Present Spain and Philippines Quantifying political riskrate it on all factors listed in the table. Use only 1 ranking score for each factor (not range).

Table 10-3 Criteria for Quantifying Political Risk Scores Major Area Criteria Minimum Maximum Political and economic 1. Stability of the political system 14 environment 2. Imminent Internal conflicts 14 3. Throats to stability emanating from the outside world 12 4. Degree of control of the economic system 5. Reliability of the country as a trading partner 12 6. Constitutional guarantees 7. Effectiveness of public administration 8. Labor relations and social peace Domestic economic 9. Size of population conditions 10. Per capita income 11. Economic growth during previous 5 years ANNNONANNASONA 12. Prospective growth during next 3 years 13. Inflation during previous 2 years 14. Accessibility of domestic capital market to foreigners 15. Availability of high-quality local labor 16. Possibility of giving employment to foreign nationals 17. Availability of energy resources 18. Legal requirements concerning environmental protection 19. Traffic system and communication External economic 20. Restrictions imposed on imports relations 21. Restrictions imposed on exports 22. Restrictions imposed on foreign investments in the country NOWONNN 23. Freedom to set up or engage in partnerships 24. Legal protection for brands and products 25. Restrictions imposed on monetary transfers 26. Reevaluations against the home market currency during previous 5 yours 27. Development of the balance of payments WWNN 28. Drain on foreign funds through oil and other energy imports 29. International financial standing 30. Restrictions imposed on the exchange of local money into foreign currencies 2 Source: From E. Dightl and H. G. Kogimayr, "Country Risk Ratings," Management International Review, Vol. 26, No. 4, 1986, p. 6. Reprinted with permission