States and Companies: Political Risks in the International Oil Industry
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Because political events can determine the success or failure of an investment abroad, transnational companies must make every effort to analyze political risks as part of the decisionmaking process. States and Companies, written especially for students of international business and executives of transnational companies, presents a conceptual framework for the analysis of political risk. Although the author focuses his study on the international oil industry, his explanatory model of political risk is applicable to most transnational companies. Lax's study is important because it focuses on developing a context for understanding political risk rather than simply offering a predictive methodology. He provides the theoretical groundwork for this understanding by explaining political risk in terms of a broader theory of interaction between host states and transnational corporations. The inherent conflict of interests and issues hierarchies between these two actors, Lax argues, is the root cause of political risk.
Format:Hardcover
Language:English
ISBN:0275930742
ISBN13:9780275930745
Release Date:November 1988
Publisher:Praeger
Length:209 Pages
Weight:1.03 lbs.
Dimensions:0.6" x 6.0" x 9.0"
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