Political Risk Analysis is the child of two parents: political economy and area studies. Both academic fields are, per se, interdisciplinary and multifold in their approaches to studying the interrelations between political, economic, social and cultural developments in specific countries and regions, and are therefore a perfect match. As outlined in the first part of…
Tag Archive for political risks
Political Risk and Political Due Diligence (I)
The dramatic and still undecided processes of regime change in the Arab world highlight the fundamental relevance of political risk for doing business in countries that were wrongfully regarded as stable, until the outbreak of civil unrest. Even though political violence in host countries is the most vivid case of political risk, there are other…
Food Security within the Global Risk Matrix
The rules of political survival call for the governments meeting at the G20 summit in Paris on February 18 to improve food security. While the scandal of almost one billion people worldwide affected by chronic hunger persists, it is the political risk of food riots that might give the matter a new priority. Various factors…
Regime Change by the People
The popular uprisings in Tunisia and Egypt pose the fundamental question of how best to analyze regime change driven by the power of the people. This article explores dynamic patterns of behavior both on part of civil protest movements and targeted autocratic regimes. These patterns of interaction rule the confrontation and its ultimate outcome, and…
The Corrosion of Democracy
What has happened to the idea and practice of democracy? What many vigilant observers of countries and political systems might have concluded from their daily analysis of political events and processes, has now been confirmed as a global pattern. Democratization has not only come to a halt but has been in decline across the world…
The Shift in Climate Policy
The UN Climate Change Conference in Cancun, Mexico, which was concluded on 10 December 2010, ended on a positive note. All parties, including industrialized and developing countries, agreed on the general objective of low-emissions policies in order to keep global temperature rise below two degree Celsius. Mitigation of global warming remains an important risk strategy.…
Business and Investment Regulations Worldwide
In order to promote the economic and social development of countries, improving their business environment for private entrepreneurs is key. The World Bank’s eight annual Doing Business report, which tracks relevant regulations in 183 economies, has become influential since governments are increasingly concerned about their rank and reputation in the global commercial arena. Given this…
The Four Pillars of Counter-Terrorism
By military means alone terrorism cannot be defeated. This rule, from which few exemptions exist on the national level, is fully evident in view of today’s prominent transnational terrorism spread by Islamist extremists. Therefore, counter-terrorism must pursue a comprehensive strategy that also includes psychological means in response to the mechanisms of fear triggered by indiscriminate…
Systemic Risks – A New Paradigm for Global Risk Research
This article explores the developing concept of global risks and highlights how the study and management of systemic risk has become a major challenge to multinational business. Lloyd’s 360 Risk Insight research platform serves as an example. Special reference is given to the recent report Globalisation and Risks for Business – Implications of an increasingly…