1. International Strategic Management Political Risk and Management Decision and Control Chapters 10 and 11, Hodgetts, Luthans and Doh, International Management: Culture, Strategy and Behavior , 6 th edition (New York: McGraw-Hill Irwin, 2006) Adapted from PowerPoint slides by R. Dennis Middlemist, Professor of Management, Colorado State University Mark McKenna BUS 162 (6), International and Comparative Management San Jose State University

18. Critical Risks to Firm Operations A.T. Kearney 2004 FDI Confidence Index

19. Adapted from Table 10–1: The 2003 Transparency International Corruption Perceptions Index

20. Adapted from Table 10–1: The 2003 Transparency International Corruption Perceptions Index

25. Assessing Political Risk Political Risks General Investments Special Investments Adapted from Figure 10–2: A Three-Dimensional Framework for Assessing Political Risk Transfer Operational Ownership control Conglomerate Vertical Horizontal

26. Adapted from Table 10–2: A Guide to Evaluation of Political Risk

27. Country Risk Risk Adapted from Figure 10–1: Country Risk 100 80 60 40 20 0 Minimum Maximum Singapore Hong Kong Chile Taiwan Malaysia Thailand Poland Israel Hungary India Saudi Arabia China South Africa Mexico Brazil Egypt Iran Colombia Ukraine Pakistan Turkey Nigeria Indonesia Cote d’Ivoire Kenya Venezuela Angola Argentina Iraq

32. Use of Integrative, Protective and Defensive Techniques Protective/defensive techniques Integrative techniques (11, 14) Low or stable technology ((7, 10) Advanced management skill Unified logistic, labor transmission (16,6) (14, 3) Dynamic high technology Adapted from Figure 10–4: Use of Integrative and Protective and Defensive Techniques by Firms in Select Industries High 20 Moderate 10 Low 1 1 Low 10 Moderate 20 High