...Karachi school for business and leadership | Financial Institutions (Banks) & Industrial Development in Germany, Russia & India | Global and South Asian Business Development | Dr. Imran Ali | | 3/24/2014 | Salik Chaturbhai M2130024 Taimour Abdullah M2130017 Zeeshan Jessani M2130034 Salik Chaturbhai M2130024 Taimour Abdullah M2130017 Zeeshan Jessani M2130034 Contents Introduction 2 Review of Literature 3 Looking at the Past: Industrialization and Financial Institutions 8 Germany 8 Deutsche Bank, Germany 10 Russia 13 Sberbank, Russia 16 India 17 The State Bank of India 18 Major Themes: Comparison & Contrast 24 The debate between Capitalist and Communist Industrialization 25 Fiscal and Industrialization policy 27 Mission Statement and goals 30 The Banking Sector 31 Target Markets 32 Colonized Industrialization or De-industrialization 34 Conclusion 37 Appendix 1 39 Appendix 2 40 Work Cited 42 Introduction Mankind as a whole and the world as has been observed in the past has undergone much change in all aspects of human life. The concept of economic development in light of increasing industrial growth, free labour, the growth of private property as an institution and the development of the international trade as a concept have changed the way humans and hence nations interact and intervene in the world economic system. These gradual yet drastic changes in the structure of human interactions led to a wave...
Words: 12530 - Pages: 51
...As the CEO of a company that has to choose between making a $100 million investment in either Russia or Czech Republic the risk considerations have become critically important in choosing the best option. The risk considerations include evaluation of each nation’s political, economic and legal systems along with the cultural practices, education and skill levels and each countries stage of economic development. The political systems of a country shapes both the economic and legal systems (Hill, 45). These systems are interconnected and play a vital role in making a decision of which country to make an investment in. In evaluating the risks of making the investment in Russia, the most widely discussed risk that is found is the corruption in the country; this remains a major barrier success for businesses in the nation. There is a complex business environment in Russia along with known issues involving bribery. The corruption in the nation leads to a number of problems including non-transparent and inconsistent application of laws and regulations with the weak enforcement of laws and court decisions (Business Anti-Corruption Portal). This isn’t the only area where corruption is a problem in Russia, there is corruption in the area of licensing and permits with multiple inspections and red tape. Intentional and lengthy delays in the procedures for starting a business, getting required permits and licensing are additional risks along with the corruption. It does seem as though the...
Words: 1312 - Pages: 6
...ignorant about the country and its’ business relations and lack thereof. This paper will focus on research, data analysis and identifying Russia’s major elements and dimensions of culture, aspects and dimensions integrated by locals conducting business, contrast to that of US culture and businesses and implications for US businesses that wish to conduct business in Russia. References will be provided through discussion of interviews from actual residents from within different districts throughout Russia, as well as work attire, women in the workforce, examine Russian self-employed, women’s experiences, communication, interpretations, expectations of gender employment and various social schemes. This should prove to broaden a basic understanding of foreign and cross border relationships and assist with an understanding of business practices in Russia. What are the major elements and dimensions of culture in this region? Ethics When discussing Russia and their corporate ethics contrast to that of the United States there are quite Russian ethics are quite different and separate in terms of being an individual. Self grooming is a must. Corporate leaders are expected to maintain all standard pertaining to grooming. An individual’s appearance such as haircuts and certain lengths, cleansed nails and dress. Russians believe in first impressions so much that will make a deal based upon their first meeting with you. This is developed and mentored...
Words: 4597 - Pages: 19
...Global Business Cultural Analysis: Russia Liberty University School of Business BUSI 604-B05 Dr. Wallace Saunders July 4th, 2014 Honor Code I have neither given nor received any assistance on this assignment that has not been disclosed in the document submitted. I have not violated nor observed any violations of the Liberty University Honor Code as it applies to this assignment. Signed: Abstract Russia spans 11 times zones and with 147 million people the business opportunities are just as great as the abundance of raw materials and the landmass of the country. Russia is a unique business opportunity and the first thing that needs to be established before thinking of doing business in Russia is an understanding of its people and their diverse culture. Russia’s turbulent past and breakup of the U.S.S.R. along with the switch to a free market and privately held companies have combined making the people of Russia complicated and cultural diverse. Understanding how these cultural diversities allow for international business to be more successful inside of Russia will allow for the expansion of business and the creation of opportunity for those willing to understand Russian culture. Russia is in a unique position to allow for foreign investment to help grow and stabilize their economy and grow their relationships with foreign countries and investors. It is the investors and businesses responsibility to understand and accept the cultural differences that are...
