MGT 510 - Strategic Risk Management
in an Emerging Economy
Objective and Overview
U.S. businesses that engage in international initiatives are exposed to different strategic risks than are businesses that deal entirely within the domestic economy. Whether the international exposure of the business involves supplier relationships, customers, a strategic partner, or direct foreign investment, the risks of international business initiatives are most acute when the initiative involves an emerging economy. Emerging economies commonly have volatile currencies, underdeveloped capital markets, unpredictable political transitions, entrenched constituencies oriented to the status quo and numerous other challenges related to culture and language. On the other hand, for those who can identify and manage the strategic risks effectively, emerging-economy opportunities can create substantial value.
With Mexico City as our venue, we introduce you to the challenges of managing the strategic risks of doing business in an emerging economy. Beginning with an introduction to the economy of Mexico, the course develops a framework for formulating strategies and managing the risks of international business initiatives anywhere in the world. While our approach is financial in nature, the course is non-quantitative and is intended for students who are interested in strategic management and international business.
MGT 512 or instructor permission.
Who should take this course?
Students interested in the application of finance principles for improving strategy, those interested in international strategic management, and those interested in risk management.
Selected readings from Harvard Business Review and a series of cases.
Basis for Evaluation
The grade is based mainly on class participation and submission of a final paper.