The risk factors of CAT can be presented as follows: Risk Factors 1. Compliance Risk R1 The first risk is reflected in the organizational reform policy in accordance with the consensusagreeduponbyCAT’sstate-ownedenterprisepolicycommittee.Risksinclude CAT’s inability or failure to proceed with reform plans within the projected timeframe. R2 The second risk is reflected in the dispute over telecommunications towers. Risks include CAT’s possible inability to use those assets still in dispute to their advantage. This might adversely impact its financial status if the company becomes a losing party in a lawsuit. 2. Financial Risk R1 The first risk is reflected in the organizational reform policy in accordance with the consensus agreed upon by CAT’s state-owned enterprise policy committee. Risks include CAT’s inability or failure to proceed with reform plans within the projected timeframe. R2 The second risk is reflected in the dispute over telecommunications towers. Risks include CAT’s possible inability to use those assets still in dispute to their advantage. This might adversely impact its financial status if the company becomes a losing party in a lawsuit. 3. Strategic Risk R5 The fifth risk is the company’s exposure to more intense competitions, one of which isthearrivalofnewcompetitorswhohavethecustomerbaseinthetelecommunications market.Thisleadstothereduction ofmarketshare,especially inareasofmobilephone businesses and broadband Internet businesses. R6 The sixth risk is its inability to provide resources that assist with the continual expansionofbusinesseswithintheprojectedtimeline,whichattributestothecompany’s inability to achieve goals in line with its business rehabilitation plans. 4. Operation Risk R7Theseventhriskliesinitsattempttoretainskillfulemployeesandattractprospective employees who are knowledgeable and capable. R8 The eighth risk is reflected in the company’s unstable work processes which affect business operations, project management plans, work plans, and budget management plans. These processes cause the company not to be able to meet set goals and yield results as initially envisaged. R9 The ninth risk is reflected in the company’s IT support systems that are not sufficient and efficient, generating barriers to business operations. 41 Sustainable Development Report 2017 CAT Telecom Public Company Limited