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Business, Management Year 4 Strategy Formulation Solution1. The business is certainly located in rural areas and considerations of how this may affect tribal people should be considered. The use of natural resources can be profitable but environmental considertaions such as the impact of deforestation on the global climate needs are vital. Mahogany is a rare wood and the tree does take a long time to grow. This business venture should plant so many trees for each Mahogany tree it finds felled. 2. Strengths: 1. Setting up hand sawmills at the fallen trees. 2. Developing a knowledge of markets and business practices. Opportunities: 1. Contributing to Honduras' economic growth. 2. Establish a good working relationship with distributors like Santos Munguia. 3. Establishing direct links with local furniture makers. Weaknesses: 1. Massive funding required to drive operations. 2. Size and growth of the company is limited by the amount of mahogany produced per annum. 3. Hard to find and process the trees. 4. Lack of adequate transportation. Threats: 1. Deforrestation and impacts on the environment. 2. Pressure groups like Greenpeace and CITES. 3. Natural disasters like forest fires. 4. Decline in numbers of trees. 5. Treacherous terrain and wet weather. 6. Lack of co-operation from Honduran authorities. 7. Corrupt distributors not paying the workers for the wood worth. 3. This comapny does have a competitive advantage in that it can develop its links with local furniture manufacturers. It is possible to operate within the constraints of Cites, if transport costs are met by local buyers. Help provided to these local manufacturers may be achieved by setting up IT systems that monitor input and output of wood. Guaj ...