ib10-22.pptVIP

VARIABLE WEIGHT I II III IV V 1. Acceptable (A), Unacceptable (U) factors -- a. Allows 100% ownership -- U A A A A b. Allows licensing to majority-owned subsidiary -- A A A A A 3. Risk (lower number = preferred rating) a. Market loss, 3–10 years 0-4 (8) -- 2 1 3 2 b. Exchange problems 0-3 (3) -- 0 0 3 3 c. Political-unrest potential 0-3 (8) -- 0 1 2 3 d. Business laws, present 0-4 (4) --