Estimating cost of equity foreign company

Hey all, long-time lurker here. Great to finally post on here!

My new job is focused primarily on valuing companies located in emerging economies. As part of my job, I have to do DCF valuations (including WACC estimates for each company). Al the CFs are in US$.

I've seen that both, books and practitioners, have two methods for estimating the cost of equity (Ke) for a company located in emerging economies:

1. Add the country risk premium (CRP) to the Ke estimates
This is: Ke = rf + beta x (ERP) + CRP
(Called the Bludgeon approach)

2. Add the CRP to the ERP, and then estimate the Ke
This is: Ke = rf + beta x (ERP + CRP)
(It seems Damodaran uses mainly this method)

I would like to ask those involved in valuing companies in emerging economies, which method do you usually use? Why?

In case you use other methods (and don't use CAPM), which method do you use?

Thanks!