Tech Companies Worried About Their Core
Technology companies are more focused on risks to their core businesses than in the past, according to a review of corporate filings by consulting firm BDO Seidman.
BDO reached this conclusion by studying the risk factors listed by the 100 largest tech companies by revenue in their annual 10-K filings with the Securities and Exchange Commission. While the top handful of potential problems a business may face tend to remain the same year after year–things like increased competitions and failure of a new product to catch on–the recession was clearly on the minds of many companies when they addressed 2010.
Failure to execute was listed in 68 filings for fiscal year 2010, compared with 27 a year ago. Labor concerns were listed in 49, up from 22 a year earlier, and the chance that customers, partners, and suppliers might have financial problems was listed in 48 filings, up from 33, according to the study.
