...the main characteristics of emerging markets? In contemporary society, emerging Markets (EM) are increasingly becoming the most important strength that could promote the development of the world economy. Broadly speaking, the term "emerging market" has been used mainly to refer to the developing world in Asia, Africa, and Latin America. (Mody，2004). Narrowly speaking, EM refers to the stock markets of developing countries. The purpose of this article is to further analyze the characteristics of emerging markets, I am going to focus on the broad economic aspect of EM, which refers to some developing countries like Brazil, Russia, India, China. (BRICs). I would like to separate this article into three different parts. In the first part, I discuss the implications of emerging markets and why people choose to invest in them. The second part is the central theme of the article. In this part, I focus on the main characteristics of EM. After examining all the characteristics, I make a conclusion about the whole paper and put forward several suggestions for ways governments and investment companies can cooperate together to make contributions to making the markets more mature. Emerging market countries mainly contain dozens of developing countries, which are widely distributed in Asia, Latin America, and Eastern Europe; especially the BRICs (Brazil, Russia, India, China) Bruner et al (2003) classify the world economy in the following way: developed markets, emerging markets, frontier...
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...Marketing in Emerging Market Economies: Why there is a need to reformulate marketing tactics used in emerging markets. Emerging Markets – An overview Emerging market economies are those economies which exhibit high growth and investment potential. Emerging economies are generally found in East and South Asia, Eastern Europe, South Africa, Latin America and Middle East. These economies are characterized by improving standard of living, other than that they have large growing middle class population who have high aspirations and ambitions for the future. All these characteristics make these economies attractive destinations for exporting goods, investment and outsourcing. Emerging economies of the world possess several advantages which have led to their rise. The major advantages that have been observed in these economies are availability of cheap labour force and highly qualified work force which have made these economies challengers in the global market. Another major characteristic of these economies is that their growth rates are much higher than the developed countries of the world. The new international challengers are the top firms operating in these emerging economies who have now become key contenders of the world market. A very good example of the above discussion is Orascom Telecom - which is an Egyptian telecom provider who on the basis of managerial capabilities and superior technology has become one of the major telecommunication provider in Africa...
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...provided an opportunity to create innovative sources renewable energy. Another reason why they are doing this is because growth in mature markets tends to slow down. Therefore, many global companies are realizing that the ability to serve the needs of the world’s poorest consumers will be critical source of competitive advantage in the near future. These companies see the bottom of the pyramid as a potential market. In fact, they are already developing products and launching products specially designed for this segment. They are segmenting global markets by income and population and targeting millions of poor consumers with innovative products and appropriate positioning strategies. However, they have to understand the importance of skillful global market segmentation and targeting while trying to reach low-income consumers in emerging markets. Rural markets are dispersed and distribution is not well established. One problem is to persuade low-income consumers to change their behaviors by buying new products and integrating them into their lifestyles. These companies have to grasp the value of local research and developing programs in emerging and rural markets. 2. How might an understanding of the characteristics of innovations help marketers succeed in emerging markets? According to Everett Rogers, there are five major characteristics of innovations, which are factors that affect the...
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...Hogeschool Rotterdam | Why investors should invest in emerging markets | Counter argumentative essay | Quincy Barrow 11-7-2016 | Introduction Investors have been attracted to emerging markets since the early 2000s due to their huge growth potential during their economic transition from being a developing country into becoming a developed country. Between the year 2000 and 2011 the rapid growth in nations like Brazil, Russia, India and China - also known as the BRIC nations - has created many investment opportunities for foreign investors. Later countries like Chile, Egypt, Colombia, Qatar, United Arab Emirates, South Africa and Thailand have also been classified as emerging markets based on the MSCI benchmark. This essay touches on the reasons why investors should invest in emerging markets, which risks investors could have and how these risks could be mitigated. Emerging markets have been the drivers of the global economy According to Forbes (N.D.) over 70% of the global economic growth in the recent years has from emerging markets and their growing economies, 40% of which was estimated to have come from China and India. China’s purchasing power is expected to go beyond that of the United States by the end of 2016, despite the growth slowing down in recent years. Also, nations like China and India have had a significant contribution to the growth in the world’s GDP in the last decade, including in the 2008 credit crisis. With the up rise of countries like...
