¶ … suspending operations, withdrawing country, a MNC routes manage political risk: adaptation dependency. What adaptation? What dependency? What characteristics adaption dependency? Essay 250 words length APA format
Both adaptation and dependency are two approaches that managers use in their strategy of handling political risks in different countries where their multinational is operational. While both instruments share the same objective, the approach is somewhat different, but in both case, the original premise is that the multinational has decided that political risk is, in some way or other, manageable and that the future profits are significantly higher than the risks incurred.
In the case of adaptation, as the book points out (page 23), this strategy can take several forms and is customized to fit the needs of a particular area where the multinational is present. Several forms of adaptation...
All these measures are undertaken in order to make the company more attractive to local particularities and more able to fit into a foreign environment, thus minimizing its political risk.
Equity sharing involves joint ventures with local individuals or companies, with the purpose of increasing the interest of the locals in the multinational and its operations. The thinking behind this approach is that political risk diminishes because there is also local participation in the company. On a similar line, locals can be involved in the management of the company operations (as opposed to the ownership, as in the previous situation).
Localization of the operation is perhaps the instrument that best describes adaptation taken to the degree to which the multinational aims to transform itself from…
Country Evaluation Pakistan is the South Asian country and was established in 1947. It shares border with India, Tajikistan, Afghanistan, Iran and China. It has a coastline spanning of 1,046 km with Arabian Sea. The country has highest peaks in the world that are K2 and Nanga Parbat of Karakorum and Pamir in the northern and western highlands of Pakistan. Islamabad, Lahore and Karachi provide the major by air gateways to
1% and agriculture 6.0%. ("Jamaica," 2010) The U.S. is more heavily focused on services, with this accounting for 76.9% of the GDP. This is followed by: industry (coming in at 21.9%) and agriculture (accounting for 1.2%). ("United States," 2010) Labor Force The labor force of Jamaica is currently 1.311 million people. ("Jamaica," 2010) While the labor force of the United States is 154.2 million. ("United States," 2010) Labor Force by Occupation The labor force
Countries With High Adult and Child Mortality Rates (ghana) Countries with high adult and child mortality rates The republic of Ghana is a presidential unitary constitutional republic and a sovereign state located on the Atlantic Ocean and on Gulf of Guinea. The country is in the frontier of the sub-Saharan Africa. Akan Kingdoms inhabited Ghana in the middle ages. These kingdoms were Akwamu, Ashanti, Bonoman and the Denkyira. There is archeological evidence
With this in mind communications strategy has to be developed and implemented. The central debate remains that of degree of uniformity. The pros and cons are obvious, i.e. economies of scale, consistent message across markets, centralized control, different market characteristics, media availability and costs and government regulations (Balabanis & Diamantopoulos, 2011). The stronger argument appears to be that different strategy appears to work in different situations, rather than a
However, in the case of Sudan, it may be said that none of the above theories applies. This is largely due to the fact that there are specific internal factors which determine the orientation of the economy in a certain direction. These are most of the times related to the historical evolution of the country under discussion. In the Sudanese case, the end of the war and the independence from
An interesting trend has been registered in the service industry, especially in the field of tourism. One of the main engines of Spanish economy in the past, now tourism in this country faces fierce competition from Eastern Europe countries. The beautiful resorts in Palma del Majorca and Costa Brava must compete with low cost sea side resort, which offer similar services at incredibly low prices. Another field which needs reforms