Emerging Country

In: Business and Management

Submitted By badal
Words 5091
Pages 21
Global Marketing
The foreign marketing involvement of a manufacturing company may widely vary from a state of no direct involvement to a state of total involvement. Several types of involvement are generally observed, even though they are not mutually exclusive nor sequentially progressive.
Depending on the kind and degree of its involvement in foreign marketing, a firm has to re-orient and re-organize its activities to cope with different levels of operational responsibilities inherent in such involvement. To throw some light on the issue, some guidelines are available from what is called EPRG orientation. The EPRG framework attempts, four broad types of orientation of a firm towards foreign marketing.
This paper aims to suggest a model to assist when deciding which foreign investor to select. In much of the current literature on the problem faced by the small transitional countries/companies, globalization by foreign transnational companies (TNCs) is considered to be the generic expansion strategy. The question is, however, which foreign investor to select. The paper evaluates the potentials of the EPRG scheme (Ethnocentrism, Polycentrism, Regiocentrism, and Geocentrism) in choosing foreign investor. It enables company to analyze and predict its competitors' behavior. (Biljana Crnjak-Karanovič).
The Ethnocentric, Polycentric, Regiocentric, and Geocentric Framework (EPRG) dates back to Perlmuter (1969) and his associates Wind and Douglas (1973). The EPRG framework identifies four management approaches or orientations of the company while internationalization process is taking place. The framework is based on the assumption that the level of a company’s involvement in the international business gradually evolves.
EPRG orientations describe an exporter's process of evolution and internalization. Companies begin by being Ethnocentric, i.e., they emphasize…...

Similar Documents

Emerging Markets

...1 Best practice recommendations for emerging markets IPOs Published by Deutsche Börse AG in collaboration with Deutsche Börse Listing Partners 2 Preamble Preamble The following recommendations and suggestions are designed to help issuers as well as participating banks and advisors to address the special characteristics of an emerging markets company’s initial public offering (IPO) and thus to contribute to a successful IPO. They do not constitute mandatory procedures for conducting an emerging markets IPO. The specific features of each issuer should always be taken into account. Therefore, the following recommendations should not be treated as a comprehensive list of the issues to be considered in emerging markets IPOs. For the purpose of these recommendations, emerging markets IPOs are IPOs of companies whose management, ownership structure and operations are predominantly located in an emerging markets country. Additional information Details on financing options and access to the capital market through Deutsche Börse can be found at www.xetra.com/listing_e. The Listing Center also offers an index of expert capital market specialists: Deutsche Börse Listing Partners. These independent service providers can also be searched by area of business and region: www.xetra.com > Listing > Listing Partners Your contact at Deutsche Börse Listing & Issuer Services Phone +49-(0) 69-2 11-1 88 88 E-mail issuerservices@deutsche-boerse.com Finance your future. Made in......

Words: 3612 - Pages: 15

Countries

...information: To cite this document: Sarianna M Lundan, (2003),"MULTINATIONALS, ENVIRONMENT AND GLOBAL COMPETITION: A CONCEPTUAL FRAMEWORK", (ed.) Multinationals, Environment and Global Competition (Research in Global Strategic Management, Volume 9), Emerald Group Publishing Limited, pp. 1 - 22 Permanent link to this document: http://dx.doi.org/10.1016/S1064-4857(03)09001-6 Downloaded on: 10-07-2012 References: This document contains references to 35 other documents To copy this document: permissions@emeraldinsight.com This document has been downloaded 877 times since 2008. * Users who downloaded this Chapter also downloaded: * Michael W Hansen, (2003),"ENVIRONMENTAL ASPECTS OF DANISH FOREIGN DIRECT INVESTMENT IN DEVELOPING COUNTRI COUNTRY FACTORS IN SHAPING THE GLOBAL ENVIRONMENTAL PRACTICES OF DANISH MULTINATIONALS", Sarianna M. L Multinationals, Environment and Global Competition (Research in Global Strategic Management, Volume 9), Emerald Group Publishing Limited, pp. 65 - 94 http://dx.doi.org/10.1016/S1064-4857(03)09004-1 Ans Kolk, Rob van Tulder, (2003),"INTERNATIONALIZATION AND ENVIRONMENTAL REPORTING: THE GREEN FACE OF THE WO MULTINATIONALS", Sarianna M. Lundan, in (ed.) Multinationals, Environment and Global Competition (Research in Global Strategic Management, Volume 9), Emerald Group Publishing Limited, pp. 95 - 117 http://dx.doi.org/10.1016/S1064-4857(03)09005-3 Petra Christmann, Glen Taylor, (2003),"ENVIRONMENTAL SELF-REGULATION IN THE GLOBAL......

