Geopolitical risks account for three of the top five most likely business risks, according to a new report. Geopolitical problems can result in price volatility for energy and other commodities; foreign-exchange volatility; supply-chain disruptions and the collapse of consumer demand for products and services.
Tools such as business interruption modeling, supplier risk assessments, and business continuity planning can work together with insurance solutions to help companies identify and manage exposures.
This article studies the emergence of geopolitical risks and highlights how companies can manage geopolitical exposures by leveraging a range of risk management tools.
• Arab Spring.
• Business implications.
• Growth requires risk.
• Risk assessment and mitigation.