Words: 4351 - Pages: 18
...India-Russia Relations Relations with Russia are a key pillar of India's foreign policy and Russia has been a longstanding time-tested partner of India. Since the signing of “Declaration on the India-Russia Strategic Partnership” in October 2000 (during the visit of President Vladimir Putin to India), India-Russia ties have acquired a qualitatively new character with enhanced levels of cooperation in almost all areas of the bilateral relationship including political, security, trade and economy, defense, science and technology and culture. Under the Strategic Partnership, several institutionalized dialogue mechanisms operate at both political and official levels to ensure regular interaction and follow up on cooperation activities. During the visit of Russian President to India in December 2010, the Strategic Partnership was elevated to the level of a “Special and Privileged Strategic Partnership”. Political Relations: Annual Summit meeting between the Prime Minister of India and the President of the Russian Federation is the highest institutionalized dialogue mechanism under the Strategic Partnership between India and the Russian Federation. So far 14th Annual Summit meetings have taken place alternatively in India and Russia. The last (14th) Annual Summit was held in Moscow on 21 October 2013 when PM Dr. Manmohan Singh visited Moscow and had a meeting with President Putin. A Joint Statement “Deepening the Strategic Partnership for Global Peace and Stability” was adopted during...
Words: 1705 - Pages: 7
...the firm, and other related issues. Post your organization chart, including a description of operations and rationale. What are some of the major control issues to be considered? Your final product should be clear, detailed, and demonstrate mastery of organization structure and control systems. Scenario Assumptions An American fast-food chain plans its market entry in Russia. Country Profile – Major Concerns of a Market Entry in Russia Table 1 summarizes the main general, current opportunities and risks prevalent for doing business in Russia. Opportunities in Russia | Risks in Russia | - Russia has a population of 142.9 million. This offers a great growth potential of our customer base. (Ernst&Young, 2012) The population is broad-based, young and not picky (Wilson, 2004). | - The Russian labor market is highly segmented. Earning, income and educational inequalities are large. Additionally, the enforcement of labor standards is lax and collective bargaining is underdeveloped. (OECD, 2012) Therefore, we will need mechanisms to control their enforcement after the market entry. | - Russia is still experiencing an economic upward trend in terms of GDP of 22% from 2011 to 2012. (Ernst&Young, 2012) This indicates rising purchasing power in the country for our product and future growth potential for this purchasing power. | - Due to educational differences and decreasing unemployment the war for talent gets tougher as more and more companies compete for skilled...
Words: 1974 - Pages: 8
...Conditions in Russia and Their Effect . . . . Kouznetsov and Jones CONDITIONS IN RUSSIA AND THEIR EFFECTS ON ENTRY MODE DECISIONS OF MULTINATIONAL MANUFACTURING ENTERPRISES: A QUALITATIVE STUDY IDENTIFYING ISSUES FOR FURTHER RESEARCH IN THE AREA OF COUNTRY CONDITIONS AND THEIR IMPACT ON ENTRY MODE ALEX KOUZNETSOV, Melbourne Institute of Technology ASHELEY JONES, Melbourne Institute of Technology This study examines entry modes employed by foreign multinational manufacturing enterprises (MMEs) when entering Russia. This exploratory study focuses on country-specific conditions associated with the chosen entry mode - an important component in the consideration of overall entry strategy. Information from field studies representing 18 manufacturers – 10 directly manufacturing in Russia and 8 selling their products in Russia via representative/sales offices – was obtained by means of personal interviews with senior management in Moscow and constituted the primary qualitative data. Research questions are posed for further examination of conditions in Russia and the effects of such conditions on the entry mode decisions of MMEs. The study finds economic conditions to be the only important determinant of entry modes for large multinational manufacturing companies investing in Russia with other country factors playing no role in their choices. INTRODUCTION With the expansion of global business activity, the ability to analyze the key characteristics of potential...
