Identifying Political Risk Management Strategies in International Construction Projects

Table 3

Ranking of the political risk management strategies.

Strategy	Academia		Industry		value	Overall
	Mean	Rank	Mean	Rank		Mean	Rank	value
S01: making a higher tender offer	3.99	11	4.00	11	0.906	4.00	11	<0.001^a
S02: conducting market research	4.45	3	4.20	5	0.282	4.29	3	<0.001^a
S03: buying risk insurance	4.03	10	4.06	9	0.697	4.05	10	<0.001^a
S04: adopting optimal contracts	4.12	6	4.23	3	0.261	4.19	6	<0.001^a
S05: implementing a localization strategy	4.42	4	4.06	10	0.197	4.19	7	<0.001^a
S06: avoiding misconduct	4.45	2	4.15	6	0.089	4.26	4	<0.001^a
S07: adopting closed management of the construction site	3.41	22	3.85	12	0.537	3.69	18	<0.001^a
S08: supporting environmental protection	3.75	14	3.82	15	0.831	3.80	14	<0.001^a
S09: abiding by the traditional local culture	3.90	13	3.81	16	0.863	3.84	13	<0.001^a
S10: making contingency plans	4.10	9	4.09	8	0.606	4.09	9	<0.001^a
S11: obtaining the corresponding guarantee	3.98	12	4.22	4	0.401	4.14	8	<0.001^a
S12: implementing an emergency plan	3.18	26	3.55	23	0.244	3.42	24	<0.001^a
S13: forming joint ventures with local contractors	3.58	16	3.77	18	0.182	3.70	17	<0.001^a
S14: conducting a postresponse assessment	3.16	27	3.41	26	0.537	3.32	26	<0.001^a
S15: sending staff to training programs	3.43	20	3.62	21	0.628	3.55	21	<0.001^a
S16: settling disputes through renegotiation	3.28	25	3.43	25	0.617	3.38	25	<0.001^a
S17: choosing suitable projects	4.54	1	4.32	2	0.439	4.40	1	<0.001^a
S18: building proper relations with host governments	4.12	7	4.42	1	0.223	4.31	2	<0.001^a
S19: maintaining good relations with powerful groups	3.52	17	3.85	13	0.537	3.73	15	<0.001^a
S20: creating links with local business	3.43	21	3.70	19	0.377	3.60	20	<0.001^a
S21: changing the operation strategies	3.36	24	3.22	27	0.236	3.27	27	<0.001^a
S22: controlling core and critical technology	4.10	8	3.80	17	0.301	3.91	12	<0.001^a
S23: choosing a suitable entry mode	4.37	5	4.14	7	0.439	4.22	5	<0.001^a
S24: employing capable local partners	3.66	15	3.66	20	0.725	3.66	19	<0.001^a
S25: building up reputation	3.47	19	3.47	24	0.912	3.47	23	<0.001^a
S26: allocating extra funds	3.39	23	3.59	22	0.275	3.52	22	<0.001^a
S27: maintaining good relations with the public	3.49	18	3.83	14	0.137	3.71	16	<0.001^a

Note. ^aOne-sample t-test result is significant (test value = 3) at the significance level (two tailed).