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Smart Reasoning:

C&E

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Qaagi - Book of Why

Causes

Effects

The absence of the commitment and entrepreneurial direction that private investors bring to business ; and Low incentives for management and inadequate working capital and investment in new plant and machineryleadingto low capacity utilisation

Weak demand — both external and domestichas ledto low capacity utilisation

When people have less disposable income and consumer confidence is low , then demand fallscauseslower capacity utilisation

wrong sales forecasts(passive) caused bylow capacity utilization

Under capitalization isis causingthe low capacity utilisation

lack of appropriate market and equipment , partous infrastructure , high cost and scarcity of inputs high cost of transportation , low educational and manpower development , poor agro - industrial policies and hash economic and social environment(passive) caused bylow capacity utilization

liquidity constraintsresultingin low capacity utilisation

local intermediate productsleadingto low capacity utilisation

Issue arising because of low PLFis causingLow - capacity utilization

In Africa however , the infrastructure deficit , energy crisis , excessive import dependence , the lack of clear strategy for areas where we have competitive and comparative advantage and poor sectoral linkages have combined to undermine the industrial sector ,resultingin low capacity utilisation

the major factorscontributingto the low capacity utilisation

Government revenues ... a severe liquidity crunchhas causedlow capacity utilisation

Shortage of labour and restriction on truck movementwill resultin low capacity utilisation

their production levelshas ledto low capacity utilisation

extreme weather conditions across North America in January and February and typical(passive) caused bylow capacity utilization

This follows concerns by some local companies that were struggling to purchase spares such as tyres for their production vehiclesresultingin low capacity utilisation

the challengesresultin low capacity utilisation

Indian cold storage ... oranges , pomegranates , tomatoes or potatoesleadto low capacity utilisation

High priceresultedin low capacity utilisation

the global financial crisis(passive) caused bylow capacity utilization

the pressure of droughtresultedin low capacity utilisation

the market has been unpredictableresultingin low capacity utilisation

The carbon black business is also going through challenging times due to cheap Chinese importsresultingin low capacity utilisation

illegal economic sanctionsresultingin low capacity utilisation

labour unrest and political disturbances(passive) caused bylow capacity utilisation

most workers(passive) caused bylow capacity utilisation

stagnation in the marketresultingin low capacity - utilisation

Half of the variance ... harsh weather conditionscausedlow capacity utilisation

Nepali industrialists ... the blockaderesultedin low capacity utilisation

on the other handcan causeon the other hand

in their inability to pay back their loansresultingin their inability to pay back their loans

to low absorption of costs which in turn leads to higher costs of productionleadsto low absorption of costs which in turn leads to higher costs of production

to retrenchment and increased unemploymentcould leadto retrenchment and increased unemployment

to higher unemployment which in turn creates even greater slake in the economyleadsto higher unemployment which in turn creates even greater slake in the economy

to a continuing decrease in the investment levelleadsto a continuing decrease in the investment level

to lower profitabilityledto lower profitability

a bottleneck on gasoline productionhas been creatinga bottleneck on gasoline production

to higher fixed cost - concept of excess capacityleadsto higher fixed cost - concept of excess capacity

to inadequate production and sales volumeleadingto inadequate production and sales volume

in a negative balance contribution to international reserve accumulation in the first half of 2017resultedin a negative balance contribution to international reserve accumulation in the first half of 2017

to shortage of s tock supply caused by non - availability of adequate foreign exchange or purchase raw materials for productionleadingto shortage of s tock supply caused by non - availability of adequate foreign exchange or purchase raw materials for production

to soft investment activityleadsto soft investment activity

to higher predetermined costs per deviceleadsto higher predetermined costs per device

to low credit offtake / supply augurs well for spread compression in the sub - AAA segmentleadingto low credit offtake / supply augurs well for spread compression in the sub - AAA segment

average costs(passive) caused byaverage costs

non - competitive cost level of its operations(passive) caused bynon - competitive cost level of its operations

to overall inefficiencyleadsto overall inefficiency

extreme financial strain on the entire power value chainis causingextreme financial strain on the entire power value chain

in risingoperating costs and decline in EBITDA from Rsresultingin risingoperating costs and decline in EBITDA from Rs

an adaptation of all Wärtsilä ’s global staff functions with the aim of streamlining processes , decreasing overlaps , and improving the cost efficiencyhas also triggeredan adaptation of all Wärtsilä ’s global staff functions with the aim of streamlining processes , decreasing overlaps , and improving the cost efficiency

the losses(passive) caused bythe losses

inflationpreventsinflation

in less output meaning that demand became much higher than supplyresultingin less output meaning that demand became much higher than supply

alsohas ... triggeredalso

an evaluation of all Wärtsilä ’s global staff functions with the aim of streamlining processes , decreasing overlaps , and improving the cost efficiencyhas also triggeredan evaluation of all Wärtsilä ’s global staff functions with the aim of streamlining processes , decreasing overlaps , and improving the cost efficiency

in inefficient economies of scale - Weak product development capabilities - Significant challenges with counterfeiting and intellectual property infringement - Component manufacturers already feeling a margin squeeze from other low cost regions - Over investment ( e.g. , 25 engine and transmission manufacturing plants currently under constructionresultingin inefficient economies of scale - Weak product development capabilities - Significant challenges with counterfeiting and intellectual property infringement - Component manufacturers already feeling a margin squeeze from other low cost regions - Over investment ( e.g. , 25 engine and transmission manufacturing plants currently under construction

to restrained capacity expansion among the manufacturershas ledto restrained capacity expansion among the manufacturers

in higher fixed costsresultingin higher fixed costs

in higher fixed expenditure per ton of salesresultingin higher fixed expenditure per ton of sales

from poor funding , obsolete equipment , inadequate maintenance , attacks on oil facilities by militants in the Niger Delta region , which interrupts the flow of crude into the refineries , as well as weak managementresultingfrom poor funding , obsolete equipment , inadequate maintenance , attacks on oil facilities by militants in the Niger Delta region , which interrupts the flow of crude into the refineries , as well as weak management

to progressively rising incidental costs for real estatewill leadto progressively rising incidental costs for real estate

more than a gradual pick - up in business investmentwill preventmore than a gradual pick - up in business investment

to the retirement of thousand and workershas ledto the retirement of thousand and workers

in subdued economic performance for the yearresultingin subdued economic performance for the year

from technical problems on remote - sensing projects of national importanceresultingfrom technical problems on remote - sensing projects of national importance

to lifting costs in fabricsleadsto lifting costs in fabrics

from the coronavirus crisis in China at the beginning of the yearresultingfrom the coronavirus crisis in China at the beginning of the year

idle capacity costs(passive) caused byidle capacity costs

the cost for any additional maintenance of the equipment(passive) caused bythe cost for any additional maintenance of the equipment

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Smart Reasoning:

C&E

See more*