The most severe political risk of global business is the government action of domestication.

Question

Quizplus · Accepted Answer

The most severe political risk of global business is typically considered to be expropriation, where the government takes ownership of a company's assets without compensation. Domestication involves the government mandating local ownership or involvement, which, while impactful, does not usually entail a complete loss of assets.

The Most Severe Political Risk of Global Business Is the Government