Zegart, the Davies Family Senior Fellow at the Hoover Institution and co-director of Stanford’s Center for International Security and Cooperation, and Rice, the Thomas and Barbara Stephenson Senior Fellow at Hoover and a former U.S. They co-taught the Stanford MBA course, Managing Global Political Risk, to more than 200 students over the past six years, collecting case studies and research for their course.
Whether those threats come from government, Twitter, terrorists, or activist hackers, the reality is that political risks can blindside even the best managers if preparatory measures are not taken, say Condoleezza Rice and Amy Zegart, two Stanford political scientists. While political risks have grown more complex, wisely managing them remains fairly straightforward, two Stanford scholars say.įor companies, political risk is defined as the probability that a political action will significantly affect their business - whether positively or negatively. For example, a documentary about Sea World’s treatment of its orcas sank the company’s stock, which still hasn’t recovered.
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