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Assignment

Question one:

Russia:

The government of Russia has an inherent element of corruption that limits and discourages foreign investment. This evil vice, therefore, will limit the effectiveness of investing in Russia on telecommunication sector. This occurs since the corruption is evident in all levels of the Russian government. Russian government also has weak policies with regard to encouraging foreign investors to participate in investing in the business environment. As such, telecommunication business will face a challenge of unclear policies in Russia. In addition, Russia has an overwhelming political tension. An investment in a foreign country is successful if the political environment in the country permits conducting of the investment. In line with this, the political tension in Russian hinders foreign investment in the country. These elements within the Russian Government indicate that Russian Government has a weak regard of international cooperation. Therefore, carrying out investment in this nation is quite risky.

India:

Like Russia, India has also inherent political tension that hinders effective decision-making process among the politicians within the country. The political tension occurs in line with corruption at all levels in the government. The nation has demonstrated corruption on the investment sector in that award of licenses to mobile phone operators occur on favoritism basis. This hinders investment since only few investors find favor in accessing licenses to invest in the nation. In addition, India has inherent problems of inflation and insecurity. These two vices present risks of carrying out investment in the nation since the investment may never earn revenue, or the insecurity in the country tampers with the investment environment. Therefore, it is quite challenging to undertake investment in this nation.

Question two:

Gross domestic product (GDP) forms one of the most important economic indicators (Razin, & Sadka 72). This indicator depicts the economic status of a given country by revealing the value of services and goods produced. Consumer price index (CPI) and producer price index (PPI) aid in the determination of the inflation rate. CPI takes into consideration consumer services and goods cost while PPI determines price of goods in the level of wholesale. Employment announcement also forms an economic indicator of an emerging market. The announcement illustrates the jobs created, unemployment rate, and weekly working hours and their earnings. In economic analysis process, consumer confidence is a crucial factor of consideration; as such, consumer confidence index acts as an economic indicator. However, consumers may never receive the goods if they are not provided in the retail sector. This calls for determination of sale of goods within this sector through the use of retail sales index indicator.

For a company that markets laptop computers, retail sales index indicator would be the most significant indicator. This is because the index will aid in providing crucial information to the company on the performance of laptop computers in the existing market. In addition, the indicator will aid the company in formulating an effective strategy of undertaking marketing operations, and conducting risk assessment of the market. Retail sales index will further aid the company in formulating an effective market entry strategy.

Considering MPI ranking, a laptop computer marketing company should first get into Cote d’Ivoire. According to Sabina and Santos, Cote d’Ivoire, depict the middle MPI index. This forms a good foundation for the company to begin in order to analyze the market performance of both extremes of MPI ranking at a central level.

Question three:

A balanced scorecard (BSC) is a tool used by managers of various organizations and institutions to navigate into future mission and goals (Kaplan, & Norton 2). BSC provides managers with a framework that aids in strategic management and measurement in order to achieve the desired goals. BSC focuses on four balanced perspectives, which include internal business processes, customers, financial objectives, and learning and growth. The tool guides managers on how to keep an up to date track of financial results, while at the same time monitoring progress of developing capabilities and possessing intangible assets, which are key factors for future growth of the organizations.

Strategy map for coca-cola company:

Figure 1: Strategy map for coca-cola company.

Question four:

New methods of exhibitions and sponsorships help companies in improving their markets through customer attraction. The methods aim at a target market, and companies utilize this opportunity to exploit the market effectively. Since the methods have a direct contact with customers, companies enjoy the benefits of immediate customer feedback. Companies also stand a better chance of evaluation of the market segment effectively.

Taking a case of a bank such as Barclays bank, the efforts of the bank to sponsor various events and participate effectively in exhibitions attracts customers. Therefore, the bank stands a better chance of interacting with the customers directly. Moreover, the bank enjoys the benefits of having direct marketing to the customers.

Cited Works

Kaplan, R, & Norton, D. The Balanced Scorecard: Translating Strategy into Action. United States:

President and Fellows of Harvard College, 1996.

Razin, A, & Sadka, E. The Economics of Globalization: Policy Perspectives from Public Economics.

Cambridge University Press, 1999.

Sabina, A, & Santos, M. Multidimensional Poverty Index: 2010 Data. Oxford Poverty and Human

Development Initiative, 2010.