1. Geopolitical risk: If uncontrollable events such as political problems, natural disasters or wars occur in this area, it may lead to production line shutdown, difficulty for employees to go to work or logistics stagnation, thus affecting the company's production and income.
2. Cost risk: Centralized manufacturing of assets may lead to high costs. When the cost of manpower, materials and equipment in this field increases, the company may have to pay more to continue production.
3. Supply chain risk: When a company concentrates its manufacturing assets in one area, its supply chain may become more fragile. If the supplier fails to deliver the goods on time, this may lead to the stagnation of the whole production line.
4. Market risk: If the company's target market demand in this region drops, or the company faces more competitors, this may lead to a decrease in the company's income.