| Abstract: | Effective long-range investment plans covering international asset management will take into account not only the business environment but external factors, especially political and regulatory uncertainties, which can dampen profits and cash flows anticipated over the economic life of the projected investment. Although financial concession packages promoted by development agencies tend to compensate for some of these costs arising from uncertainties, this approach to industrial development is fraught with obstacles. A closer examination of one such program reveals why concessioned firms are leaving or failing, despite numerous advantages, and why the developement agency may be unable to offset future adverse trends. |
