...The main characteristics of emerging markets Ayame Nakagawa Submission Date: 23rd August 2013 ------------------------------------------------- ------------------------------------------------- The Main Characteristics of Emerging Markets It is frequently said that markets are getting bigger and more complicated as globalization is spreading. What are emerging markets? They can be defined as ‘a financial market of a developing country, usually a small market with a short operating history’ (InvestorWords.com, no date). For example, BRICs, such as Brazil, Russia, China, and India are common thoughts of emerging countries. These countries have improved rapidly in terms of GDP, trade and so on. This essay will introduce the four main characteristics of emerging markets. To expand the worldwide market Magnus (2010, cited in Beausang, 2012, p.3) suggests that the GDP at purchasing power parity (PPP), which puts an importance on the related cost of living, is a proper method to explain BRICs’ contribution to the global economy. He implies that when GDP in US dollars is used as comparisons with emerging and advanced countries, it would be invalid because it is included some problematic points like exchange-rate in each country. According to the research by IMF (2001 cited in Beausang, 2012, p.3), GDP in 2001 in terms of PPP, America gave at 22 % of the whole, while BRICs were slightly smaller at 21.4%. However, ten years later, IMF (2011 cited in Beausang, 2012,...
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...Introduction In the world, emerging market is growing and huge what refer to a country that has more potential characteristics of a developed market and the national income per capita is relatively lower than developed markets. Brazil, Russia, India, China(BRIC) are the largest emerging market countries and the other emerging countries are including South Korea, Turkey, Chile, Thailand, Poland, etc. These emerging market countries are generally numerous population and they have a large domestic market that means the demand for goods and services are very big. Emerging markets has a free market system which is democratic system and the features is they open the door to welcome more foreign investment as well as the good promotion to improve the trade relationship between countries. Also, emerging markets drive growth in the global economy so they are very important. Although emerging market accounted for a certain size and influence in the global economy, emerging market still have challenges and risks. In this assignment, I selected Brazil to discuss the characteristics, challenges, the environment of economy and the impact of market factors. Global overview Brazil is the most influential country in South America which is rising economic power and it is one of the world’s biggest democracies. Brazil has natural resources especially iron ore that is highly prized by major manufacturing nations such as China. Brazil is the largest country in both South America and...
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...How to write your Research Problem Statement at WBS (for any queries please contact Terri Carmichael at terri.carmichael@wits.ac.za, Anthony Stacey ay Anthony.stacey@wits.ac.za or your supervisor) Your Research Problem statement is the foundation and focus of your research report. It is a clear, stand‐alone statement that makes explicit what it is you are aiming to discover or establish. Get this right and you are setting yourself up for success. If your Research Problem is poorly worded, unfocused or ambiguous, the rest of your research is likely to go off‐track very early; you will do a great deal of unnecessary reading and writing, losing sight of the big picture (and probably your mind!). Writing your Research Problem Statement 1. First select your research topic, which is the issue or subject area that you intend to investigate – see the document “Finding a Research Topic”, available at www.wbs.ac.za . 2. Describe the business or management problem based on your topic that you intend to research. Do this right at the beginning of your research proposal or report as laid out in the templates (remember to reference any facts that you are basing your research on). This will set the scene for your Research Problem statement, so that you can write a clear, stand alone Research Problem. 3. A Research Problem is not the same as a business problem, ie it is not a “problem” in the normal ...
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...Hogeschool Rotterdam | Why investors should invest in emerging markets | Counter argumentative essay | Quincy Barrow 11-7-2016 | Introduction Investors have been attracted to emerging markets since the early 2000s due to their huge growth potential during their economic transition from being a developing country into becoming a developed country. Between the year 2000 and 2011 the rapid growth in nations like Brazil, Russia, India and China - also known as the BRIC nations - has created many investment opportunities for foreign investors. Later countries like Chile, Egypt, Colombia, Qatar, United Arab Emirates, South Africa and Thailand have also been classified as emerging markets based on the MSCI benchmark. This essay touches on the reasons why investors should invest in emerging markets, which risks investors could have and how these risks could be mitigated. Emerging markets have been the drivers of the global economy According to Forbes (N.D.) over 70% of the global economic growth in the recent years has from emerging markets and their growing economies, 40% of which was estimated to have come from China and India. China’s purchasing power is expected to go beyond that of the United States by the end of 2016, despite the growth slowing down in recent years. Also, nations like China and India have had a significant contribution to the growth in the world’s GDP in the last decade, including in the 2008 credit crisis. With the up rise of countries like...
