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Importance of country risk analysis for investment portfolio

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Which major reasons justify the importance of country risk analysis for the investment portfolios?

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Country Specific risk:
Even though in principle the security analysis is similar in all countries but practically achieving, the same quality of about the assets in a foreign country is by nature more difficult and hence more expensive. The risk of getting false and misleading information is much greater when we are dealing with investment in a foreign country.

For example, consider two ...

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Explain the importance of country risk analysis in descriptive format. (251 words)

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1. Which are the three most important variables that determine the level of country risk?
2. Which of the following three variables has the strongest impact on a country risk analysis: nationalism, religious fundamentalism, or political system? Please explain to me.
3. When is country risk analysis a critical factor for a business going global?
4. How should country risk affect global strategies?
5. Compare and contrast the methodologies used by two of the major providers of risk analysis data.
6. What are the roles of central bank independence and financial market development in budget deficits and inflation?

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