This paper develops a framework for categorizing the uncertainties faced by firms operating internationally and outlines both financial and strategic corporate risk management responses.
Managing risk is one of the primary objectives of firms operating internationall.
Show us what kind of risks the firms will face. And three types of main uncertainties the firms will meet. And how they can response to the uncertainty through financial and strategic methods.
第二段：风险指的是什么，用在什么方面
The use of the term "risk" to refer to…
The term "uncertainty" as used in strategic management and organization theory refers ….
This paper develops an alternative to the suboptimal approach of treating uncertainties in isolation from one another. This alternative-the integrated risk management perspective-takes a general management view giving explicit consideration to numerous uncertainties. The next section develops an organizing framework for categorizing the wide range of interrelated uncertainties relevant to managerial decision maldng. The subsequent portion of the paper deals with various financial and strategic responses to environmental uncertainties. A final section of the paper elaborates some implications of the integrated risk management perspective for managerial practice, theory development, and empirical research.
A CATEGORIZATION OF UNCERTAINTIES
Managers may perceive as uncertain (1) general environmental, (2) industry, and (3) firm-specific variables. Each of these categories encompasses a number of uncertain components. Review of a wide range of literature on uncertainty and risk management served to identify the specific uncertain components included in this typology
General Environmental Uncertainties
The general environmental uncertainties correspond to factors that affect the business context across industries. General environmental uncertainties include political instability, government policy instability, macroeconomic uncertainties, social uncertainties, and natural uncertainties.
Political uncertainty is generally associated with major changes in political regimes.
Some of the most relevant types of government policy uncertainties are….
Another area of policy risk that is seldom mentioned in the management literature is the role of government policy in the provision of public goods.
Macroeconomic uncertainty is a broad concept encompassing fluctuations in the level of economic activity and prices. Price fluctuations may take the form of general price inflation or movements in the relative prices of inputs (such as raw materials or labor) and consumer goods.
Social uncertainty follows from the beliefs, values, and attitudes of the population that are not reflected in current government policy or business practice. Social uncertainty results from the difficulties inherent in predicting the likelihood of collective action and the direction of such action when people are faced with discrepancies between their own values and those embodied in the institutions impacting their lives. Social uncertainty can be a precursor(诱因) to political and policy uncertainty. Social uncertainty occurs in….
The political, policy, economic, and social uncertainties within the general environment are clearly interdependent. The distinctions between these uncertainties may, however, be useful for managerial and scholarly analytical purposes.
In analyzing the general environmental uncertainties, the country unit of analysis can be relevant.
Industry Uncertainties
Industry dynamics involve three major classes of uncertainties: input market uncertainty, product market uncertainty, and competitive uncertainty.
Input market uncertainty refers to the industry-level uncertainties surrounding the acquisition of adequate quantities and qualities of inputs into the
