...Southern growth. The new locomotive forces have to be found within the South itself. South-South co-operation is, therefore, crucial.” Manmohan Singh, then secretary-general of the South Commission, said this at a symposium on development at Espoo, Finland, in May 1989. The Commission, which later became South Centre, is an inter-governmental grouping of developing countries in the South. Twenty-three years later, in 2012, when Singh was Prime Minister, India proposed setting up a multilateral financial institution to support economic development of emerging economies. The proposal became a reality in another two years, , with five emerging economies — Brazil, Russia, India, China and South Africa, or Brics — agreeing to form a development bank and a pool of currency swaps at their sixth annual summit in Fortaleza, Brazil. The July 15-16 summit marked a new beginning in the global economic order because for the first time in post-War history there was a collective, institutionalised effort from major economies to challenge the hegemony of the West-focused World Bank and International Monetary Fund (IMF). The New Development Bank (NDB) of Brics, which will start operations with $50 billion in capital and fund infrastructure projects and “sustainable development” in the developing world, is a potential rival to the World Bank, while the proposed $100-billion Contingent Reserve Arrangement (CRA) will work parallel to the IMF. New financial architecture The Brics nations will contribute...
Words: 901 - Pages: 4
...Innovation in BRICS Busines - Way of growth and sustainability strategy Chirinos Adriana Wuhan University of Technology, School of Management, Wuhan 430070 P.R. China （E-mail:adrianachirinos20@hotmail.com) Abstract: The last decade has presented a new global economic scenario lead by emerging markets. BRICS countries (comprised by Brazil, Russia, India, China and South Africa) have been at the forefront in this phenomenon. During these years, the real Gross Domestic Product (GDP) growth of the world (annual percent change - A% c) averages 3,83. It is worth mentioning that the above referenced countries reached 6,01 (157,02% more); and Advanced Economies - not yet recovered since the last financial crisis - reached 1,6 (47,78%). Meanwhile, different measuring models have found that in the world, just the top 20% of the population controls over 70% of the global revenue. These economies have been growing as well. The importance of this investigation is answering the questions: Are they reversing this lack of equality trend? And, Would be relevant to add equity in the development agenda?. This paper offers an analysis of these points and studies them as a strategy for sustainability and continuous growth. Key words: BRICS countries growth; National income distribution; Equity in the development agenda. 1. Introduction BRICS Countries are leading the growth of the economy in the world, and have done so for over 10 years. The International Monetary Fund (IMF)...
Words: 2695 - Pages: 11
...The Post-American World We have entered a new age of economic growth. Fareed Zakaria explains in his bestseller, “The Post-American World”, that we are currently experiencing the third power shift in 500 years. In “The Post-American World”, Zakaria shows us where America stands when compared to rapidly growing countries. America can no longer hold its position of acting director on the world stage with countries rapidly catching up. It is now America’s duty to provide suggestion pertaining to problems arising of rapid growth. We can no longer police the world. “The world is moving from anger to indifference, from anti-Americanism to post-Americanism. The fact that new powers are more strongly asserting their interests is the reality of the post-American world. It also raises the political conundrum of how to achieve international objectives in a world of many actors, state and nonstate.” (The Post-American World 2.0, Page 39) We have now entered the third of three power shifts. First, there was a shift of power to the western world during the Renaissance. We call this “Rise of the Western World.” Next, The United States became a global superpower during the Rise of the United States. The US dominated with its “secret sauce” consisting of enhanced global economics, capitalism, individual rights, science, technology, and education. Since The Rise of the United States, many countries have found their way to growth and modernization. Japan was the first to adopt western methods...
Words: 726 - Pages: 3
...Quazi Tasnim Hasan ID # 112 111 051 Assignment No. 4 What is economic integration? For the Last 65 years, the world has undergone significant changes. The decade of the 1970s was dominated by the two energy crises. Industrial economies were faced with a new “enemy”: stagflation—a combination of high inflation and unemployment. Developing countries were increasingly becoming more dependent on foreign borrowing and centrally planned economies were unable to secure economic growth. Furthermore, the world witnessed a radical transformation during the past two decades. The greatest economic experiment of the twentieth century was the movement from communism to a market economy, which began in Mikhail Gorbachev’s Russia in the mid-1980s, and then spread to Eastern Europe at the beginning of the 1990s and to China later on during the same decade. Although the transition to a free market has led to disappointing outcomes, most Eastern Europe countries have concentrated on integrating their economies with Europe and on becoming part of the EU. All these events led to the world becoming more and more global in nature and to defining globalization as a closer economic integration among nations through increased trade and capital flows. It also refers to labor movement and technology transfer across international borders as well as cultural and political issues, which are beyond the scope of this chapter. Globalization is the result of technological processes occurring mainly in the...
