International business Case Study

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EMERGING MARKETS

Phillip Greaver - Greg Levine - Natasha Fleury - Mitchel Sinon

Agenda

2. Problems & Solutions (Part I)

3. Problems & Solutions (Part II)

4. Summation

1. Introduction

INTRODUCTION

“By 2050, four of the six largest economies in the

world—Japan, China, India, and Russia—will be in

greater Asia”

Who Are the Emerging Economies?

What Do They All Have in Common?

Export-Heavy

Economies

Agrarian-Focused Cultures

Adapt to the Industrialized

World

Learn About the New Cultures

Developing Countries

Must:

Developed Countries

Must:

Worldy Responsibilities

PROBLEMS FOR GROWING

ECONOMIES(Part I)

Lack of Educational Resources

Lack of Imports with Agrarian Culture

Lack of IPRs

Developing Countries’ Problems

BRIC are Agrarian

Industrialization is Key

Exporting Countries Make Money

Growing Crops Or

Manufacturing Goods

Exporting to Industrialized Countries

(Exporting Countries)

Importance of ImportingImporting Growth

HOW?

Competition

Innovation

“Many third-world (less developed) countries… do not foster intellectual

progress. There simply has not been a tradition of strong cultural support – legal, economic, or social – for those

who create or invent.”Robert Emerson (LSB)

Intellectual Property Rights

Education3 million primary school-aged children

in Sub-Saharan Africa do not go to school

“60 million Chinese students in rural schools are ‘left-behind’ children, cared for by their grandparents as their parents seek work in

faraway cities”

EducationSchooling Creators

Creators Income

SOLUTIONS FOR GROWING

ECONOMIES(Part I)

Opportunities for Emerging MarketsNatural

ResourcesTechnology

and Innovation

Education

Natasha Fleury
Slide introducing my parts

Emerging Markets and Natural Resources

Natasha Fleury
Slide introducing Agriculture section

Africa

Contains 60% of the world’s potential farmland

rich in natural resources that could attract $40 billion in foreign investment

Brazil

Oil and Natural Gas

Biofuels

Solar and Wind Power

Fresh water

Access to Technology and Innovation

Mobile Money- UgandaBuying Airtim

e

Sending Money to Another Number

Withdrawing Money

International Money Transfer

Payments Donations

FabLab - Rwanda

FOYO-Rwanda

Informative Mobile App

Informative Health TV Show

Mobile Voting Platform

“Tap&Go” - Rwanda

Cashless Transport Solution

HubBOG - Columbia

Start-Up Initiative - Chile

Capital Raised

•$421 MM US

Yearly Sales Chile

•26 MM USD

Jobs Generated in

Chile• 1,500 US

Emerging Markets and Education

GROWTH IN CONSUMER EXPENDITURE ON EDUCATION IN SELECTED EMES: 2010-2015

Educational Benefits

Education

Improves employment opportunities for population

Enhances competitiveness in global market

Raises the quality of work force

India:

Education in Emerging MarketsUnemployment rate declined from 9.4% to 5.1% in 2015Per capita annual gross income grew by 22.7%

Fastest rise in consumer education spending, at 73.9% in real terms over the 2010-2015 period.

Egypt:

PROBLEMS FOR GROWING

ECONOMIES(Part II)

Road to becoming a Developed Nation

Having proper roads and highways is a necessity for trade

and travel

The Problem With Power

Antiquated power lines and inconsistent coverage make

expansion difficult

Infrastructure Scores

Crime and PoliceBrazil is home to 8 of the top 23 city murder rates in the

worldRussia ranks amongst the

top ten most corrupt police forces in the world

Corruption

Brazilian President

Dilma Rousseff

impeached due to

corruption charges

“Guanxi” is a popular custom

in China of building

connections through gifts

Only 15% of anti-poverty

funds reach the poor in India

Corruption Levels Worldwide

SOLUTIONS FOR GROWING

ECONOMIES(Part II)

Improving Roadways

CorruptionChina has begun punishing officials they find guilty of corruptionNearly 300,000

last year

Implement Tax Law to reduce bribery

Police Force

New training methodsRemove corruption in force

Raise funds to pay police more

Strengths:Large PopulationAvailability of Land/ResourcesRapid Growth

Weaknesses:Brain DrainWeak InfrastructureCorruption

Threats:Uncertainty of the marketNew environment

Opportunities:Growing Domestic DemandTechnological Growth

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