CompAnyBAnkruptCiEs inCrEAsE
ABout 2,500 Firms DEClArED thEmsElvEs insolvEnt AnD sought protECtion From thEir CrEDitors in thE First quArtEr oF this CAlEnDAr yEAr, up morE thAn 35 pErCEnt From A yEAr EArliEr, AnAlysts At thE jAkArtAEConomiC institutE rEportED thursDAy.
thE numBEr oF CorporAtE BAnkruptCiEs is thE thirD lArgEst on rECorD For this pErioD, rEFlECting signiFiCAnt FAilurEs in thE pErFormAnCE oF smAll-AnD miD-sizE DomEstiC CompAniEs. whilE thE Drop in thE vAluE oF thE inDonEsiAn rupiAh hAs ACtuAlly BoostED thE Exports oF somE lArgE CompAniEs, mAking thEir proDuCtion AnD lABor Costs morE CompEtitivE, smAllEr DomEstiC Firms hAvE BEEn hit hArD By FAlling sAlEs AnD By ChEApEr imports FromChinA AnD inDiA, As thE EConomiC slump ContinuEs.
EConomists At thE jAkArtAEConomiC institutE, A govErnmEnt think tAnk AFFiliAtED with thE ministry oF FinAnCE, prEDiCtED thAt thE primE ministEr woulD sEEk rElEAsE oF loAn guArAntEEs to smAllEr CompAniEs in orDEr to stEm thE wAvE oF BusinEss FAilurE AnD to gEt thEm through thE CurrEnt CrEDit CrunCh.
ACCorDing to thE ArtiClE, why ArE so mAny BusinEssEs FAiling
A、highEr priCED rAw mAtEriAls
B、ExCEss DomEstiC CompEtition
C、DEClining sAlEs
D、ContinuED DEFlAtion