Words: 6551 - Pages: 27
...| Russia: PEST Analysis for Foreign Direct Investment | Principal of Finance | Russia: PEST Analysis for Foreign Direct Investment Overview Russia is a large country with a long history extending back to the 12th century AD when it first freed itself from Mongol domination (Russia). Russia’s most relevant historical past is its emergence from Communist rule and the breakup of the Soviet Union under Mikhail Gorbachev in 1991 due to his policies of glasnost and perestroika, or opening and restructuring. Since that period Russia has been defined by a kind of political turmoil that has seen every sort of leader from a, it is said, Vodka imbibing progressive in Boris Yeltsin to a former intelligence officer in the KGB with a black belt in Judo, in Vladimir Putin (Russia). While the political turmoil has unfolded publicly, the business and professional climate has deteriorated from the heady days of the Soviet breakup when foreign enterprises believed the region was ripe for investment and, to some degree, exploitation. The level of corruption has largely dissuaded the full development of foreign investment and is an international concern, not just local to Russia: “the prevalence of corruption and crime in business affairs has been generally recognized as a major cause of concern...”(Taylor, Kazakhov & Thompson par.1). Until Russia is able to solve this unregulated chaos, business in Russia will remain an exercise in risk rather than revenue. Political Many...
Words: 2627 - Pages: 11
...MABE: Learning to Be a Multinational Strategic Management 75-498 Section 1 Professor T. Mao By group 10: Daniel Sgro 103442079 Elizabeth Oduwole 104078842 Mohammad Rafi Siddique 103606130 Si Shen 103552129 Table of Contents 1. Problem Identification…………………………………………………..…2 a. Key Issue……..………………………………………………………………...…2 2. Situation Analysis………………………………………………………..…2 b. External Analysis……...…………………………………………………………2 i. PESTEL………….……………………………………………………...….……2 ii. Industry………….………………………………………………………….……3 iii. Porter’s 5 Forces…..……….……………………………………………………3 iv. Diamond Model……………………………………………………………….…4 v. 1-2-3 Model………………………………………………………………………4 vi. CAGE Framework…………………………………………………………....…5 c. Internal Analysis………………...…………………………………….…………5 vii. VRINE……………….………………………………………………..…………5 viii. Value Chain…………..…………………………………………………………6 ix. Financial………………..……………………………………………..…………6 3. Alternatives & Recommendation…………………………………….……7 d. Alternatives………..………………………………………………………..……….……7 e. Recommendation………...…………………………………………...….…….………....7 f. Implementation………………………………………...………………………………...8 g. Contingency Planning……………………………………………………………………8 4. Appendices………………………………………………………….………9 h. Appendix A: VRINE Table…………………………………………………......……….9 i. Appendix B: Decision Matrix…………………………………………....…….…..……9 j. Appendix...
Words: 5635 - Pages: 23
...Lovisa Björcke 900313-‐0961 Cross-‐Cultural Management Summer Course Assignment 4: Case Study – IKEA: entering Russia Introduction This case study describes IKEA’s entrance on the Russian market and the many obstacles the company was faced with. As IKEA’s Russian country manager Lennart Dahlgren stated; everything that was not assumed to be a problem turned out to be a problem and everything that was assumed to be a problem was in fact not one. IKEA dealt with many problems relating to culture during the launch in Russia but dodged them all surprisingly well. I believe that the most important factor why IKEA could solve these problems was because of their smart way of adapting their concept to the Russian market and because of the company’s strong organizational culture. Below I will present the main problems I have identified and ...
Words: 1536 - Pages: 7
...Identifying Global Business Opportunities Global Business Opportunities We are a construction company that focuses on the future of the environment as well as people all over the world. We have a lot of experience, passion, and knowledge about constructing homes that are energy and meet the universal green standards. Our core business consists of constructing “green” homes for people to purchase in hopes to live a more eco friendly lifestyle in order to help save our planet and our future. Potential Markets Although there are several markets available all over the world right now, we are currently focusing our energy and attention on expanding and developing overseas in Russia. Unfortunately Russia is very advanced already and has recently begun to expand their business’s efforts towards reaching the consumers within the “green” market. Russia currently has one company that is already succeeding within this field due to the fact that they are local from the country, start up cost are high and equipment is more accessible. However, given the current economical conditions anything is possible and any business can be successful to those willing to take risks. Absolute and Comparative Advantage I would not say that Russia has a comparative or absolute advantage overall. We both have the equal resources and opportunities to gather materials necessary, we are both large in size, and we both have the same advances and availability of technological resources. Business Opportunity...