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...Introduction In the world, emerging market is growing and huge what refer to a country that has more potential characteristics of a developed market and the national income per capita is relatively lower than developed markets. Brazil, Russia, India, China(BRIC) are the largest emerging market countries and the other emerging countries are including South Korea, Turkey, Chile, Thailand, Poland, etc. These emerging market countries are generally numerous population and they have a large domestic market that means the demand for goods and services are very big. Emerging markets has a free market system which is democratic system and the features is they open the door to welcome more foreign investment as well as the good promotion to improve the trade relationship between countries. Also, emerging markets drive growth in the global economy so they are very important. Although emerging market accounted for a certain size and influence in the global economy, emerging market still have challenges and risks. In this assignment, I selected Brazil to discuss the characteristics, challenges, the environment of economy and the impact of market factors. Global overview Brazil is the most influential country in South America which is rising economic power and it is one of the world’s biggest democracies. Brazil has natural resources especially iron ore that is highly prized by major manufacturing nations such as China. Brazil is the largest country in both South America and...
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...Corporate Financial Policies In Emerging Markets: The Role Of Financial Market Development Paper by; Charles Amo-Yartey Joshua Abor Article Reviewed & Presented by Gabriel Nomotsu Teye- Ali George. E. A Anang Prince Baah Takyi Outline of Presentation Definition of Key Terms Introduction Research Problems Methodology Key Findings Study Gaps For Future Research Research Questions Literature Review Conclusion and Remarks Definition of Key Terms Financial markets: This is a market where financial instruments are traded. Emerging markets: An emerging market economy (EME) is defined as an economy with low to middle per capita income Financial policy: Criteria describing a corporation's choices regarding its debt/equity mix, currencies of denomination, maturity structure, method of financing investment projects, and hedging decisions with a goal of maximizing the value of the firm to some set of stockholders. Definition of Key Terms Capitalization: The total dollar market value of all of a company's outstanding shares. Capital structure: Refers to the way a corporation finances its assets through equity and long-term debt. Financial structure: The structure of a company's sources of financing, including shareholders' equity, long- and short-term debt, and accounts payable. Research Problem The financial markets in emerging markets have undergone considerable growth in recent times, mainly as a result of the trade and...
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...Research proposal of Project report on “Wealth management” Company: Ing Vysya bank ltd. * Objectives of Research 1. To study banking products and services 2. To study Wealth Management of ING Vysya Bank Ltd. 3. To propose different products for different kinds of customers as per their demographic characteristics. 4. To prepare a risk profile of customers. 5. To participate in promotional activities organise by bank. 6. To analyze whether Indian economic development is creating a broad and competitive wealth management market in India. 7. To discuss the factors that have acted as facilitators and obstructions for the growth of wealth management market in India. 8. From the above three objectives, to derive the potentiality and the future prospect of the wealth management industry in India. * Research Design During the tenure of the internship we are going to use Descriptive type of research design. Descriptive Research, also known as statistical research, describes data and characteristics about the population or phenomenon being studied. Descriptive research answers the questions who, what, where, and how…. Descriptive Research deals with everything that can be counted and studied. The description is used for frequencies, averages and other statistical calculations. Often the best approach, prior to write descriptive research, is to conduct a survey investigation. 1. What: I am going to meet existing customer...
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...1. Why is it necessary for Disney to build brand awareness in China and other emerging markets? Brand awareness of Disney Company must be able to be built in the China country and also other emerging markets. Brand awareness is the probability that consumers are familiar about the life and availability of the product. It is because there is an increasingly affluent middle and higher class of people in China which they have quite a big amount of money to spend on purchasing the Disney products and also travelling such as Disneyland. Sooner or later China will be on of the biggest driving forces in forms of profit and revenue. China is now moving quickly towards a country that has the economic freedoms and the closer it comes to then the sooner a massive market will emerge. For example, Shanghai has strong distribution power in the China; it is capture the latest trends in the China market. Shanghai consumers are considered the trendsetters in fashion and lifestyle products across China. As a result, many merchandisers, distributors, and domestic tourists travel to Shanghai to preview the latest fashions and product designs that are set to enter their territory and try to gain a first mover’s advantage. Furthermore, even those broader from China, BRIC (Brazil, Russia, India and China) has been analyzed as countries that will grow rapidly in the future, and having the ability that will help to ensure good results and strong brand recognition when it occurs. With the awareness...