Words: 10391 - Pages: 42

Emerging Markets

...world economy was routinely greater than 50% (but whether they will assert influences on the world economy depends on assumption of sustainability) 1993: the East Asian miracle, HPAEs (world bank 1993), no China India 1997-1998 Asian financial crisis (triggered by the withdrawal of foreign capital from the region, however, excessive borrowing, overheating economies and declining investment returns in previous years had already laid the foundations) 1999, 2000: most Asian countries recovered 2008 GFC may accelerate the shift of global economic gravity toward Asia and probably reinforced the prediction of a new Asian century: during GFC, China &India stay 9% growth rate, and HK…. With negative rate, but smaller magnitudes than 1998 2009: GDP in emerging Asia greater than either uk or usa 2016: forecasted by IMF, China will take over US to become largest economy; and Asia could account for more than half of the world economy by the middle of the century 1998-2008: many changes occur to Asian countries, triggered by Asian financial crisis PURPOSE of this paper: key transformation of the Asian economies during 1st decade of the 21st century -> provide the basis for an assessment of the challenges facing these economies -> important implications for the rest of the world 3 fundamental changes: (around 1998-2008, 1st decade of 21st centurya) 1. [formation of regional supply chains] Vertically integrated supply chains across the region and increasingly important......

Words: 1579 - Pages: 7

In Light of Continued Strong Economic Growth in Emerging Countries Such as China and India and Stagnant Growth in Much of the Euro Zone, Use Economic Theory to Explain (I) Why Countries Experience Different Growth Rates,

...In light of continued strong economic growth in emerging countries such as China and India and stagnant growth in much of the Euro zone, use economic theory to explain (I) why countries experience different growth rates, and (II) why we might expect poor countries to grow more quickly than rich countries. There is a huge diversity of how economies expand. Some countries manage to grow at a remarkably fast pace, while others suffer failures almost every time they attempt to improve. In order to explain why countries experience different growth rates and also why poor countries experience growth at a faster rate than rich countries one will have to take a look at the economic theories for this aspect. Firstly, economic growth can be defined as the increase of goods and services, which an economy produces over time. The first theory to go through is the traditional growth theory, which concentrates on the accumulation of physical capital, which explains why some countries are much wealthier now than a century ago. That only scratches the surface, however, as modern economies differentiate from those a century ago, due to the advance in technology resulting in better infrastructure and machinery, producing better goods more efficiently. The neo-classical model of Solow was unable to explain this, treating it as exogenous. ( Sérgio Rebelo, “Why Do Growth Rates Differ?”) Thus the endogenous theory came in to shine light on the matter. It originated from the studies of Paul......

Words: 903 - Pages: 4

Emerging Country

...of total involvement. Several types of involvement are generally observed, even though they are not mutually exclusive nor sequentially progressive. Depending on the kind and degree of its involvement in foreign marketing, a firm has to re-orient and re-organize its activities to cope with different levels of operational responsibilities inherent in such involvement. To throw some light on the issue, some guidelines are available from what is called EPRG orientation. The EPRG framework attempts, four broad types of orientation of a firm towards foreign marketing. This paper aims to suggest a model to assist when deciding which foreign investor to select. In much of the current literature on the problem faced by the small transitional countries/companies, globalization by foreign transnational companies (TNCs) is considered to be the generic expansion strategy. The question is, however, which foreign investor to select. The paper evaluates the potentials of the EPRG scheme (Ethnocentrism, Polycentrism, Regiocentrism, and Geocentrism) in choosing foreign investor. It enables company to analyze and predict its competitors' behavior. (Biljana Crnjak-Karanovič). The Ethnocentric, Polycentric, Regiocentric, and Geocentric Framework (EPRG) dates back to Perlmuter (1969) and his associates Wind and Douglas (1973). The EPRG framework identifies four management approaches or orientations of the company while internationalization process is taking place. The framework is based on......

