ReportWharton ESG Initiative & EY

Political Risk and Corporate Performance: Mapping Impact

This report analyzes how political risk—ranging from regulatory shifts and policy unpredictability to geopolitical tensions—affects corporate valuations, operating costs, supply chains, and long-term investment. It introduces a framework connecting political events to financial consequences, urging companies to integrate political-risk analytics into strategic planning, governance, and ESG-related disclosures to strengthen resilience. 

Notes on Related Topics

Political Risk (A) – The core of the report: political shocks, policy volatility, and geopolitical events materially change cost structures and valuations. 
Financial Risks (A) – Demonstrates clear pathways from political events to earnings volatility, cost of capital, and investor confidence. 
 

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ArticleMIT Sloan

Presents a framework for when companies should present forceful or tempered political positions based on their publicly stated values and materiality.

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Website

The Long-Term Stock Exchange (LTSE) listing standards include expectations that companies will take responsibility for long-term decision-making across strategy, governance, executive compensation, stakeholder engagement, and investor relations. These standards are designed to help businesses build sustainable value over time for all stakeholders, rather than focusing on short-term gains, allowing investors to better assess long-term capital investments.

 

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ReportSaylor Academy

This textbook section introduces major corporate and agency public-relations subfunctions: issues management, media and community relations, CSR and philanthropy, investor relations, marketing communications, government relations, lobbying, internal communication, crisis management, and more. It shows how communication, advocacy, and stakeholder engagement are structured inside organizations, shaping how they respond to risks, opportunities, and public scrutiny.

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