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...An emerging market is a country that has some characteristics of a developed market, but does not meet standards to be a developed market. This includes countries that may be developed markets in the future or were in the past. Examples of emerging markets are Brazil, Russia, India and China also known as the BRIC countries. A business such as Unilever may want to target these countries because the people living there may be earning more money than they used to so they may be more inclined to buy a more modern or well renowned product, this offers businesses like Unilever more opportunities for growth for example Unsilvers underlying sales in emerging markets rose 2.8% in the first three months of the year, compared with analyst estimates of 2.1%. Unilever say that emerging markets now account for 57% of their total business. Another reason large businesses may want to target emerging markets may be that current domestic markets may be mature or saturated which may encourage companies to increase product life cycle by targeting these emerging markets. However it is sometimes difficult to understand how these emerging markets so they may spend huge amounts of money on research and development to see how these markets work and to put together strategies on how to be successful in these markets. This can be very costly for big businesses and they can potentially suffer if their business plans fail. There is always a risk when targeting these markets as there is never a certainty...
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...1. Applied ethics involves: a. investigating where our ethical principles come from and what they mean. b. making a comparative analysis of cross-cultural moral standards. c. establishing moral standards that regulate right and wrong conduct. d. focusing on the issues of universal truths, the will of God. e. examining specific controversial issues. e 2. People in Northern Europe and North America tend to schedule one event at a time. They serve as an example of a(n) _____. a. polychronic culture. b. monochronic culture. c. individualistic culture. d. culture with high power distance. e. culture with low uncertainty avoidance. b 3. Cultures and values are: a. stagnant by nature. b. irrelevant in the world of business. c. hindrances to economic development. d. constantly evolving in nature. e. not influenced by media and technology. d 4. “Guanxi” refers to: a. the connections which are essential for doing business in China. b. the sub-cultural groups that exist in China. c. the dominant cultural group that decides Chinese culture. d. the cultural differences between Taiwan and China. e. the department responsible for implementing cultural practices in China. a 5. The term “national culture” refers to: a. the culture which had been prevalent for more than two centuries. b. the culture which is implemented by the government in power. c. the...
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...TUTORIAL 8: CARLOS GHOSN: LEADING FOR GLOBAL SUCCESS AT RENAULT-NISSAN ● Summary [Identifying key issues] ■This case discusses Japan’s number-two automobile manufacturer,. (www.nissan-global.com), its CEO Carlos Ghosn, his leadership style, and the company's strategy. The questions focus on these issues and whether the strategy of Renault-Nissan is global or multinational. The case provides a good example of a firm that uses a global, integrated strategy for its worldwide operations. It is also a good example of a large company with ambitious goals to produce high quality products and sell them on every continent. BACKGROUND ■ Based in Tokyo ■ 2009- Sales were nearly $90 billion ■ Management planning to launch 48 new car models ■ A few years ago- on the verge of bankruptcy. ■ Renault- The French automaker took a 44 percent stake and installed Carlos Ghosn as Nissan’s CEO ■ Dramatic turnaround- Ghosn returned Nissan to profitability and became a celebrity in Japan ■ Ghosn- Born in Brazil, raised in Lebanon, and educated in France, he is a charismatic leader who speaks four languages and is idolized for saving one of the world’s premier car companies. ■ Ghosn closed inefficient factories, reduced Nissan’s workforce, curbed purchasing costs, shared operations with Renault, and introduced new products. NISSAN’S ORGANIZATIONAL CULTURE ■ Ghosn cut through antiquated thinking, defying Japan’s often bureaucratic and clubby business...