Words: 8839 - Pages: 36
...Assignment on “Meet the BRIC” Case Study | ITB 301Section: 3Spring 2012Submitted to:Salma AkterLecturerDepartment of Business Administration.East West University, Dhaka.Submitted byArafat Rauf2009-2-10-345Date of Submission: 28th March 2012 | Letter of Transmittal March 28, 2012 Salma Akter, Senior lecturer East West University Subject: Submission of Assignment on “Meet the BRIC” case study Dear Madam, I have prepared an Assignment on “Meet the BRIC” case study. It was an energizing experience throughout the semester and preparing this assignment further enhanced my insight about International Business. I hope that this report fulfils your requirements and your feedback is very much necessary to overcome my faults and lacking. This will help me in my entire life. It is my pleasure to carry out this assignment under your supervision. I would like to request you to accept my report for further assessment and I will be available to answer any question for clarification. Thank you for your sincere support. Yours sincerely, Arafat Rauf 2009-2-10-345 Table of contents Title | Page number | - BRIC | 4 | Economic growth of BRIC | 7 | Question 1: Map the proposed sequence of the evolution of the economy of the BRIC’s. What indicators might companies monitor to guide their investments and organize their local market operations? | 8 | Question 2: What are the implications of the emergence of the BRICs for careers and companies in your country? | 8...
Words: 2774 - Pages: 12
...Faculty of Business Studies Module: Presentation and Communication Skills Examiner: Dipl. Ök. Marina Alvares-Wegner The BRIC countries Leslie Authier Matr. No.: 7007017 E-Mail: leslieauthier@orange.fr Diana Carolina Ramirez R. Matr. No.: 7004479 E-Mail: dianacarolina_puebla@yahoo.de Maya Höpfner Matr. No.: 7003768 E-Mail: maya.hoepfner@googlemail.com Table of content 1 Introduction...................................................................................................... 2 2 The Federative Republic of Brazil .................................................................... 3 2.1 General information on the Federative Republic of Brazil....................... 3 2.2 Brazil’s connection with the European Union.......................................... 4 2.3 Brazil’s financial situation........................................................................ 5 2.4 Brazil’s imports and exports.................................................................... 6 2.5 Brazil’s leading companies ..................................................................... 9 3 The Russian Federation................................................................................. 10 3.1 General information on the Russian Federation ................................... 10 3.2 Russia’s connection with the European Union...................................... 11 3.3 Russia’s financial situation.................................................................... 12 3.4 Russia’s imports...
Words: 6703 - Pages: 27
...Telenor Company Profile Telenor PK is a wholly owned subsidiary of Telenor Group, a Norwegian company. The Telenor group operates in 11 markets across Europe and Asia and in additionally 19 markets through its 31.67 per cent ownership in VimpelCom Ltd. Telenor Group is among the largest mobile operators in the world with over 140 million mobile subscriptions (Q4 2011) and a workforce of 30,000. Telenor started out as a public company in 1855 and builds on more than 155 years of telecom experience. A Telenor is a global company it is always looking to expand in to untapped markets or where oppuruntities are available for expansion. Telenor acquired a license for providing GSM services in Pakistan in April 2004, and launched its services commercially in Karachi, Islamabad, and Rawalpindi on 15 March 2005; it expanded its services to Lahore, Faisalabad and Hyderabad on 23 March 2005. Telenor Pakistan’s Corporate Headquarters are in Karachi, with regional offices in Peshawar, Lahore, Faisalabad, Multan, Hyderabad and Islamabad. On 28 January 2005, Telenor established its first call centre in Karachi. TELENOR TOOK ADVANTAGE OF GRADUATES IN KARACHI BY OPENING ITS CALL CENTRE IN A CITY WITH HIGH LEVEL OF GRADUATES. As of January 2012, Telenor Pakistan had a reported subscriber base of 28.47 million, and a SIM market share of 24%. On October 2012, Telenor officially declared to have the customer base of 30 million. Competitors Its main competitors are Warid (UAE), Mobilink (Egypt)...
