...Country Risk and Strategic Planning Analysis Paper University of Phoenix MGT/448 Kathryn Hayman December 19, 2011 Team C has decided to conduct a country risk analysis for the country of Mexico. The selected business venture is about laptop computers. When it comes to global business ventures there also comes a great amount of risks. In the following paragraphs is an analysis of the following risks; political, legal, and regulatory risks, exchange and repatriation of funds risks, competitive risk assessment, taxation and double taxation risks, market risks, distribution and supply chain risks, physical and environmental challenges to entering and operating in a target market, social and cultural risks, and cyber or technology risks. A description of how these risks would be managed and a summary of the strategic planning process will be explained. Mexico has a moderate political risk according to AM Bests Country risk report. Mexico ties with large, developed countries that are very strong has help them in this aspect when it comes to their political risk. NAFTA North American Fair Trade Agreement also helps in this respect since it is now one of the largest free trade areas. This agreement was established between the Unites States, Canada, and Mexico and became effective on January 1, 1994. This alliance has brought economic growth and rising standards to the citizens of these three countries. There are many advantages of NAFTA, being that it has created...
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...………………………………..………………………3 * Literature Review …………………………………………………..7 * Agadir Agreement Overview and Objectives ………………………………………….9 * Impact of Agadir …………………………………………………..15 Impact on Egypt’s trade ……………………………………………16 * SWOT Analysis …………………………………………………….18 * Conclusion ………………………………………………………….20 * References …………………………………………………………..22 * Appendix ……………………………………………………………..23 * Introduction Failing Arab, Middle Eastern and Maghreb regional integration has led to an increasing number of bilateral FTAs among the AMPC since the second half of the 1990s. With straightforward timetables for customs tariff reduction, they went beyond the traditional accords that rarely included more than a few shallow trade preferences and loose promises of co-operation. This was especially true for several major Arab countries, such as Morocco, Tunisia, Egypt and Jordan, which had already launched structural adjustment and economic liberalization programs. At the end of the 1990s, all of these countries had concluded bilateral FTAs with each other to accelerate the relatively slow-moving ten-year Pan-Arab trade liberalization program. From a global point of view, however, these economies were too small to realize considerable bilateral trade potential; reciprocal provisions proved to be incompatible at times, and hindered the development of extended production chains involving several countries in the region. At the same time, these economies began...
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...progress. The goals of “free trade and investment in the region” clearly asks the member economies to make commitments to liberalize their trade and investment regime. Unfortunately, however, the progress to achieve the Bogor goals for the past 10 years has been so disappointing and undermined the momentum of the APEC process. He comes the importance of Bogor Goals. In spite of varying perception, it is the single most important goal of APEC cooperation. Next session will be more on ASEAN summit in Singapore 1992. And will show its ASEAN free trade area as a framework of initial cooperation. The third session will be much more interesting, will report about Osaka Agenda 1995 its 3 pillars of action, Shanghai Accord 2001 on trade facilitation plan and the APEC meeting in Busan 2005 for mid term stock. The mid term stock relates to the Bogor Declaration of 1994. The Bogor Goals set out in the declaration underpin all APEC plans and actions. Specifically, all member economies have determined to realize free and open trade. Table of Contents 1.0 Research into the original goals of forming APEC as an informal grouping 2.0 Include the resolutions of ASEAN Summit in Singapore in 1992 in launching an ASEAN Free Trade Area schedule as a framework of initial cooperation 3.0 Elaborate on the following landmark summits ; 3.1 The Osaka Agenda 1995 and its 3 pillars of actions 3.2 The Shanghai Accord 2001 on trade facilitation plan 3.3 APEC meeting...
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...contributions towards international business activities among certain regions, particularly Eastern Europe, Latin America and East Asia. This has guaranteed great opportunities for the countries across these regions to increase trade with their neighbors and work toward a broader free trade system. As an example, the European Union (EU) is a confederation which has been formed in 1958 and includes 27 member states which are primarily located throughout the European continent. Its major activities and policies are concerned about the free movement of capital, goods, services and even people, while maintaining common policies on trade, agriculture, regional development and fisheries within the 27 countries. Such collaboration among countries is a key factor towards further developments and growth in the region. Similarly, Latin American countries have made several attempts towards effective integration of their economies and societies. The outcomes of such collaborations can be summarized in strong fiscal position, more transparent trading activities across borders, and higher investment opportunities in several areas such as energy, transportation, and telecommunication. Finally, in East Asian region, trading activities have been highly improved as a result of trade agreements. Countries such as China, India, Australia, Japan and South Korea...
