This paper examines foreign policy change, identifying structural parameters of domestic and international origins that bring about major foreign policy shifts. Domestic structural parameters comprise the politico-institutional setting and advocacy groups in support of alternative foreign policy options. International structural parameters refer on the one hand to systemic changes that may bring about foreign policy realignment and, on the other hand, to the country’s role in the international system and its interactions with other countries that may activate foreign policy changes. We posit that this eclectic approach is necessary to account for major, multi-dimensional and complex, foreign policy decisions. We use this analytical framework to examine the Israeli re-orientation that enabled the signing of the Oslo Peace Agreement in the early 1990s.