...Running Head: VENEZUELAN OIL MARKET 1 Analysis of the Venezuelan Oil Market BINT 6311 – International Business Management University of the Incarnate Word VENEZUELAN OIL MARKET 2 Table of Contents Abstract ............................................................................................................................................3 Review of Venezuela .......................................................................................................................4 Geographic Location ....................................................................................................................4 Demographics ...............................................................................................................................5 Economic Indicators .....................................................................................................................5 Politics and Economic Freedom ...................................................................................................6 Analysis of Entry Modes .................................................................................................................7 Government’s Role ......................................................................................................................8 Joint Ventures ...............................................................................................................................8 Recent Events in Entry ....
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...Exercise country analysis and country risk Venezuela Hypump, a US company producing hydraulic pumps used in oil producing industry, likes to investigate the possibility of starting a new subsidiary in Venezuela, and asked you to make a country analysis and country risk report. The facts, key indicators and back ground information of Venezuela you found after research are presented in the Appendix. Use that information to answer the following questions: Moderate poverty and inequality have decreased from 1998 onwards due to the program called ‘Missiones’ according to the World bank (see appendix). 1. Use the fact sheet Venezuela whether this can be confirmed with figures. Assess: a. Level of development b. Income inequality 2. Assess Venezuela’s export structure. What is it based on? Use GDP and expenditure components for Q 3 and Q4 to assess Venezuela’s attractiveness from the table: 3. How can you see 2014 and 2015 are forecasts? 4. Characterize the phase of business cycle Venezuela has faced in 2013 and 2014 (Explain which key indicator(s) are used to answer the question) 5. Make a ‘first level analysis’ of the aggregate components of GDP to explain the economic (GDP) growth during 2013. 6. Explain the influence of imports on GDP in 2013. 7. Make a ‘second level’ analysis of the aggregate components of GDP to find some reason(s) for the movement of the various components. ‘The decrease...
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...American country of Venezuela. The paper’s three main topics include Venezuela’s economy and resources, which both revolve primarily around the petroleum industry, Venezuela’s political relations with Russia and China, and finally US national security and trade interests in Venezuela. 2. Nearly two times the size of the state of California according to the CIA World Fact Book, Venezuela is situated on the northern tip of South America. Venezuela’s available natural resources are abundant, and, according to Heather D. Heckle, in her article for the Encyclopedia Britannica, include some of the world’s largest natural gas deposits, iron ore, vast coal reserves, gold, diamonds,...
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...1. Executive summary: The main purpose of the following report is to provide information about the profile of The Bolivarian Republican of Venezuela; in order to study the current situation of the country for further investigations in the future that may help to understand the opportunities and risk involve in importing and opening new markets in Venezuela. The analysis includes reviews and an extensive research about: First the geography and global information to introduce the country; second, the History since the arrival of the Spaniards. The Political analysis will be explained as much detailed as possible due to its specifics characteristics in the recent decades with the Hugo Chavez’s government. He report draws special attention in the Social analysis is one of the main issues to be reviewed due to its importance at the time of making any decision. The economic aspect of course will be in consideration with both: the Official’s figures and the international observer’s ones, the graphics will be analyzed. It will be also mentioned the Business environments and the principal sectors to invest or that could be interesting to sell. To support all the information in the report before any conclusion, it will be used THE SWOT tool to demonstrate why Venezuela is an interesting place to import, especially in the last 5 years. It is not just a country of striking natural beauty, which ranges from the snow-capped Andean peaks in the west, through the Amazonian...
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...Women’s Struggles in a Socialist Venezuela Venezuela has overcome many obstacles, and triumphs as a country that always been full of oppression on the people. With years of oppression and marginalization, a new president in 1998 came into power, this President is Hugo Chavez. Hugo Chavez was able to win the presidency, perhaps because he has been viewed as a people’s man. Chavez has made it very clear that he is for socialism, and not for a neoliberal Venezuela, “Es el neoliberalismo el camino? Sí, el camino al Infierno. Ese es el camino al Infierno” - Hugo Chávez. Hugo Chavez has set out a plan for his socialist government, this plan has been designed to finally put an end to all the oppression the many lower class marginalized groups have faced over the decades. However, it is very evident that putting this plan into action has proved a lot more difficult than Chavez and his administration thought it would. For this reason, it is clear that for social justice, and the democratization of this country have been widely affected, and not for the good. As Chavez has changed the agenda, but in the view from social justice and democracy, he has lacked to really implement change for the better, and this is why we still see a high number of marginalized groups that are fighting constantly for more rights. Women have continued to fight in the name of social justice and democracy to pave a way for all the women that are oppressed. If we view Venezuela from the view of the plans put into...
