Certified in Risk and Information Systems Control (CRISC) Practice Test 2025 - Free CRISC Practice Questions and Study Guide

In the context of a global company operating across various regions, accommodating local regulations is crucial for compliance and operational effectiveness. Modifying policy to suit local regulatory requirements is the correct approach because it ensures that the company's practices align with the specific laws and regulations of each jurisdiction. Local regulations might encompass a range of areas including labor laws, environmental protections, data privacy requirements, and other legal obligations that could vary significantly from one country to another.

By modifying policies, a company can not only achieve compliance, thereby avoiding legal penalties, but also build trust and foster good relationships with local stakeholders, including governments, customers, and communities. This tailored approach allows the organization to remain competitive and operate efficiently in diverse environments while respecting local customs and legal frameworks.

On the other hand, adopting a one-size-fits-all policy or implementing only global policies can lead to significant risks, including potential legal violations, operational challenges, and damage to the company's reputation. Ignoring local regulations entirely would expose the company to severe penalties and could result in lost market access. Therefore, modifying policy to accommodate local regulations is not just a best practice but a necessary step in effective global business strategy.

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