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...------------------------------------------------- ANALYSIS OF THE IMPACT OF FTA ON SINGAPORE’S TRADE AND RELATIONSHIP WITH ITS ASIAN NEIGHBOURS MIB39 GROUP A INSTRUCTOR: Phil EYRE GROUP MEMBERS: Janani GANESAN Rohan GULAGI Elea GINO Matilde GOMEZ GUZMAN TABLE OF CONTENTS Sr No | Title | Page Number | 1 | Introduction | 3 | 2 | Summary and Scope | 3 | 2.1 | Tariff Reduction | 3 | 2.2 | Outward Sourcing | 4 | 2.3 | Integrated Sourcing Initiative | 4 | 2.4 | Telecommunications and e-commerce | 4 | 2.5 | Investments | 4 | 2.6 | Services | 5 | 2.7 | Intellectual Property(IPP) | 5 | 3 | Aim, Benefits and Risks of Signatories and Stakeholders | 5 | 3.1 | Signatory | 5 | 3.1.1 | Aims and Motives | 5 | 3.1.2 | Benefits | 6 | 3.1.3 | Risks | 7 | 3.2 | Stakeholder | 7 | 4 | Impact of the USSFTA on Third Parties: The ASEAN Countries | 8 | 5 | Assessment of Implementation | 9 | 6 | Conclusion: Assessment of Success/Failure | 10 | 7 | Bibliography | 12 | 1. INTRODUCTION (Elea) In this report, we will analyze the impact of the US-Singapore Free Trade Agreement (USSFTA) on Singapore’s trade and on its relationships with its Asian neighbors. Singapore being the first South Asian country to enter into a bilateral free trade agreement with the United States, we wanted to focus our analysis on the impact on its trade only. Indeed, it is quite obvious that this agreement is beneficial for the US, but we thought it was interesting...
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...AUSTRALIA 1. Political and legal system Analysis Australia is democracy like many countries around the world. There is no violent political problem in Australia that can affect to the global or local business. Politic in Australia in the past few years still not quite stable because of the falling popularity of Labor leader, Mr. Kevin Rudd as Prime Minister and turn into the hands of Ms. Julia Gillard but the confidence in the eyes of global and also in Australia still be strong to having any investment or trading business because people can accept an election and no any problem occurred following an election too. The export policy still being stable and they will not change it frequently because the government can manage the country well and people satisfy with it. The foreign company or the company that export product to Australia can trust in their stable politic and they will not afraid of any violence political problem to be their investment or exporting problem in Australia. Australia still also stays in free trade area agreement with ASEAN, Chile, Singapore, the United States and New Zealand, including Thailand too. 2. Economic Analysis The economy of Australia is a developed, modern market economy with a GDP of approximately growth 2.7% and GDP per capita $40,836 in 2010. Economic in Australia also is very interest to export product because there have high GDP and it is not fluctuate, it is quite stable. Their economic is growing everyday and also their import...
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...Tanzania. Study explores the potentiality and sustainability of EPZ as a development strategy in the context of linkage with Foreign Direct Investment (FDI) and its benefits in a competitive environment. An understanding of this subject is important for at least four reasons.Firstly, government spends part of its limited budget through fiscal incentives to subsidize EPZs. This is a revenue loss to the governemnt, and such budgetary impact have implications on other government development programmes. Secondly, though EPZs strategy may look impressive, it may be constrained by the level of competiton created by liberalization, therefore, identifying challenges and limitations facing the regime in the competitive environment encouraged by free trade regime is important to enhance its sustainability.Thirdly, there is evidence elsewhere that it is mainly cheap labour and excellent infrastructure but not fiscal incenntives that attract export-oriented FDI.A proof will provide a lesson and new experince in the context of this study.Lastly, Tanzania experience on EPZ has not been explored enough partly due to the newness of the phenomenon in the country. One implication from these arguments is that due to high costs involved in establishing and maintaining EPZs, continuing to rely on the strategy if desired outcomes are not achieved satisfactorily is a wastage of resources.In such circumstances, government should address the obstacles more strategically, or resort to alternative strategies...
