Chap 5 political systems and international business

Chap 5 political systems and international business -...

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© 2007 Robert Sweo Political Systems and International Business
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© 2007 Robert Sweo Definition of Political System A political system is a complete set of institutions, the relationships between those institutions and the norms that govern their function.
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© 2007 Robert Sweo Political Systems Primarily focused on distributing power Establish boundaries between groups Include specified members
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© 2007 Robert Sweo Governments Roles Universally Agreed - Create and maintain a monopoly on violence - Regulate areas that might otherwise degenerate into violence Not Universally Agreed - Support areas of natural underinvestment - Support projects that require full citizen participation - Maintain cultural values - Control economy - Etc.
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© 2007 Robert Sweo Major Forms of Government Democratic - Representative republic Presidential republic Parliamentary republic - Totalitarian democracy - Direct democracy
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Unformatted text preview: Autocratic-Dictatorship-Monarchy-Theocracy Anarchistic 2007 Robert Sweo Political Risks Expropriations Nationalization Socialization Social Upheavals Political attacks on foreign company/industry War 2007 Robert Sweo War War politics by other means Every country that starts one assumes:-They will be short-Their enemy is weaker then they are-Their enemy isnt motivated to see it through They are almost always wrong 2007 Robert Sweo Three Phases of World Bipolar Monopoly Power Multi-Power 2007 Robert Sweo Political Risk Strategies Environmental scanning - know what's happening-Have own panel of experts-Hire outside assessments-U.S. and European Government reports Have a plan for each possible change Have an overall plan for unforeseen changes...
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Chap 5 political systems and international business -...

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