Comment by angiolillo

The framing of "low trust" vs "high trust" is useful but another important distinction when conducting business in different jurisdictions is whether *institutions* or *counterparties* are more trustworthy.

If institutions such as courts are trustworthy (in that they will impartially adjudicate contracts and help you enforce their terms) then you are able to work with a wider spectrum of counterparties who you do not yet trust. You just have to document and hedge against the risk via contracts and insurance, as you point out.

If institutions such as courts are absent, corrupt, or otherwise captured then you must ensure that you only interact with counterparties that you can trust or have direct leverage over. Perhaps ones with which you share personal or reputational connections.