Words: 5091 - Pages: 21

Emerging Adulthood

...handle adult duties. Therefore, the stage called emerging adulthood happened prior to me entering adulthood. Many feel they stepped they’re way into adulthood by the end of their 20’s or early 30. During this period, changes took place in educational paths, jobs, love partners, and identity. Also, many people make changes their majors several times, and after graduating enter graduate school which delays settlement into the desired career path. Since young adults are always on the move, they move in and out of homes and resident halls. Due to unsettlement in career and being on the move, results in delay marriage as well. However, not every young adult in the world goes through this process of emerging adulthood. Many young adults in non-western countries have no emerging adulthood. They enter marriage, parenthood, and lifelong work early. In low income families, young people do not finish high school or are unprepared for college, and are less likely to leave home, therefore emerging adulthood is nonexistent.  Emerging adults also begin too to build intimacy and trust in relationships that will last a lifetime. However, individuals in emerging adulthood think of intimacy in a different way than in the past. Emerging adults have created a new shift during the period of adolescence and young adulthood in which they are more open to and accept uncommitted sexual activity during the college years. In summary, the goal of emerging adulthood is to renovate from the cocoon......

Words: 616 - Pages: 3

Emerging

...Emerging Adulthood Victoria Peacock August 11, 2014 PSY/205 Karen Underwood Emerging Adulthood The transition into adulthood is one of the most complex and significant shifts of any generation. It is a complex and ongoing process that starts as soon as a child is born and continues as the child becomes an adolescent, to early adult life, and then through the stages of adulthood. When I think of the meaning of becoming an adult I think of setting aside childish ways and becoming a responsible adult. When emerging to adult hood you have to do adult things like being financially responsible, taking care of the household, cooking, cleaning, servicing your car regularly, and putting gas in it. There are so many things you need to do to for a smooth transition into adulthood. Becoming an adult is the most important thing in life. Culture I think going into adulthood in my culture the expectations were set pretty high. After high school I was expected to get a job and start making my own money. I had a boyfriend so my expectations where not to move out with him until I was married, no kids until I was married. I also had to continue to go to church every Sunday. In my culture graduating from high school is a big part of growing up it is an accomplishment we wait to see and work hard to get to. Graduating from high school is the stepping stone into adult hood. It is the first thing that starts your life because it is a what is next process. One has to ask ones self is......

Words: 580 - Pages: 3

Emerging Economies

...norm of male superiority. This is seen particularly in the emerging economies who are the game-changers this century. Joint efforts of all countries towards strengthening the global economy,as well as increasing efforts in business oriented policies and eradication of trade barriers has resulted in the urbanisation of these markets. Another important aspect being the economic hit taken by the developed countries which has made brands shift their focus on the emerging countries market. (BBC News,2013) It is one of the most significant trends seen on the global level. The annual consumption of emerging markets by 2025 will reach $30 trillion and account for nearly 50% of the world’s total consumption. (McKinsey) It clearly indicates the supremacy of emerging economies vis a vis the developed economies. Moreover the average age of the population in emerging economies is young and is expected to be even younger meaning the majority of population will be in the age bracket of 15-65 which is considered as the working age population. This indicates growth prospects in terms of more employment and therefore more disposable income in the hands of these consumers. If we consider the four BRIC countries plus the tier 2 emerging markets, together they account for 3,4 billion people,more than half of the current world population of which the top 20% already have similar purchasing power as the average citizen of developed countries. This sets the importance of this mega trend in today’s......