Words: 8545 - Pages: 35
...and threats to these companies. It will also include a plan of action for one weakness to turn them into strengths. It will discuss the current issues being faced by each company and how it affects the global operation because of the importance. Ford Motor Company and the Toyota Motor Corporation Ford Motor Company was started by Henry Ford in 1903 (Heritage, 2014). Toyota Motor Corporation was started by Kiichiro Toyoda in 1935 (50 Years, 2014). While each firm has been able to develop a relationship between the political and economic forces within their communities, they also understand a strategic plan is important and will guide them to an effective relationship within their communities. This type of plan will help the two firms build brand name as both firms have successfully done. The following table will illustrate the main issues Ford and Toyota are facing. It briefly explains the current position or view of each company to help better understand who the two firms view their community responsibilities. Issues Ford Toyota Legal, Social and Economic Environments Follows country of operations laws (Policy Letters, 2014) Follows home country as well as any other country laws (Corporate Philosophy, 2014) Management Structure Many layers of management that are easy to recognize & make changes to Use to be a tightly controlled global structure, it’s now allows more freedom in other markets (Ayapana, 2011) Operational & Financial Issues Decline in European...
Words: 2517 - Pages: 11
... Globalization has not only opened up new avenues for MNEs, but has also benefitted the emerging nations who have adapted to it. It has formed the basis of growth and development for most emerging nations of course other factors too are relevant). This research paper seeks to examine the international marketing strategies of MNEs in the automobile industry, specifically for the emerging nations, because as our subsequent findings will prove, that these markets are currently the most promising and will remain so at least for a few years to come. When we consider the emerging nations, the most promising ones are obviously the BRICs (reasons covered in the following sections). Hence, for readability and convenience purposes, we have limited our research to these nations. Keywords: Marketing strategy, BRIC, TRIAD, MNE, emerging markets, JV Objectives of Study: 1) International Marketing strategies followed by automotive companies in Emerging markets. 2) The study also aims at understanding whether the marketing strategy of these global automotive companies are justified by analysing its impact on the key statistically significant numbers of a company, i.e. the net profit, sales, operating income and the market share. Introduction MNEs continuously strive to grow, and they need better opportunities in doing so. The automobile industry has been proven to be one of the most promising and stable industries in the world. While the developed markets have reached...
Words: 4313 - Pages: 18
...Brazil’s Economy In 2001, Brazil was viewed as one of the up and coming, fastest growing economies in the world. In fact, Jim O’Neill wrote a paper titled, “Building Better Global Economic BRICs”, which is about the emerging economies in the world. The acronym BRIC represents: Brazil, Russia, India, and China (Smith). These global leaders have lived up to expectations and have grown at a much faster rate than the rest of the world. They have been able to lift millions of people out of poverty, including 40 million in Brazil alone. Will Brazil continue to be part of the BRIC in years to come? A 2010 Goldman Sachs report predicted by the year 2030 the BRIC countries would account for an astounding 41% of the world’s market share (Smith). But we now see that those predicted numbers are very far from certain. Many believe if Brazil does not improve some of its problems plaguing its society, the BRIC could easily become the RIC group. Without the necessary changes being made, Brazil’s annual compounding rate of 4.4% could be washed away. Recently the GDP numbers show their industrial output lingering around recession numbers. It is also predicted that the Brazilian economy will grow less than the U.S. economy this year (Rapoza). Brazil was originally able to secure its spot in the fastest growing nations in the mid to late nineties by bold privatization and economic liberalization policies by then president Fernando Henrique Cardoso. Cardoso’s successor, “Lula” da...
Words: 3758 - Pages: 16
...looks at Comparative Advantage theories explanation to countries varied fortunes, including the International trade theory and underlining the economic growth, because of the foreign trade. The last question that the report outlines is the economists believes on capitalism in regards to maximising welfare. As a result of the report it was decided to recommend the integration of producers of data categories into international chain. Comparative Advantage theory • How does the Comparative Advantage theory explain countries’ varying fortunes? Use examples to explain your answer. International trade theory International trade plays an increasingly important role in economic development. Throughout the post-war period be volumes of world trade rapidly increased, and their environments- Annual growth (1.5 times) faster than the global the first volume of production. As a result, on the one hand, foreign trade has become a powerful factor for economic growth and on the other hand, significantly increased dependence on international trade. It is evident that international trade is growing because it benefits the participating countries. - Economic theory shows that international trade. There is a means by which developing countries Specialization can raise the...
