The ultimate threat a foreign government can pose toward a company is seizing assets. South Korea nationalized Kia, the nation's number three automaker, in the wake of the Asian currency crisis

How does this nationalization differ from expropriation and confiscation?

Nationalization is generally broader in scope than expropriation. It occurs when the government takes control of some or all of the enterprises in a particular industry. This is recognized by international law as a legitimate exercise of government power, as long as the act satisfies a "public purpose" and is accompanied by "adequate payment." On the other hand, expropriation refers to governmental action to dispossess a foreign company or investor. Compensation is generally provided, although not often in a prompt, effective, and adequate manner. Also, it may not match with international standards. If no compensation is provided, then it is referred to as confiscation. Confiscation is generally prohibited under international law and is considered an unfair practice.