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...Fall 2015: Industry Analysis in Emerging Markets Your role in this analysis is to work with your team and to look at emerging technologies. From autonomous drones to emergent AI to 3D printers, you are going to research and get a better understanding of our fast-approaching technological future. Scientific American compiled the Top 10 List of Emerging Technologies for 2015. You can start here, but you are not limited to these technologies. You must choose an emerging industry, and will analyze the history of this technology and its industry, the trajectories of the technology, the key competitors, and the trends in the market. The end goal is to develop a comprehensive understanding of the industry, the competitive landscape, emerging trends to watch in the future, and an overall assessment as to the attractiveness of this industry. Your final deliverable for this project will be an in-class presentation, due April 26th. 1) What SIC/NAICS code does your industry fall under? 2) Describe your industry- a. Provide a brief history of your industry. (You may use a timeline in a separate appendix) b. List and describe the characteristics of the products your industry offers in the marketplace. c. Who are the key competitors in the industry? d. What are the main differences between the products offered by key competitors? e. What strengths & weaknesses (capabilities, complementary resources, related intellectual property, etc.)...
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...replaced the traditional over-the-air method of broadcasting. It has been in business for a long time and the reason I call it sustaining because, it is customer focused and it is main-stream. Sustaining technologies tend to maintain a rate of improvement and give customers something more or better in the attribute they value. This is what cable television technology was doing till last few year, though now it has some challenges. There is a big competition for this technology from direct broadcast satellite and few other forms of competitions as well, that I will discuss. Nevertheless – • It still dominates the market • It was once emerging technology that proved sustaining and very successful in the broadcasting field. • It is customer focused IPTV: IPTV is a disruptive technology in the field of video delivery. Disruptive technologies introduce a very different package of attributes from the one mainstream customers historically value, and they often perform far worse along one or two dimensions that customer value. This is what IPTV did initially - it had lack of bundling capability, it was not widely available, and even the technology was not advance, for instance channel changing was not fast. However, it has improved on most of these fronts dramatically. The typical characteristics for a disruptive technology are ease of Use / simplicity, cost, reliability and...
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...Marketing in Emerging Market Economies: Why there is a need to reformulate marketing tactics used in emerging markets. Emerging Markets – An overview Emerging market economies are those economies which exhibit high growth and investment potential. Emerging economies are generally found in East and South Asia, Eastern Europe, South Africa, Latin America and Middle East. These economies are characterized by improving standard of living, other than that they have large growing middle class population who have high aspirations and ambitions for the future. All these characteristics make these economies attractive destinations for exporting goods, investment and outsourcing. Emerging economies of the world possess several advantages which have led to their rise. The major advantages that have been observed in these economies are availability of cheap labour force and highly qualified work force which have made these economies challengers in the global market. Another major characteristic of these economies is that their growth rates are much higher than the developed countries of the world. The new international challengers are the top firms operating in these emerging economies who have now become key contenders of the world market. A very good example of the above discussion is Orascom Telecom - which is an Egyptian telecom provider who on the basis of managerial capabilities and superior technology has become one of the major telecommunication provider in Africa...
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...I .Customers analysis: We chose to identify customers by their characteristics, values and their life styles. We found 6 different groups: Elite: Main characteristics: * Customers who never feel the impact of economic fluctuations * The traditional segment of the luxury travel * Luxury lifestyle * Looking for the best (the best of the best) and the exclusive * The need to meet with people from the same background These "rich Chinese" are regular customers, and most of the time, are exclusively responsible in banks or executives of the party contractors. They are a big part of the 320 000 Chinese millionaires, often as young as rich. They inform themselves about new products by visiting the catwalks. Louis Vuitton has also a specific politic for this kind of customer; they call them VIC (Very Important Customer). Indeed LV sends them personally letters, they invite them to special private sales where they show them all the new and limited collections in advance. When they shop they make special appointments with the store and most of the time and it is the director who receives them and look after them during their shopping session. The new super rich class: Main characteristics: * Young customers smart and educated * Customers with high revenues * Need for recognition * Looking for a social « status » (climb the social ladder) * Proud of their success * Importance of appearance The ’new super...
