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Managing Political Risk: A contextual approach
Linköping University, Department of Management and Economics.
Linköping University, Department of Management and Economics.
2002 (English)Independent thesis Advanced level (degree of Magister)Student thesisAlternative title
Hantering avPolitisk Risk : En studie av påverkande faktorer (Swedish)
Abstract [en]

Background: The world is turning into a global market place. At the same time as internationalisation and investments in emerging markets have increased, multinational enterprises are as a consequence exposed to more and more risks of various kinds. One of these risks is political risk. It implicates the risk of negative effects for a company due to political actions. Due to the increased activity in developing countries, the process of risk management has become more important the last years. The perception of the political environment is influenced by personal or organisational factors. Even though it is possible that the political risk is managed differently depending on contextual factors, there is, as far as we know, little research conducted with the purpose of investigating this relationship. We would therefore like to compare a number of companies and situations in order to distinguish a pattern concerning what elements influence their political risk management and in what way.

Purpose: The purpose of this thesis is to investigate why companies manage political risk in a certain way as well as to determine how contextual factors influence the political risk management.

Method: We have investigated and compared the political risk management in ABB, Saab, Scania and Skanska. This has been done through interviews with one political risk manager and one project manager in each company.

Result: The risk management is greatly influenced by various contextual factors, such as the risk attitude of the company and the characteristics of the project.

Place, publisher, year, edition, pages
Ekonomiska institutionen , 2002. , 90 p.
Master Thesis in Business Administration (Magisteruppsats från Internationella ekonomprogrammet), 2002:12
Keyword [en]
Business and economics, Political, risk, management, identification, analysis, response, contextual, politisk, risk, hantering, identifiering, analys
Keyword [sv]
National Category
Economics and Business
URN: urn:nbn:se:liu:diva-1029OAI: diva2:17037
Available from: 2002-02-25 Created: 2002-02-25

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