Risky Business

The events of 11 September 2001 and subsequently have brought into sharp focus the risks to businesses and employees in international markets. The risks are not confined to the actions of a few fanatical terroists. They encompass a range of activity arising from different cultures and attitudes. They stem from the willingness or otherwise of governments to strengthen weaknesses in policing, judicial systems and anti-terrorism and to stamp out organized crime, corruption, unfair trading, cronyism, bureaucracy and civil unrest. All these things exist to some degree in every country of the world.;Through its international network - both offical and clandestine - Stuart Poole-Robb's company, the Merchant International Group, acts for many major international corporates in evaluating risks before investment and determining likely threats to success and safety well beyond the norms of due diligence. This book is the result of 20 years' experience in this field. It explains in detail the nature of risk and provides country analysis showing the extent and severity of local risk. It also explains defences against the listed risks through careful assessment, staff awareness, architecture and "This volume focuses on the risks associated with doing business in nondomestic markets, with particular, although not exclusive, application for US and UK companies. The authors are well qualified to write on this topic since they are executives in Merchant International Group (MIG), a firm that specializes in providing information and intelligence regarding risk to companies considering investments and operations in nondomestic markets. They take a broad, comprehensive view of risk and provide a framework for identifying, assessing, and dealing with a wide assortment of threats to business as well as to individuals. This framework, termed Grey Area Dynamics (GAD), lists more than 100 factors are organized under ten major subgroups: corruption, bureaucracy, counterfeiting and theft, cultural issues, legal safeguards, organized crime, unfair trade, unfair competition, assest security and extremism. A system of rating or scaling each factor yields an overall assessment of risk for a giiPart One Invisible Risk and its Impact on Investment: Operating in overseas markets; Invisible risks, Grey Area Dynamics, MIG's ten GADs and their subsections, The iceberg; The problem with strategy - Direction, Information collection, Analysis and planning, Bargaining, Decision-making; Understanding culture - Business integration, Case study - South Korea; Bureaucracy, corruption and FDI - Bureaucracy and liberality of investment regimes, Corruption, Case study - Indonesia (1), Case study - Indonesia (2); Legal safeguards, Case study - Poland, Case study - CIS/Ukraine/Russia; Criminal activities - Counterfeiting and Fraud, Case study - Russia, Case study - European Union; The good, the bad and the unethical, Case study - Burma, Case study - Royal Dutch/Shell; Other headaches - Extremism, Unfair competition, Case study - Russia, Case study, industrial espionage; A little light relief. Part Two The World's Troublespots: Introduction; Religious fanaticism and creeping Islam, International organized crime syndicates; Origins of the threat to business; Political terrorist groups; Global scenario update; Risk ratings; Middle East - the Saudi domino effect, Instability in Saudi Arabia, Expanded US operations against Iraq, Re-radicalization in Iran, Higher intensity Israeli-Palestinian conflict, Instability in Turkey; Latin America - Regional recession; Asia Pacific - Indo-Pakistani conflict over Kashmir, US operations extended into Pakistan, A widened Sino-Indian war, A new Taiwan crisis, A Korean crisis, Islamic revolution in Indonesia; The lesser risks - country by country, Asia and the Far East, Europe and the Former Soviet Union, The Middle East, Latin America, Africa. Part Three Threat and Defence: Introduction - Extortion/blackmail, Kidnapping or hostage-taking, Political terrorism; The defence of buildings, personnel and stock, The threat from direct action groups, Protection after the blast, Chemical and biological threats, Evacuation of buildings on receipt of a warning or after terrorist attack, Defence of stock, Cybercrime; Proactive & precautionary measures - Personal security, International travel, Documents and currency, Medical, Airport safety, Hotel safety, Street awareness, Security when mobile, Portable computer and mobile telephone security, Security at home, Child safety, Leisure, Women travellers, Attack and kidnap for ransom, Personal reactions, Coping with captivity, Safeguarding your family, Response to a kidnap call, Dealing with bombs. Part Four Conclusions.