How Can Businesses Mitigate Risks from Geopolitical Tensions?
To mitigate risks, businesses can adopt several strategies:
1. Diversification: Spread investments and operations across multiple regions to reduce dependency on any single market. 2. Supply Chain Management: Develop flexible supply chains with multiple suppliers to avoid disruptions. 3. Risk Assessment: Regularly conduct geopolitical risk assessments to stay informed about potential threats. 4. Insurance: Purchase political risk insurance to protect investments in volatile regions.