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...New Labor in Venezuela As I was sitting there at work searching around on the internet, I came across an interesting article. It just so happened that I was also thinking to myself that I need to come up with a topic for my international business paper. I wasn’t out there looking for the topic too hard at the moment so once I seen this article that that caught my attention, I knew that this was going to have some weight on the decision I made for my paper topic. The title of the article which I found on Yahoo was, “The Top 10 hardest countries to do business in.” Low and behold the number one country on the list that was the hardest to do business in was Venezuela. This peaked my interest, so I began a search on some of their international laws to see what it is about Venezuela that makes it so hard to do business in. Thus, this brings me to the beginning of the paper. As I began my search for the difficulty of business in Venezuela I came across a plethora of information related to the international business world and why their laws can cause problems for foreigners to do said business in their country. There is so much that relates to what our papers are supposed to be about in fact that I have to choose a select few in order to not write an entire novel for this paper. So what I would like to do in this paper is speak about a few of the laws and issues in Venezuela in some detail, but I would like to focus the majority of the paper on their new labor law which recently...
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...Deterioration of Chavez Chavez_Cancer http://www.reuters.com/article/2011/10/10/us-venezuela-chavez-idUSTRE7994RB20111010 With the Venezuelan elections coming up, Hugo Chavez, the current president of Venezuela, is trying to win the elections again after being 13 years in possession of the power. At the same time, Chavez’s health has been deteriorating as he announced he has cancer. He also took the cancer look by shaving his hair off and going bald. On the other hand, Chavez has recently been leaving Venezuela unexpectedly going to Cuba leaving his people unattended, meanwhile the media has not always been able to report exactly why the president had to leave his people. It is not the media that is at fault, but the president himself who is trying to hide things; the president himself is at fault of turning Venezuela into a fake democracy in order to keep the power himself. First we will be looking at Chavez’s health conditions in the past years. In June of 2011 Chavez left Venezuela and underwent unscheduled surgery in Cuba for pelvic abscess. After being absent for almost a month from his country, on June 30th, 2011, Chavez announced that he was recovering from an operation removing a cancerous tumor. The Vice President then stated that Chavez remained will “full exercise” of power and that there was no need to transfer powers despite of being absent from Venezuela. On July 2nd, 2011, the newspaper “El Periodico de Catalunya” stated that Chavez had “colon cancer that...
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...Southern University SIMON BOLIVAR ONE COUNTRY, ONE BROKEN DREAM. Herbert Maduro Columbia Southern University Simon Bolivar has been considered by many historians as the liberator of the Americas, he lead an army that liberated Venezuela, Colombia, Peru, Ecuador and Bolivia from the Spanish rule. Bolivar dreamed in having these countries unified as one big country called “The Gran Colombia”. These countries would have shared a centralized government and would have had the city of Bogota as its capital. In this article I want to explore the reasons why he could not achieve this dream of unifying these countries and if he had what economic and social impact this unification would had have in today’s economy. Simon Bolivar was born in Caracas; Venezuela on the 24th of July 1783 his family was wealthy and had close relationships to Spain. Bolivar was educated in Spain and came back to Venezuela with his young wife who died shortly after her arrival in Venezuela. Bolivar never married again. Bolivar has been underrated as a general and tactician, but is safe to say that he is probably in the top 50 Generals in World History. Simon Bolivar began his campaign of independence from Spain in 1810 with the independence of Venezuela, and then it followed Colombia, Peru, Ecuador and Bolivia. It is important to note that some of these countries were in fact a part of the “viceroyalty of Nueva Granada”, and that Bolivar just wanted to maintain these territories united. The first...
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...Comparative Location Analysis Belem, Brazil and Maracaibo, Venezuela located in South America are both examined in regards to the potential of sustaining a successful lumber industry. Although particular locations are portrayed as more favourable within the lumber industry, this industry has skills, technologies, and methods of operation that are adaptable to different temperatures, soil, humidity, labour skills, and economic conditions. Furthermore, after careful research that looks into the different aspects of the two cities location determinists, entry modes, exporting, globalization, transportation, and foreign direct investment. According to World Guides (2015), the exporting route on the Atlantic Ocean from the Amazon River to the harbour in Belem is an important piece in Brazil’s importing and exporting system. Therefore, due to the frequency of the imports and exports coming through the waters of Belem, this city must maintain a good level of infrastructure standard for roads to get the exports to and from the loading dock and to their desired destination in order to maintain a quality service that will keep exports up. The Para and Belem History (2013), states that Belem started expanding on the development of roads to help accommodate and direct the busy flow of people and the vehicles containing various goods that were coming to and from the river port. Road building promoted the use of the Belem/ Amazon River route for importing and exporting goods. Also...
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...REPORTS OF INTERNATIONAL ARBITRAL AWARDS RECUEIL DES SENTENCES ARBITRALES Rudloff Case (interlocutory) 1903-1905 VOLUME IX pp. 244-255 NATIONS UNIES - UNITED NATIONS Copyright (c) 2006 244 AMERICAN-VENEZUELAN COMMISSION due from the National Government according to this contract for services rendered from July 1 to December 1, 1897, the sum of $ 2,307.69. This indebtedness is not denied by the Government of Venezuela, and an award is therefore made for said sum with interest thereon at 3 per cent per annum from December 1, 1897, to December 31, 1903, the anticipated date of the final award by this Commission. RUDLOFF CASE INTERLOCUTORY DECISION (By the Umpire:) The protocol requiring that claims shall be considered upon the basis of absolute equity, the Commission in doing equity has the right to examine and determine whether the provision of a contract requiring all disputes to be submitted to the local courts is equitable under the circumstances, and, in this case, the contract provision being found to work inequitably, jurisdiction of the claim is entertained. DECISION ON MERITS (By the Commission:) A contract entered into by the minister of public works of the nation and the governor of the Federal District duly authorized by the Chief Executive of the nation, is to be considered as a contract made by the National Government, especially where the National Government entered into an agreement as to free entry of materials for the...
