4.2 - Global markets and Expansion
4.2.1 - Conditions That Prompt Trade
a) Push factors:
d) Extending the product life cycle by selling in multiple markets |
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4.2.2 - Assessment of a Country as a Market
a) Factors to consider:
Business in Africa
The video below highlights some of the improvements that have been made by sub-Sahara African countries in encouraging business development. |
Business in India
This clip looks into how the Indian government have been improving the ease of doing business in their country. |
4.2.3 - Assessment of a Country as a Production Location
a) Factors to consider:
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4.2.4 - Reasons for Global Mergers or Joint Ventures
a) Spreading risk over different countries/regions b) Entering new markets/trade blocs c) Acquiring national/international brand names/patents d) Securing resources/supplies e) Maintaining/increasing global competitiveness
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Joint Ventures
The video below explains some of the reasons that firms may have for forming a joint venture or strategic alliance when entering a new foreign market. The attached file explains the basic pros and cons of joint ventures. |
4.2.5 - Global Competitiveness
a) The impact of movements in exchange rates
b) Competitive advantage through:
competitiveness
a) The impact of movements in exchange rates
b) Competitive advantage through:
- cost competitiveness
- differentiation
competitiveness