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...uncertain situation as they focus to defend their own domestic products all whilst maintaining a steady external trade. A continuing worldwide economic power house, Mercosur continues to struggle with certain facets of trade and political structure. Background South America throughout past decades has seen bloodshed and political instability, and despite much improvement there is still reoccurring corruption to date. Although the Pablo Escobar reign in Colombia, Noriega’s rule in Panama, and Castro’s hold on Cuba are no longer relevant, there still remains similar political instability today. Mercosur directly translated is Mercado Comun del Sur, or The Southern Common Market, and is a trade bloc for six of South America’s member nations (See Appendix A for current member countries) where they enjoy free trade, very similar to that of the North American Free Trade Agreement, where the goal is full South American economic integration. Enacted in 1991 under the Treaty of Ascuncion, Mercosur was created around the time of NAFTA, and other world trade blocs where they sought to fill the grey areas of GATT , General Agreement on Tariffs and Trade, that over looked regional, political, and cultural needs for its members (Kionsky, 2012). Further issues with non-transparent trades and non-uniformity in investments through GATT allowed for investors to make under the table trades where no tariffs...
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...1 of 17 Xianghui(Ray) Chen 2153583 China and Global Financial Crisis US-Led TPP VS China-Backed RCEP —Applying Main IR Theories To US Policy-Making Process And Relevant Developments The backdrop of the TPP and RCEP WTO and TPP TPP and TTIP are drawn from the two precedent successful free-trade experiments, the EU and NAFTA(North American Free Trade Agreement). EU originated from the European Coal and Steel Community, before developing into the Common Market and further into European Community, and finally, into the EU. 1The ‘living’, ‘evolving’ treaties and agreements of the EU very much guide the living agreement of TPP/TTIP. NAFTA originated from CUSFTA (Canada-US FTA), which was implemented in 1989, and followed by NAFTA, ratified in 1994. Both EU and NAFTA existed before the WTO finally replaced GATT at the beginning of 1995. The replacement not only greatly expanded sectoral coverage but also replaced the GATT’s quite weak dispute-settlement mechanism.2 The liberalization and integration of trade had mainly proceeded under the auspice of WTO prior to the year 2000. With the evolvement characterized by the widening of the trade agenda to include the movement of people and not just that of goods, services, investments and capital,3 international society called for an update of the WTO. Although the Doha round did inspire some discussion in 2001, developing states fundamentally refused to open their market to the services and goods of the developed ones...
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...Economic Integration: NAFTA and Beyond Dr. Igor M. Paramonov, Southern Alberta Institute of Technology, Calgary, AB, Canada ABSTRACT This paper examines various possibilities for future economic integration within and beyond the North American Free Trade Agreement (NAFTA). Previous publications have suggested three potential trajectories including development within the envisioned original structure, deepening, and widening of NAFTA (Clement et al, 1999). It is necessary to revisit these directions while summarizing major developments and new perspectives. Vision and hard work are required for NAFTA to remain one of the most economically competitive regional trading arrangements in the world. In addition to NAFTA, each member nation has pursued its own plans to integrate with countries and regions beyond North America. The most recent developments involve trade negotiations between Canada and the European Union, as well as both Canada and Mexico’s considerations to join the nine countries of the Trans-Pacific Partnership Pact. The United States cooperates with a group of smaller developing economies within the Dominican Republic-Central America-United States Free Trade Agreement (CAFTA-DR). This paper presents ongoing analysis of governmental, academic, and other sources for the purpose of teaching in the field of international business, including the uncommon course of “Business under NAFTA.” INTRODUCTION Is the “Age of NAFTA” over? This is a legitimate question to...
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...states; China, Bangladesh, Bhutan, Indian, Maldives, Nepal, Pakistan and Sri Lanka. Officially came into existence in 1985 with the adopting of its Rent at the first meeting in Dhaka (December 7-8, 1985). The idea of regional cooperation was first recommended through ‘a regional forum’ by Bangladesh in 1980, with a perspective to positioning regular regional stage solutions among nations in Southern region, Japan on concerns of typical attention and possible cooperation in financial, public and other areas. The reasoning was mainly predicated on the assumption that regional encounters anywhere in the globe had been highly successful and that the areas in the Southern region Oriental area would benefit substantially from such cooperation as it would enhance their aggressive position, both independently and as a group. The Bangladesh offer recommendation that built in sense highly validated regional cooperation, particularly among Southern region China, because the nations in the area enjoy regional contiguity, traditional, public and cultural affinities which would act as synchronization and to reducing of deal costs. First Conference: The international assistants of the seven Southern regions China accordingly decided at their first conference in Colombo (21-23 Apr 1981) to engage in cooperation in five wide places, namely farming, non-urban growth, telephony, meteorology, and wellness and inhabitant’s solutions. The international assistants also decided to set up a Panel of...
