International risk analysis: an empirical investigation of practices of Malaysian international firms

International risk analyses being used by Malaysian firms in foreign countries are studied. Results show that each firm's estimation of how important business risk is and the level of sophistication in their methods of measuring it are not significantly related. Also, no relationship is found between the importance of business risk and sophistication in the measurement of political risk. However, strong relationships are found between the importance of business risk and the sophistication of measuring foreign currency risk, and between importance risk and the sophistication in measuring political risk.