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...One of the most conclusive verdicts on the leadership of Hugo Chavez in Venezuela came out of a physician who became famous for ensuring that he had inner knowing that cancer will eventually kill the president of Venezuela. It was widely covered by the media of opponents, communication eager to fill the void left by the lack of official information on the health status of Chavez statements. Beyond truth diagnosis doctor Jose Rafael Marquina, a Venezuelan who resides in Florida, USA, also transcended his criticism of the style of government of the now deceased leader. In an interview with the local newspaper Tal Cual in December 2012, he said: "Chavez dealt with his illness in the same way it did with the country in an improvised way." From...
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...spanishSenora Cressman Spanish 4/Mod January 13 2011 Famous People and Festivals The country of Bolivia is named after Simon Bolivar. Though he was not born in Bolivia, but born in Venezuela, he was Bolivia's main political leader. He was one of Bolivia's founding-fathers and served as Bolivia's president from August 12, 1825. December 29, 1825. He also played an important role in helping other South American countries gain independence from Spain and served as president in other countries of South America. His parents were Colonel Juan Vicente Bolívar y Ponte, and Concepción Palacios Blanco. He had two older sisters and a brother: María Antonia, Juana and Juan Vicente. There was another girl, María del Carmen, who died at birth. Before he was three years old, Simón lost his father, who passed away in January of 1786. He played an important role in the liberation of a large part of South America from Spanish rule in the 19th century. On his visit to Europe, Bolivar got the opportunity to witness the coronation of Napoleon. This incident sparked the idea of revolution in his mind, so on returning home, he joined the Venezuelan revolution. He was barely in his 20s then. His victory spree came to an abrupt halt, when his forces were defeated by the Royalist army in 1815, and he was exiled to Jamaica. Eventually, a victory in Peru in 1824, led to the end of Spanish rule in the continent, making Bolivar a powerful force in Latin America. Bolivar died due to tuberculosis...
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...to offer equal or better quality product at a more competitive and profitable level. A manufacturer of clothing company is a good example of this, cotton is purchased in Peru, Crocodile skin in Colombia, and is all put together in Montreal to be sold in the USA market. Another advantage of globalizing products or services is to be able to deliver results to the client (depending on the industry) at a much faster pace. 2. What does the Venezuelan economy teach us about appropriate systems needed to develop economically and to enhance future prosperity and standards of living? In your estimation, what is the long run prognosis for the Venezuelan economy? Is this a country that is attractive to international businesses? Currently Venezuela is benefitting from a boom in oil prices. What do you think might happen if oil...
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...develop a strong and out-of-control non-market production market, also known as black market. This kind of market is not reflected in the GDP because it can’t be controlled or audited by the government. The NPM (non-production market) also refers to services based on cash flow, illegal substances and contrabands, illegal money exchanges, etc. One perfect example of this kind of market is founded in my native country Venezuela, where basic necessity products like milk, eggs, chicken, sugar, flower, toilette paper, and medicine can’t be found easily. A parallel market developed and now people are paying more than 4,000% of its regulated price. The dollar exchange in this country can be used as an example; in which the government set the price for 6.35Bf per dollar (03/19/2015. Source: http://themoneyconverter.com/USD/VEF.aspx) but it can’t be bought through regular channels. In consequence, the dollar’s exchange price increased to an impressive 283.41Bf per dollar or 4,463% of the official price (Source: http://dollar.nu/paralelo-en.php). One can’t but wonder why Venezuela is such a financial situation, with an annualized inflation of 63% and 98% on the consumer’s products, and a -26.7% GDP Growth Rate (Source: see Reference). One reason is that Venezuelan government does not fear God, or there are any God fearing officials. A nation that is not founded on biblical principles and look for God good grace and wisdom to govern its people will fail miserably as...
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...Restate Thesis Located on the northern coast of South America, Venezuela covers 353,800 square miles and has a population of approximately 29,000,000 people. Its biological diversity is greater than any other country in the world. Venezuela was colonized by Spain in 1522 and declared its independence in 1811. Democratic government won the popularity of the people in 1958. Hugo Chaves was elected president in 1998 and began the Bolivian Revolution. After the death of Hugo Chavez in 2013, the people elected Nicolas Maduro president. Because oil is the main resource and export of Venezuela, fluctuations in the oil market have caused great economic crisis. In 1995, the poverty rate reached 66%, and the inflation rate reached 100% the following...
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