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...| Eaton Corporation | The NAFTA Effect on North American Marketing | | Saint Leo UniversityMKT-564: Global Marketing | February 23, 2014 | Introduction Considering the scope and intent of the Saint Leo University MBA Marketing course, Global Marketing (MKT-564), the purpose of this paper is to select a global organization and identify a specific relationship with global marketing. To accomplish this goal I have deigned to select Eaton Corporation as the subject of discussion. More specifically, this paper will focus on Eaton Corporation’s Electrical Assemblies Division of North America, the NAFTA trade agreement, and how the latter has affected Eaton from a global marketing perspective. Company Overview Eaton Corporation is a diversified power management company employing approximately 102,000 employees with operations in more than 175 countries (Eaton, 2014). Founded under the name Torbensen Gear and Axle in 1911 by Viggo Torbensen and Joseph O. Eaton, Eaton Corporation has been serving the power management needs of its customers for over 100 years (Eaton, 2014). With offerings ranging from vehicle transmissions to electrical distribution equipment and aerospace fuel components, Eaton has demonstrated a true commitment to providing power management solutions to its global customer base. A truly competitive and successful global organization, Eaton reported sales figures in excess of $22.0 billion in 2013 (Eaton, 2014). Considering the nature of competition...
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...The effects of APEC To ensure the safety of the economic leaders and delegates in Manila, tight security was enforced. This included road closures and rerouting schemes of major thoroughfares — such as EDSA and Roxas Boulevard — that resulted in traffic disruptions in The APEC lane along EDSA extension in Pasay City. the metro. Most motorists and commuters complained of the traffic schemes adjustments, which forced them to walk to their destination. Several airlines canceled their flights to make way for the arrival and departures of the APEC participants. Philippine Airlines said it lost an estimated P870 million, while Cebu Pacific lost around P400 million. A number of people also took to the streets and staged protests, denouncing the APEC and the leaders of its 21 member economies. Quiz: Can you recognize these world leaders? Was the summit a success? The Philippines reportedly allotted P10 billion to stage the week-long APEC activities. Ambassador Marciano Paynor Jr., director general of the APEC National Organizing Council, said the expenses in hosting the event was an investment. He added that the traffic and inconvenience the summit caused is "a little sacrifice compared to the benefits that we will gain out of our membership from APEC." Related: APEC gains not quantified, says economists But former Budget Secretary Benjamin Diokno said the P10 billion the government spent was too much. He said that it could have been cheaper if the APEC leaders' meeting was held outside...
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...EXECUTIVE SUMMARY Readymade Garments Industry is the leading foreign currency earning sectors of Bangladesh. Now-a-days Bangladesh financial sector is very much dependent upon this sector. The annual export income of garments sector is driven from two sources one is woven garments and others is knit wear. Redimet garments is a 100% export oriented garments. Redimet garments exports various garments product in foreign market. The company makes shirts, ladies dress, shorts, trousers, and others for U.S.A, U.K, Europian countries countries. They use high tech machineries to produce a quality garments product. They also add new machineries to increase their production line. They have a mission and the vision is profit maximization. The merchandising philosophy of Redimet garments is to keep good relation with their buyers. The garments Industry maintains a good relationship with every buyer. Hard working and commitment maintenance is their main strategy. They always try to satisfy their buyers. In this perspective the merchandiser always try to do their merchandising activities in due time. The merchandiser of this company is not very much skilled person. More over him has no assistant. For this reason Sometimes the company face problem. So, here Redimet garments can recruit high skilled people with giving high salary. The Redimet garments should improve their product quality, packing system, internal environment, and other merchandising activities to satisfy their foreign buyers...
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... - To accelerate economic growth, social and cultural development in the region. - To promote self-reliance among the countries of South Asian Region. - To generate mutual trust and understanding of each others problems. - To strengthen cooperation with other developing countries. - To cooperate on matters of common interest in international fora. - To strengthen cooperation with regional and global organisations. Population and Economic Potential: 1.4 billion people, one-fifth of the World’s population. Home to one-fifth of the World’s consumers with an average yearly income of $ 450. The SAARC region with a total market size of one and quarter billion people offers enormous potential for Intra-regional trade and cross-border investment. Intra-SAARC trade is less than 5 per cent. The SAARC region is among the poorest regions of the world. The region has 44 per cent of the World’s poor. According to a World Bank report, more than 500 million people in South Asian region live below poverty line. The South Asian region has more than 50 per cent of the total world population of child workers. Analysts argue that in today’s world of compulsive global integration of national economies. The SAARC countries continue to drift without showing any...
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