Chapter 10: Managing Political Risk, Government
Boston University School Of Management
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Chapter 10: Managing Political Risk, Government - Comprehensive Chapter
- Summary • 13 pages • 2021
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Chapter 10: Managing Political Risk, Government Relations, and Alliances 
 
Learning Objectives and Chapter Summary 
 
1.	EXAMINE how MNCs evaluate political risk. 
 
Political risk is the likelihood that the foreign investment of a business will be constrained by a host government’s policies. In dealing with this risk, companies conduct both macro and micro political risk analyses. Specific consideration is given to changing host government policies, expropriation, and operational profitabi...