International Journal of Business and Social Science

ISSN 2219-1933 (Print), 2219-6021 (Online) DOI: 10.30845/ijbss

An Assessment of the Political Risk Management Strategies by Multinational Corporations (MNCs) operating in Zimbabwe
Wilford Mawanza

The purpose of this study was to assess the nature of political risk in Zimbabwe and strategies used by MNCs in managing the risk. The study was done through a survey on perceptions of decision makers of 25 MNCs operating in Zimbabwe. It was found out that the best of all strategies to manage political risk was the low involvement strategy through an integrative approach. This is done by involving the local government and good citizenship approach, hence prospective investors were recommended to adopt strategies like joint ventures with local firms especially given the government’s indigenization bill, employing local management and developing good relations with the host government and comply with the national environmental rules / norms and paying more vigilant attention towards this issue.

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