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Original Article | Volume 2 Issue 4 (ACR, 2025) | Pages 3023 - 3031
Geopolitical Risks and Strategic Agility, Integration in Corporate Strategy Formation in Volatile Markets
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1
Assistant Professor, Faculty of Management, SRM Institute of Science and Technology, Vadapalani Campus, Chennai, Tamil Nadu, India.
2
Professor, Department of Management Studies, KV Institute of Management and Information Studies, Coimbatore, Tamilnadu.
3
Associate Professor, Department of Business Communication, Management Development Institute, Murshidabad, West Bengal, India.
4
Assistant Professor, Department of Business, Higher Colleges of Technology, Abu Dhabi, United Arab Emirates.
5
Faculty of Business, Department of Business, Higher Colleges of Technology, Abu Dhabi, United Arab Emirates.
6
Professor, KL Business School, KLEF (Deemed to be University), Vaddeswaram, Andhra Pradesh, India.
Under a Creative Commons license
Open Access
Abstract

Geopolitical disruptions have become a constant part of the global business environment, with companies dealing with multiple challenges like competition between major powers, sanction systems, the use of supply chains as tools, control over data, and migration caused by climate change. These factors are changing how businesses approach international strategies. This paper introduces a framework that helps managers incorporate geopolitical risk into their corporate strategies, focusing on the concept of strategic agility. It explains a detailed classification of geopolitical risks that are both outside the company's control and can be worsened by the company's own decisions. The paper also defines strategic agility as a set of skills that include monitoring the environment, considering different options, being flexible with resources, and making quick decisions and learning from them. It outlines ways to integrate geopolitical risk into strategy, such as through organizational structures, processes, analysis, and culture. The paper goes on to present ideas that can be tested, linking different types of geopolitical risks to agility strategies and business results in uncertain environments. It also provides a plan for research that includes measurement tools, research methods, and ways to confirm findings. The paper offers specific advice for different industries, including semiconductors, energy, pharmaceuticals, digital platforms, and companies operating in emerging markets. The main contribution of this paper is shifting from general risk management to a more dynamic approach that sees geopolitics as both a challenge that needs to be managed and an opportunity for gaining a competitive edge

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