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...An emerging market is a country that has some characteristics of a developed market, but does not meet standards to be a developed market. This includes countries that may be developed markets in the future or were in the past. Many businesses may feel that it is most effective to target an emerging market to increase and maximise profits because the market can become loyal to the brand, making the market more sustainable. When a business expands into an emerging market, there is the opportunity to become part of an economic system that is still forming. Deloitte, a worldwide financial firm, notes that companies in emerging economies must expand capacity and capability. As large companies build power plants, roads and dams, other businesses step in to provide the locals with the goods and services they need. As the region's economy develops, the businesses that open up shop earlier may have a better chance at building lasting relationships with customers, increasing profits in the long run. Access to new capital is what drives many businesses to take on the risks of doing business in emerging markets. As new economies emerge, untapped capital is up for grabs and building and maintaining a pipeline to those funds helps companies not only expand abroad, but also bring in new resources for domestic growth. Emerging market capital can breathe new life into companies that have maxed out potential for new capital domestically. Small businesses especially may have opportunities...
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...explore how projection affects a company’s competitiveness. Summary The most dominant companies in the world have been shown to have two major characteristics which are strategic planning and core competence. A company’s strategy simply means its master plan for the future while its core competence is its strategic advantage. Most companies that have a strategic intent and a strategic architecture to develop those intent always end up being more dominant than companies that do not project towards the future. The managers of different strategic business units (SBU) in a company or organization must be aware of the common strategic intent being pursued, and collaborate towards it rather than compete against each other for short term benefits. This will enable competences to be easily identified and clarified. Access to diverse markets, distinct customer benefits and distinctiveness are the three major characteristics of a core competence. It is necessary to focus on the core competence in order to capture an emerging market. A core product developed from a core competence, derives an end product which can be sold to a customer at the consumer or manufacturing level. The core products are the components that add to the quality of the end products. Reflection To capture an emerging market, an industry must strive to forecast emerging customer needs. Both strategic intent and strategic architecture must be articulated by top management for SBU managers as a point of convergence...
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...Emerging markets represent about 75% of the world's land; they are home for 80% of the global population. Based on classifications of countries used by the International Monetary Fund (IMF) in its World economic outlook (WEO) 150 countries are classified as Emerging Markets and Developing Economies (EMDE)s, including 20 members of G20. Today international companies are looking for new opportunities in emerging markets. More than 20,000 multinationals are operating in emerging economies and expect growth of their operations by 70% in these business areas. China and India represent the biggest potential future growth. However taking these huge opportunities means accepting significant challenges. Businesses entering emerging countries can’t succeed by simply using same business models, same products, prices and services suitable for developed markets. That is why companies have to use different strategy that can be applied to emerging markets. This course on Drivers, Strategies and Business Models For Emerging Markets teaches how to optimize the company’s strategy for emerging market, adapt and modify products and services to the target customers, identify new customers’ segments, and maximize profit on investment in emerging economies. The outcomes of this course are expected to be next: -Understanding of specific characteristics of emerging markets and opportunities and challenges there. -Understanding of finance concepts and strategy of investment in emerging economy. ...
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...How to write your Research Problem Statement at WBS (for any queries please contact Terri Carmichael at terri.carmichael@wits.ac.za, Anthony Stacey ay Anthony.stacey@wits.ac.za or your supervisor) Your Research Problem statement is the foundation and focus of your research report. It is a clear, stand‐alone statement that makes explicit what it is you are aiming to discover or establish. Get this right and you are setting yourself up for success. If your Research Problem is poorly worded, unfocused or ambiguous, the rest of your research is likely to go off‐track very early; you will do a great deal of unnecessary reading and writing, losing sight of the big picture (and probably your mind!). Writing your Research Problem Statement 1. First select your research topic, which is the issue or subject area that you intend to investigate – see the document “Finding a Research Topic”, available at www.wbs.ac.za . 2. Describe the business or management problem based on your topic that you intend to research. Do this right at the beginning of your research proposal or report as laid out in the templates (remember to reference any facts that you are basing your research on). This will set the scene for your Research Problem statement, so that you can write a clear, stand alone Research Problem. 3. A Research Problem is not the same as a business problem, ie it is not a “problem” in the normal ...
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