Your geopolitical exposure is determined by exactly two variables. Understanding both is essential to positioning your organization correctly.
Dimension 1: Strategic Importance
The question: Would a government consider your sector strategically important?
Indicators your sector is strategic:
- Export controls apply to your products or inputs
- Government subsidies exist for domestic production
- Foreign investment screening affects deals in your space
- Dual-use technology concerns arise
- Defense or infrastructure applications exist
- Politicians mention your sector in national security contexts
High strategic sectors: semiconductors, batteries, biotech, AI, defense, telecom, quantum computing, critical minerals, cybersecurity.
Dimension 2: Bloc Concentration
The question: Where do your critical dependencies actually reside?
Dependencies to map:
- Where are critical components manufactured?
- Where is the parent company of your key supplier headquartered?
- Where was the technology you depend on developed?
- Where is customer data stored?
- What’s the ownership structure of your partners?
Single-bloc concentration creates stability. Cross-bloc exposure creates tension—you’re being pulled in two directions.
Learn how to assess your own position. Read the full Strategic Dependency Map analysis on The Business Engineer.
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