Which strategies can be used to minimize or adapt to the political risk inherent to global business?
A)protectionist,avoidance,and offensive strategies
B)creative,offensive,and defensive strategies
C)cooperative,customary,and protectionist strategies
D)control,avoidance,and cooperation strategies

Question

Which strategies can be used to minimize or adapt to the political risk inherent to global business?
A)protectionist,avoidance,and offensive strategies  
B)creative,offensive,and defensive strategies  
C)cooperative,customary,and protectionist strategies  
D)control,avoidance,and cooperation strategies

Quizplus · Accepted Answer

Control strategies involve seeking to limit exposure to political risk by controlling various aspects of the business in the host country, such as ownership structures, financing arrangements, and supply chain structures. Avoidance strategies involve choosing not to operate in certain countries or avoiding certain industries in countries where political risk is high. Cooperation strategies involve working closely with governments and other stakeholders to build relationships, reduce mistrust, and find common ground on key issues affecting the business. Together, these strategies can help companies minimize or adapt to the political risk inherent to global business.

Which Strategies Can Be Used to Minimize or Adapt to the Political