Words: 2872 - Pages: 12
...governance as way of addressing world problems. This discussions focused on gauging the scope for greater linkages between trade and other features of global governance. The global trade regime and global finance for better coordinated and developed in 21st century architecture of global economics governance. The Human Rights Impact Assessment (HRIA) a pertinent tool for informing and improving trade governance? The questions rise during the sessions. The participants also stressed the importance of assessing their own role in creating better governance. A business community was particularly analysing how business leadership can developed to promote strength in the multilateral trading system. International trade helps lower the cost of goods and services to the final...
Words: 1258 - Pages: 6
...Table of Contents Introduction …………………………………………………………………….....1 Analysis of the Financial Crisis and Emerging Markets………………………….1 Conclusions………………………………………………………………………..8 List of Tables and Figures…………………………………………………….......9 References……………………………………………………………………......10 Introduction In the last years we all heard about financial crisis, economic crisis or even strong words like recession or depression. The goal of this paper is to define these terms and to analyze the effects that they produce in the economy. Another objective is to understand the emerging markets and compare then with developed economies. The effects of the crisis are different from country to country but also have some similarities at a global level. I. Analysis of the Financial Crisis and Emerging Markets The term financial crisis is used when financial institutions or assets suddenly lose a large part of their value. This can result in a loss of paper wealth and not as a change in the real economy, unless a recession or depression follows which is the case here. So we can say that the recession is the result of the financial crisis that started in U.S in 2008 from the burst of housing bubble and the subprime lending. There are more types of financial crises: banking crises (bank runs – when depositors withdraw their money suddenly. This type of behavior can result in bankruptcy), speculative bubbles and crashes (when...
Words: 1730 - Pages: 7
...3 ETFs Set to Soar During the Recovery Exchange-traded funds (ETFs) have revolutionized investing. Giving individual investors access to sophisticated investing strategies available only to the pros just a decade ago. The best part: ETFs are cheap to own (very low expense fees). And they're liquid. Meaning you buy and sell them in real time just like stocks -- except that with an ETF you're controlling hundreds of stocks with a single trade! Giving you the power to instantly diversify your portfolio or quickly seize opportunities to profit from coming macroeconomic trends (like an energy crisis or a housing boom) that could push a basket of stocks up or down. A quick example: Want to tap into the wealth-building power of the international markets? (And hedge against your U.S. investments?) Purchase an ETF that tracks the developed international markets of Europe, Australasia, and the Far East (the MSCI EAFE Index). It's like adding 800 of the very best international stocks to your portfolio -- instantly! And for just 0.35% in annual fees. One more: You may have heard the old adage "Small caps lead bull markets." Truth is, small caps don't just lead into bull markets, they charge into them -- handing investors an average return that's more than double that of the S&P 500, according to data from RidgeWorth Funds (a Lipper Award-winning firm). Want to expose your portfolio to that kind of growth? All you have to do is snap up an ETF that mirrors the small-cap index --...
Words: 1910 - Pages: 8
...India AHEAD Ten Things for India to Achieve its 2050 Potential (BRICS estimation) >India could be 40 times bigger by 2050. > India could be 40 times bigger by 2050 than its current capacity as estimated by brics. >To achieve this, India needs to implement many changes. India needs to improve its governance, control inflation, introduce Credible fiscal policy, liberalize financial markets and increase trade With its neighbors. >It also needs to significantly raise its basic educational standards, And increase the quality and quantity of its universities. >India needs to boost agricultural productivity, improve its infrastructure And environmental quality. >Delivery of all these would ensure strong, persistent, medium to long-term Growth, allowing India to reach its amazing potential. In this project, we outline ten crucial steps that we believe India must take in order to achieve its full potential. In our latest brics analysis, India scores below the Other three BRIC nations, and is currently ranked 110 out of a set of 181 Countries. If India were able to undertake the necessary reforms, it could raise its growth potential by as much as 2.8% per annum, placing it in a very strong position to deliver the impressive growth. We highlight the ten key areas where reform is needed. In a way these are the covered ones, we consider them to be the most crucial: 1. Improve governance. Without better governance, delivery systems and effective...
Words: 4202 - Pages: 17
