The greater the local ownership of an overseas operation, the less likely it will be subject to political risk.

Question

Quizplus · Accepted Answer

Local ownership of an overseas operation can help to increase the level of integration with the local community and government, which can provide a degree of protection against political risk. When an operation is seen as being locally owned and operated, it is often more likely to be viewed as a legitimate part of the local economy and less likely to be targeted by political leaders or protestors. Additionally, local ownership can provide a better understanding of the local culture and business practices, which can help to navigate any potential political obstacles.

The Greater the Local Ownership of an Overseas Operation, the Less