There is a constantly changing array of risks in the international business environment, to which firms must adapt if they wish to operate internationally. Even, firms that confine their activities to their home markets are not immune from international risks. Just as success can create momentum across national boundaries, crisis can also spread from country to country. No firm has a complete picture of all the relevant factors in every location, but understanding the dimensions of the environment in different national settings goes a long way towards building a sustainable global strategy. In some countries, counterfeiters may be allowed to publish translate versions of foreign books without compensating the publisher or the authors. In some countries, accepting expensive gifts from suppliers is acceptable. In some countries, any advertising which is aimed at children is banned while it is accepted in others. Exposure to potential loss or adverse effects on company operations and profitability can be caused by developments in a country’s political, social, economic and/or legal environment. The spectre of protectionism and a retreat from free trade also carry risks.