Words: 3827 - Pages: 16
...School of Business and Management Executive Masters of Business Administration TED & HARRY’S ICE CREAM FACTORY The Russian Experience Case Study Submitted By: Dhia Karajih Hessa Ahli Issam Abbassi Sameera Al Buraiki Ted and Harry’s Ice Cream Factory 2 Q1: Do you think Ted & Harry’s Russia was a success? There are different views about what makes a business successful. Typically success should be judged by the ability of the business to meet its objectives. The success of businesses can then be judged in terms of their ability to meet important targets (objectives) and creating a cycle of stakeholder satisfaction. Accordingly, we should measure the success of Ted and Harry’s Russia against the objectives Ted and Harry have set when they decided to branch out in Russia and see whether it was met. The idea of promoting peace was the main objective, and from this standpoint, we can say that Ted & Harry Russia was successful in its business experience in Russia. In the first place, Ted & Harry's motivation was sourced from their social responsibility and not just to make profit for the business, although it is an important element of the organization's existence in the market. Moreover, the goal of the organization in branching out in Russia was based on the idea that “International Peace Could Be Promoted Through Cooperative Business Ventures” Ted and Harry believed after their first visit to Russia. Considering those two criteria, Ted & Harry’s Russia was successful...
Words: 2503 - Pages: 11
...[pic] ConocoPhillips – Final Report MBA 808 – Moscow May 1, 2008 Scott Legler Erin Osborn Greg Whitehorn Introduction The ConocoPhillips and LUKOIL joint venture provides great insight into doing business in Russia. The Russian economy continues to grow as companies domestically and internationally find success in an emerging market once filled with corruption and instability. Through an analysis of the ConocoPhillips and LUKOIL joint venture one can see the opportunities available for those companies who are able to enter this market. ConocoPhillips provides lessons learned and a six-step approach for a successful joint venture business in Russia. ConocoPhillips also provides insight into many of the challenges still facing those who desire to do business in Russia. They prove that with a will to confront and determination to overcome these challenges, business in Russia can prove to be quite profitable. Background ConocoPhillips ConocoPhillips is the third largest energy company in the U.S. Based on market capitalization; it is surpassed in size only by U.S. oil giants Exxon Mobile and Chevron. ConocoPhillips is headquartered in Houston, TX and employees over 32,000 people worldwide in forty countries. According to its website “ConocoPhillips is known worldwide for its technological expertise in reservoir management and exploration...
Words: 7377 - Pages: 30
...A comparative study of political, economic and social-cultures issues of the Russia and India Prepared for: Dr. Joe Zhou Peng Submitted: 11 May 2015 Prepared by: Zahara CitraArifin 006 Table of Contents INTRODUCTION 1 Task 1 1.1 Economy of Russia and India 2 Terrorist aspects of globalization 2 1.2 Political System of Russia and India 3 Discrimination against Woman 4 Corruption 4 1.3 Socio-Cultural of Russia and India 5 Hofstede’s Cultural Dimension of Russia and India 5 Written and Unwritten Laws 6 Task 2 2.1 Culture Shock 7 2.2 Cross Cultural Training ...
Words: 2545 - Pages: 11
...Ibus 430 Summary Report The Key to Kiev In this article the authors discusses the problems and tensions between Russia and Ukraine, over natural gas prices and distribution, that started to rise in winter of 2009 and affected the most part of Europe, that has not been completely solved until present day. On January 7th 2009 after disagreement over natural gas prices, Russia completely shut off gas supplies to Ukraine. Therefore, Ukraine shuts off the natural gas supplies to Europe, which created another conflict involving other countries. With intense European pressure after a week of debating and arguing, Russia and Ukraine were forced to reach an agreement for its gas prices. This crisis showed that foreign policymakers should not forget that Ukraine is one of the largest state in Europe and they should count in, besides the week economic growth, it still holds a lot of power of natural gas pipelines that runs through it. After the agreement was reached it was set that the prices for gas in the first quarter of 2009 will be $360 per 1000cubic meters, and when Ukraine will purchase over 60% of its annual gas from Russia it will be $200 per 1000 cubic meter. Furthermore, Russian policymakers were pushing Ukrainian government to give up some pipelines towards Russian advantage, due to Ukraine being unreliable source of distribution of natural gas (economically and technologically). With the inside of the both countries political wars for the presidential elections, it...
Words: 983 - Pages: 4
