Geopolitical Risk & the Impact on MNCs
Geopolitical Risk & the Impact on MNCs July 1, 2023 ‘The number one issue for our clients is geopolitical concerns – in a way that it never has been in the past. It’s been a concern for HQ, but those who run businesses in China and the rest of Asia got on with their operations and generally ignored geopolitics.’ ‘Can the US pause its criticism of China long enough to get a bilateral dialogue going? If a dialogue can get going, is it sustainable? Can it result in tangible benefits to companies, farmers, workers, and ranchers? It’s not clear. Strap yourselves in and put on your helmet for an exciting six months.’ ‘We know that an imported product won’t be treated the same as a domestically made product. But will a product made in China by a foreign company or JV be treated equally with one made by a private Chinese firm or an SOE? The jury’s out on that.’ ‘Could a competitor analysis, buying satellite imagery for business purposes, or conducting due diligence of SOEs be problematic? This is a slippery slope that we must watch to see what is being connected to the new [espionage] law.’ As geopolitical dynamics shift, companies are reevaluating their presence in China and looking toward markets like Vietnam, Indonesia, and the Philippines for expansion. However, these markets, while promising, do not match China in terms of scale and labour availability. Further, the impact of geopolitical tensions has not been uniform, with European teams reporting challenges in China that differ from those faced by those headquartered in the US. Deepen your understanding and explore the implications for business and strategy.Log in for the full Forum Insight. Join the peer-group discussion at upcoming Forum events. LOG IN Not yet a member?Contact us to learn more. You might also find these insights valuable Asean Asia Pacific China Forecast Geopolitics Japan Leadership Market Strategy Team-Building China’s AI Evolution: Strategic Insights for Executives May 21, 2025/No Comments China’s AI Evolution: Strategic Insights for Executives May 21, 2025 ‘The requirements imposed on China’s AI products matter. They will… Read More Executive Insights on China’s Sales Outlook May 21, 2025/No Comments Executive Insights on China’s Sales Outlook May 21, 2025 Our quarterly China Survey compiles insights from our members to provide… Read More Indonesia’s Promise: CEOs are confident but cautious May 21, 2025/No Comments Indonesia’s Promise: CEOs are confident but cautious May 21, 2025 ‘So long as they maintain political stability and reasonably good… Read More Load More End of Content.