Managing Political Risk, Government Relations, and Alliances———Prof Maurice

Asia still offers great opportunities for multinational firms. However, given the slowdown that has occurred in this region in recent years, there are also great risks associated with doing business there. The large Finn- ish-based MNC, Nokia, has determined that the oppor- tunities are worth the risk and has staked a large claim in China and is determined to be a major player in the emerging Asian market. Visit its website at www. nokia.com and focus your attention on what this

well-known MNC is now doing in Asia. Drawing from specific information obtained from the website, this chapter, and your reading of the current news, answer these questions: What political risks does Nokia face in Asia, particularly China? How can Nokia manage these risks? How can effective international negotiat- ing skills be of value to the firm in reducing its politi- cal risk and increasing its competitive advantage in this area of the world?

Consider and explain Nokia’s strategy to mitigate risks and improve their relationships with China, when referring to the “Internet Exercise: Nokia in China” on page 363 in the textbook. Complete this assignment by answering the following questions:

1) What political risks does Nokia face in Asia, particularly China?

2) How can Nokia manage these risks?

3) How can effective international negotiating skills be of value to the firm in reducing its political risk and increasing its competitive advantage in this area of the world?

Write a one to two page paper summarizing your findings. The written summary should be double-spaced using 12-point Times New Roman font. You will need to cite your sources of information (at least three) at the end of your paper. Though the paper need not be in APA format, the citations at the end do. One of those three citations may be from the Luthans and Doh textbook, and one citation may come from an online website

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