Economic Themes (2010) 48 (1) 4, 41-57
Branko Rakita, Dušan Marković
Abstract: Globalization, the characteristic of the end of the 20th and the beginning of the 21st century, is manifested in liberalization of international economic relationships and multidimensional interdependence of national economies. A new business environment has been created and it encourages companies to internationalize their operations in the form of foreign investments. Social and political risk involved with foreign investments is much higher than the one involved with export and technology transfer strategies. Unlike other risks, political and social risks cannot be completely transferred to a third party. Due to this limitation, a very detailed analysis and active political and social risks management are required. Strategic partnerships in form of joint ventures represent an active political and social risks management measure, but they also influence other measures of this kind.
Keywords: globalization; joint ventures; political and social risk; risk management
MANAGING SOCIO-POLITICAL RISK, MARKETING AND BUSINESS ACTIVITIES IN FOREIGN COUNTRIES
Branko Rakita, Dušan Marković
Abstract: Globalization, the characteristic of the end of the 20th and the beginning of the 21st century, is manifested in liberalization of international economic relationships and multidimensional interdependence of national economies. A new business environment has been created and it encourages companies to internationalize their operations in the form of foreign investments. Social and political risk involved with foreign investments is much higher than the one involved with export and technology transfer strategies. Unlike other risks, political and social risks cannot be completely transferred to a third party. Due to this limitation, a very detailed analysis and active political and social risks management are required. Strategic partnerships in form of joint ventures represent an active political and social risks management measure, but they also influence other measures of this kind.
Keywords: globalization; joint ventures; political and social risk; risk management
