d271 - exam 1 - 3.2 - med
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Questions and Answers

What is a key challenge for mining companies and oil and gas players in Africa?

  • Identifying the potential and ease of extraction of relevant commodities across the vast continent (correct)
  • Navigating complex regulatory environments in each market they operate in
  • Competing with well-established global players in the industry
  • Managing the high costs associated with resource extraction in Africa

What is a key factor that companies in the agriculture value chain need to consider in Africa?

  • The availability of skilled agricultural labor across different regions
  • The impact of government subsidies on crop pricing and profitability
  • The logistical challenges of transporting agricultural products within Africa
  • The distribution and productivity of Africa's cropland and potential effects of climate change (correct)

Why did SIFCA exit the cacao industry, according to the text?

  • The company recorded its biggest-ever loss due to increased competition from global players (correct)
  • Regulatory changes in Côte d'Ivoire made cacao production unprofitable for SIFCA
  • Climate change negatively impacted SIFCA's cacao plantations and yields
  • SIFCA's partnership with Michelin led it to focus more on rubber production

What strategy has guided SIFCA's approach to choosing which commodities and markets to operate in?

<p>Concentrating on commodities and markets where it can leverage its local knowledge and expertise (C)</p> Signup and view all the answers

What benefit did SIFCA's partnership with Wilmar provide?

<p>It boosted the output of SIFCA's existing palm oil plants considerably (D)</p> Signup and view all the answers

Why is it important for companies in the resources sector to understand the regulatory environment in each market they operate in?

<p>To ensure compliance with local laws and regulations (C)</p> Signup and view all the answers

What is a key advantage of partnering with international companies, according to the text?

<p>Sharing of expertise and knowledge between partners (A)</p> Signup and view all the answers

Which of the following statements about the growth of the oil and gas industry in Africa is true, based on the text?

<p>The growth will come from an increasingly diverse group of nations (A)</p> Signup and view all the answers

What is a key factor that companies in the agriculture value chain need to consider in Africa?

<p>The distribution and productivity of Africa's cropland and potential effects of climate change (D)</p> Signup and view all the answers

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