MNCs and international projects
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When MNCs pursue international projects that have a high potential for return, does it necessarily increase their risk?
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Solution Summary
International risk exists in the very nature of moving beyond the protectipon of the laws governing your jurisdiction of corporate origin. This coupled with the accepted risk/return ration means MNCs engage in higher risk projects by the very nature of thier business model.
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When MNCs peruse international projects that have a high potential for return, the risk is also higher. Risk is always correlated to return, such that the greater chance for loss, the greater the returns in the event there is a gain. This rule of thumb in ...
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