Republic of uzbekistan andijan machine-building institute fundamentals of business management

1. Principal (or country-specific) risk: 
- 
political and social stability in the country of investment; 
- 
consistency and stability of macroeconomic policy carried out by the 
government (inflation control, budget, credit policy, etc.); 
- 
opportunities and conditions for transferring profits and other income from 
business activity abroad from the country of investment; 
- 
other legal conditions of investment (existence of laws and legal actions protecting 
the rights of foreign investors). 
2. Risk up to contract or investment: 
- 
duration and efficiency of complex processes; 
- 
the process of agreeing and approving the terms of the contract, as well as the 
existence and effective functioning of institutions that monitor the parties' compliance with the 
terms stipulated in the contracts; 
- 
the possibility of finding a suitable local partner; 
- 
the existence of a system for evaluating the contribution of equipment, technologies, 
know-how, raw materials, materials and other forms to the charter fund of the newly established 
enterprise; 

---

- 
intellectual property protection 
of doing legal 
basics,
that's it 
includingtechnology transfer issues. 
3. Operational or post-investment risks: 
- 
operationalprocedures and duration of the decision-making process; 
- 
the level of influence in the decision-making process on the issues of profit and its 
distribution; 
- 
management organize reach issues, 
that's it 
including
investment 
project organization of infrastructure, personnel management, 
financial management; 
- 
the possibilities of using local raw materials and the length of time to decide the 
procedures for obtaining them; 
- 
local market marketing; 
- 
finding skilled local labor; 
- 
public safety, including safe working conditions for foreign employees working in 
this country. 
Each company independently evaluates the set of investment risks based on its investment 
strategy, its position in the competition, and invests in one or another country. In the following 
decades, differences between companies in developed countries and companies in industrially 
developing countries began to be clearly visible. Companies in developed countries are 
distinguished by their meticulousness and maturity. They study and analyze the political and 
economic situation in the country for a long time, and only then make a decision whether to invest 
in this country or not. Companies in newly industrialized countries are more active than they are. 
Their strategy is characterized by aggressiveness and speed. The main issue for these companies 
is to quickly enter new markets and take a leading position there. There are many examples of both 
the first and second market entry strategies. But it is difficult to answer the question of which of 
them is good and which is bad. These strategies are completely different, each of them was formed 
based on the historical experience of these countries, the traditions of the business world, and the 
mentality (worldview) of people. After the independence of Uzbekistan, the system of attracting 
foreign investments to the national economy was started. A number of laws and presidential 
decrees have been issued in this regard. "On foreign economic activity", "On improving guarantees 
of foreign investments and activities of foreign investors" Laws and decrees are among them. 
These laws and decrees in a certain sense form the legal basis for attracting foreign investments. 
A number of factors influence the investment climate.