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What factors would you consider in evaluating the political risk related with making FDI in a foreign country?
Answer: Factors to be considered as follow:
a) The host country's political and government system;
b) Track record of political parties and their relative strength;
c) The degree of integration into the world system;
d) The host country's ethnic and religious stability;
e) Regional security; and
f) Key economic indicators.
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