Words: 948 - Pages: 4

Emerging Diseases

...Bury St. Edmunds, Suffolk, UK Managing Editor Byron Breedlove, Atlanta, Georgia, USA Copy Editors Claudia Chesley, Laurie Dietrich, Karen Foster, Thomas Gryczan, Jean Michaels Jones, Shannon O’Connor, P. Lynne Stockton Production William Hale, Barbara Segal, Reginald Tucker Editorial Assistant Jared Friedberg Communications/Social Media Sarah Logan Gregory Founding Editor Joseph E. McDade, Rome, Georgia, USA Emerging Infectious Diseases is published monthly by the Centers for Disease Control and Prevention, 1600 Clifton Road, Mailstop D61, Atlanta, GA 30333, USA. Telephone 404-639-1960, fax 404-639-1954, email eideditor@cdc.gov. The conclusions, findings, and opinions expressed by authors contributing to this journal do not necessarily reflect the official position of the U.S. Department of Health and Human Services, the Public Health Service, the Centers for Disease Control and Prevention, or the authors’ affiliated institutions. Use of trade names is for identification only and does not imply endorsement by any of the groups named above. All material published in Emerging Infectious Diseases is in the public domain and may be used and reprinted without special permission; proper citation, however, is required. Use of trade names is for identification only and does not imply endorsement by the Public Health Service or by the U.S. Department of Health and Human Services. EDITORIAL BOARD Dennis Alexander, Addlestone, Surrey, UK Timothy Barrett, Atlanta, Georgia, USA Barry......

Words: 18561 - Pages: 75

Emerging Markets

...Never has there been a time to invest in emerging markets than now. The recent financial meltdown in the United States and Europe has crippled investments in both the US and Europe and the outlook are not encouraging. While a lot of western countries and domestic companies are struggling to increase their bottom line- a lot of companies in emerging countries are flourishing. Expanding our operations to the rest of the world- emerging markets like India, China and a host of countries in Africa will increase our bottom line by helping us to diversity our investment endeavors and Starting out- our primary focus should be on Sub Sahara African Countries. When the global economic crisis struck, sub-Saharan African countries had just enjoyed a decade of rapid economic growth. In the three years before the crash, output had jumped to 6%, from an average of 5% over the preceding years. Thanks to prudent economic policies in the past- such as Zambia and Tanzania’s modest fiscal deficits to cushion their population from the worst of the global recession. While countries without fiscal space, such as Ghana reduces their deficit despite the global downturn. Before the crisis, private capital flows to Africa were rising faster than anywhere else in the world, helping to finance infrastructure and other development projects. Today, there have been a significant reduction in private aids to African counties but the need for external resource is still endless- most African......

Words: 654 - Pages: 3

It Emerging

...This document is designed to give a brief explanation on business ethics, its importance and issues, managing ethics in work place, continuing problems and weaknesses in business ethics. We all have an image of what an ethical community or an ethical business should be. To make our society as a whole ethical all individuals, organizations, governments has to act ethically. Introduction Ethics refers to standards of behavior that tells how one need to act in many situations where they find themselves as a member of society. Business ethics is mainly an agreement with partners, keeping records of ethics, using ethical methods of competition. These ethics are considered to be almost the same for businessmen from different countries. Ethics are moral judgments about what is right and what is wrong. These business ethics are decided and formed by each organization and underpin the decisions that anyone in the organization makes. Business Ethics is a combination of particular business best practices and policies to gain public acceptance. In other words Business Ethics are moral values and principles that guide the business behavior ("Business ethics," 2015). Aristotle is the person who introduced the term ethics. He remarked that ethics helps to know what to do and what not to do. Ethics involves to distinguish between right and wrong and to make a right choice ("Business ethics and," 2015). By doing so, it is easy to identify unethical practices. These are implemented...