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...Business and Management The Dynamics of Market Entry and Expansion Strategy in Emerging Markets: The Case of Wal-Mart in Latin America Dino Ovcina Author: Dino Ovcina Supervisor: Dr. Jeremy A Head Institution: Sheffield Business School at Sheffield Hallam University Program: MSc International Business and Management Module: Dissertation Date of Submission: 21 April, 2010 Abstract This research investigates the internationalization process and potential issues related to market entry and expansion strategies. It focuses on Wal-Mart's entry and expansion strategies into the Emerging Markets of Latin America, and discusses the different entry and expansion decisions being made by the company. Furthermore, the research critically evaluates the dynamic challenges facing developed country firms in their market entry and expansion strategies in emerging markets. Its contribution to the existing literature is its focus on the dynamics of entry modes in emerging markets. The research, based on an inductive approach, has been conducted as a case study by the use of secondary data. Wal-Mart began its internationalization by entering the two geographically nearest markets, namely Mexico and Canada. The entry into Mexico, which occurred 1991, was the first strategic move aiming at reaching the company’s overall goal of becoming the leading player in Latin America. Mexico together with Brazil are the two main emerging markets of Latin America characterized by a high growth...
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...Managing in International Economies Individual assignment Submitted by Student Name: SHI YONGQIANG Annotated Bibliographies 1. Christina Öberg , (2014),"Customer relationship challenges following international acquisitions", International Marketing Review, Vol. 31 Iss 3 pp. 259 - 282 2. Rajah Rasiah Peter Gammeltoft Yang Jiang, (2010),"Home government policies for outward FDI from emerging economies: lessons from Asia", International Journal of Emerging Markets, Vol. 5 Iss 3/4 pp. 333- 357 3. Hamid Yeganeh, (2011),"Culture and international trade: evidence from Canada", International Journal of Commerce and Management, Vol. 21 Iss 4 pp. 381 – 393 Table of Content Annotated Bibliographies 2 1.0 Customer relationship challenges following international acquisitions 5 1.1Citation 5 1.2 Introduction 5 1.3Aims and Research methodology 5 1.4 Scope – Analysis, Findings and Results 6 1.5 Usefulness 6 1.6 Limitation 7 1.7 Challenges and Critiques 7 1.8 Conclusion 8 1.9 Reflection 8 2.0 Home government policies for outward FDI from emerging economies: lessons from Asia 9 2.1 Citation 9 2.2 Introduction 9 2.3 Aims and Research Methods 9 2.4 Scope – Analysis, Findings and Results 10 2.5 Usefulness 10 2.6 Limitation 11 2.7 Critiques and Challenges 11 2.8 Conclusion 11 2.9 Reflection 12 3.0 Culture and international trade: evidence from Canada 13 3.1 Citation 13 3.2 Introduction 13 3.3 Aims and Research Methods 13 3.4...
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...Business and Management The Dynamics of Market Entry and Expansion Strategy in Emerging Markets: The Case of Wal-Mart in Latin America Dino Ovcina Author: Dino Ovcina Supervisor: Dr. Jeremy A Head Institution: Sheffield Business School at Sheffield Hallam University Program: MSc International Business and Management Module: Dissertation Date of Submission: 21 April, 2010 Abstract This research investigates the internationalization process and potential issues related to market entry and expansion strategies. It focuses on Wal-Mart's entry and expansion strategies into the Emerging Markets of Latin America, and discusses the different entry and expansion decisions being made by the company. Furthermore, the research critically evaluates the dynamic challenges facing developed country firms in their market entry and expansion strategies in emerging markets. Its contribution to the existing literature is its focus on the dynamics of entry modes in emerging markets. The research, based on an inductive approach, has been conducted as a case study by the use of secondary data. Wal-Mart began its internationalization by entering the two geographically nearest markets, namely Mexico and Canada. The entry into Mexico, which occurred 1991, was the first strategic move aiming at reaching the company’s overall goal of becoming the leading player in Latin America. Mexico together with Brazil are the two main emerging markets of Latin America characterized by a high growth...
