Conceptualizing, Analyzing and Measuring Political Risk: The Evolution of Theory and Method
79 Pages Posted: 18 Jul 2008
Date Written: July 18, 2008
This paper analyses the concept of political risk, its evolution and conceptualisation, and explores its utility as a means of understanding political events and processes that can threaten order, stability and continuity in International Relations and disrupt the normal practices of inter-state investment, trade and commerce. More particularly, the article organises the disparate literature that surrounds the concept of political risk such that it might be more rigorously applied as a social science method for understanding political events and their effects upon commercial and strategic activities.
Keywords: Political risk, multinational enterprise, foreign direct investment
JEL Classification: B30, B31,
Suggested Citation: Suggested Citation