Words: 531 - Pages: 3

Emerging Market

...Analysis of the emerging market in China Introduction Nowadays, with the financial crisis sweeping the globe, the emerging market is to be concerned by more and more countries. China as one of BRICs country has an impact on economic, trade and political in the world. This paper will talk about the emerging market--China from some economic factors, social factors and political factors, also analysis why China play an important role in the world. And what is the relationship between China and the international environment? Global overview and introduction to China When China awakes, it will shake the world. -- Napoleon Bonaparte The people's republic of China (PRC) which located in east Asia continent, and on the western shore of Pacific Ocean, which is the third largest country with 9,596,960 square kilometres. With the vast land, the land boundary of some 22.800 kilometers also have many neighbor such as Russia, North Korea, Vietnam, Laos, Pakistan, Afghanistan, Nepal, Tajikistan, Mongolia. At the same time, the mainland coastline measures about 18,000 kilometers with a flat topography, and there are many excellent docks and harbours, most of them are ice-free all year round (Jinyan, 2005). Most place of China all belong to the north temperature zone. Clear for seasons which suit for people to habitat. In addition as a big country with a vast territory, the......

Words: 3248 - Pages: 13

Emerging Markets

...Is entering emerging markets the best way to increase profits? Definition- emerging markets are economies characterised by low to middle income GDP per head. In this essay I will be discussing the different factors that support and disagrees with the statement with the examples of rolls Royce, ikea Bric countries Yes it is- rolls Royce During the recession but survived mainly through market development as they entered the emerging market of China. Benefited from a strong demand of luxury cars. Market is growing by 36% a year and is on course to be the worlds largest market for premium cars. Strong economic growth, rising consumer incomes and growing middle class Rolls Royce used the strategy of entering an emerging market which was China. This strategy allowed the business to enter a market which was growing by 36% therefore giving them scope to boost up sales. Using ansoff's market development it allowed them to still charge a higher prove for their products therefore not having to cut costs in order to survive which would have damaged their brand image of premium luxury cars. As a result of thud the company's profit margins would still have been at the same level as they have a have a specific target market. Motivational levels may have Lao increased as there was very little job losses within the business. Overall rolls Royce emerging into a new market has provided a huge increase in profit therefore avoiding the recession and enabled their sales to be high.......

Words: 495 - Pages: 2

The Internationalization of Renault : a Strategy of Development in Emerging Countries

... The internationalization of Renault : a strategy of development in emerging countries Nowadays, Renault is the car manufacturer of reference in France, ahead of Peugeot and Citroën of the PSA group. The Renault-Nissan alliance, established in 1999 and based on two independent companies with their own culture and their own brand identity, is the fourth largest automotive group in the world. After experiencing some difficulties in the 80's, Renault has developed an aggressive strategy of international development that makes it today one of the key players in the global automotive market. By focusing on cultural, political, legal and ethical issues, we will first explain the different stages and difficulties in the internationalization of the group. Then, we will study its different implementation strategies in the several new markets and finally, we will discuss the consequences of the internationalization of Renault. The story of Renault started on the 24th of December in 1898. The society Renault Frères grew rapidly and in 1903, Fernand Renault started to develop the commercial network of the company and created the first subsidiaries abroad – England, Belgium, Italy, Germany, Spain and the United States. However, because of collaboration during the 2 nd world war, the state became owner of Renault Frères in 1945. During this period, the internationalization was started but limited : only some european countries and french colonies like Algeria were foreign markets. It was......

Words: 2058 - Pages: 9

Emerging Nokia

...Emerging Nokia Case Study JANUARY 3, 2012 Defining the Nature of the Problem The nature of global markets has been rapidly changing in the last twenty – twenty five years. These changes to a great degree have been determined by the major breakthroughs in the geopolitical makeup of the world. One of the pivotal events that fueled the economic changes around the globe was the collapse of the communist bloc in the beginning of the 1990s and consequently the dismantling of the bi-polar world order that had been previously characterized not only by two antagonistic ideologies, but also by two incompatible and mostly isolated from each other marketplaces. The description of that old world order was often referred to as “the free and the communist world”, “the West and the East”, which later morphed into” developed and developing” countries. As the pure and acute ideological  division of the world has moved to the fringes of the global agenda, leaving the front stage of the world community focus to the global economic, ecologic and broader humanitarian challenges, the new world paradigm has been more and more often referred to as “developed and emerging economies”. The playing out of these new global realities is very vividly represented by the nature of the challenges and the business decisions required of the executives of the world-renown engineering and telecommunications giant – Nokia, which is mostly known to the world for its leading role in the mobile phone handsets......

Words: 1238 - Pages: 5