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...Acknowledgement In completing this assignment I was required to get the help of several respective individuals, first of all I would like to thank the almighty Allah who has given me knowledge to accomplish this assignment in a successful way. I would like to thank my lecturer who taught this module and helped me to understand the assignment. Besides I would like to thank my parents for their huge support they have given me and also my beloved friends who encouraged me to complete my assignment. Executive Summary Organizations can be divided into private and public sector, and all the type of organizations in both sectors have different features though some features may be the same for different organizations. Next plc is a multinational firm which is operating in UK and it has several stakeholders which can be categorized into two groups, internal stakeholders and external stakeholders and also Next plc as an organization has it aims, objectives and goals which they target to achieve in future though they have achieved some in present too. Economic system is an organized way on how allocation of resources in an economy is done, how goods required by the consumers have been produced and how it is distributed, basically there are three types of economic systems where in all three economic system allocation of resources is done by different parties. Economic policies are implemented by the government the economy, both policies that the government use have a direct impact on country’s...
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...In your opinion, what is the most relevant macro-environment factor (legal, political, cultural and economic differences) for an international business when choosing to internationalise into an emerging/developing market? Discuss any international business concepts or theories that could be used to help justify your answer. In the past few decades internationalisation has been a phenomenon in being a main subject in international business research. Globalisation has allowed countless commercial opportunities to occur over the border of their national country by maintaining competition and the continuing growth of international firms (Tikhonova, 2012). In foreign countries, legal and political systems as well as the economy are essential to have knowledge in as it explains how political systems, laws and regulations and economic differences affect international business opportunities. Although these factors are vital in understanding the foreign environment, it is not as broad as culture. Culture is a factor that includes several aspects that range from different dimensions which on a broad level includes linguistic, regional, religious and ethnic dimensions (Reference for Business’s website, 2014). Fundamentally for an international firm to endure success in emerging markets it is relevantly important to have full understanding of consumers and their cultural differences. In order for a firm to reach their full potential and succeed in an emergent market they need to have...
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...Crossing the Chasm What’s New? What’s Not? Strategic Management of Emerging Technology Hult School of International Business May 23, 2014 Disruptive Innovation Sources of Wealth Creation in the Current Decade • Eating other people’s lunch • Software eats hardware • Op ex eats cap ex • Services eat products • Leveraging next-generation technology • • • • Social Mobile Analytics Cloud 2 Marketing Disruptive Innovation • High Risk What Makes High-Tech Marketing Different? • Unproven products and promises • Incompatible and incomplete infrastructure • Social resistance to change • Low Data • No product history • No company track record • No best practices 3 Category Maturity Life Cycle Indefinitely elastic middle The Evolution of a Disruptive Innovation Secular Growth Revenue Growth Cyclical Growth Secular Decline A Emerging Market B Growth Market C Mature Market D Declining Market Catch Next Wave Fault Line! E End of Life Technology Adoption Life Cycle Focus for today 4 Time The Technology Adoption Life Cycle The Initial Dynamics of Disruptive Innovation 5 Innovators - Technology Enthusiasts 6 Innovators - Technology Enthusiasts • Primary Motivation: • Learn about new technologies for their own sake • Key Characteristics: • Strong aptitude for technical information • Like to alpha test new products • Can ignore the missing elements • Do whatever they...
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...Credit Card Users in an Emerging Market Prof. Dr. Kemal KURTULUŞ, Istanbul University, Istanbul, Turkey Dr. Süphan NASIR ABSTRACT Saturation of the developed markets pushes multinational corporations (MNCs) to newly emerging markets for business expansion. As emerging markets provide growth opportunities for multinational businesses, the development and implementation of marketing strategies are critical for the success of MNCs in these newly emerging markets. Emerging market conditions differ significantly from those of the developed world markets and these conditions affect firm’s performance. Therefore, understanding market conditions of an emerging market is likely to become an increasingly important issue. Credit card companies have also expanded quickly into the emerging markets in order to exploit the opportunities that are provided by the emerging markets. Credit card usage pattern of emerging markets also differs from those of well-developed markets in important ways. Understanding the factors that explain consumer behavior of credit card users in emerging markets could provide an essential insights to marketing strategists of financial services, retailers, and businesses in promoting use of credit cards. Thus, this paper considers the consumer behavior of credit card users in emerging markets in the light of Turkish experience. INTRODUCTION Marketing managers can no longer rely on only domestic markets to ensure their firm’s...
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