Bargaining Power Models

  1. Multinational Enterprises tend to adopt political strategy in negotiating favorable market entry or expansion conditions in host countries, especially in distractive industries ( such as oil, gas ang mining industries)

Through reviewing different bargaining power models such as the one tier, the two tier, and the modified one tier bargaining power models; discuss

  1. Factors that may change the bargaining relationships between foreign Multinational Enterprises (MNEs) and host country governments.
  2. Implication of changing bargaining power for political risks faced by foreign MNEs.
  3. Despite of the risks of political strategies, there are benefits of them.


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