costs, and potentially lead to decreased profitability. Natural disasters are unpredictable and can create significant challenges in sourcing materials, managing inventory, and maintaining customer satisfaction.

By identifying these price increases as a threat, organizations can better prepare contingency plans, develop risk management strategies, and explore alternative suppliers or logistics strategies to mitigate the impact of similar events in the future. This proactive approach highlights the importance of recognizing external challenges that could hinder business operations or strategic objectives.

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