Concepts of Emerging Markets

One of the best ways to learn a concept is to teach a concept, and in  this assignment it will be necessary for the learner to understand and  explain the concepts from Modules 1 and 2 in  a 4-5 page word document. 

Factors Contributing to an Emerging Market
There are a few variables that have influenced EMs. They are:

Significant market potential. A few expectations include the most  extreme rates of populace development and infrastructure expansion. The  potential for business is immense as an excess of 80% of the global  populace dwells in developing markets and cannot be disregarded.
Ongoing financing in infrastructure expansion incorporating  divisions in transportation, energy, and communication results in  reducing the expenses of trade in developing markets.
Professional counseling and publicizing associations have made  predicting for EMs less difficult to maneuver through business and  societal structures within the markets.
The advancement of technology has made them competitive on a  worldwide scale. Advanced management tools have made it less demanding  for managers to prepare themselves to outline product generation in a  more straightforward way.
Governments are providing full support to foreign financing making  the financing process less burdensome. Despite the intercultural  contrasts in a few nations, more supervisors have understood the quality  of making worldwide “win–win” connections and affiliations together.  Numerous western administrators have begun studying remote dialects and  have a superior understanding of other societies. Likewise, numerous  local administrators have been t

Such as the risks of EMs. Evans (2010) provides a list of the major risks:
Increasing Inflation: There has been a dramatic  increase in inflation—roughly 6.7% in the markets of the Western parts  of the world in May of 2011. In Taiwan, it is 1.7% and in Argentina,  Venezuela, and Vietnam it ranges up to 18.3% higher, topping at 20% and  in some instances even higher. The increase in inflation is a result of  the rise of food costs, with a much larger segment of the consumer price  basket than affluent countries. Not including food and energy, China’s  inflation nucleus is a low 2.4% while in Brazil, it is at 5.5 %, and  inflation in India is over 8.8%. Inflation for foodstuffs could overflow  into incomes and other costs (The Economist, 2011). http:// online.wsj.com/news/articles/SB10001424052748703466704575489363001850690

or, There are many challenges with EMs. Some of the primary ones include  corruption in government, weak infrastructure, dominance of family  conglomerates and/or state, political instability like war and civil  upheaval, building relationships, intellectual property rights, and  talented employees. Corruption: Bribery in distant countries can return to  plague you in your domestic market. For example, bribery fines totaling  USD 1.3 billion have been levied on MNEs.  Weak Infrastructure: There are hurdles for companies  functioning in EMs, such as being certain their merchandise is  obtainable to costumers in an area with anemic transportation and  conveyance infrastructure. Political Instability: Abrupt and aggressive changes in  government could result in proprietary rights to be unexpectedly  examined. In 2006, the new government in the Democratic Republic of the  Congo evaluated the chief mining contracts endorsed by the prior  government and rescinded the license of Canada’s First Quantum.

Corruption: Bribery in distant countries can return  to plague you in your domestic market. For example, bribery fines  totaling USD 1.3 billion have been levied on MNEs by the U.S. government  in relation to the Bonny Island liquefied natural gas project in  Nigeria. The bribery charges and fines have tainted the status and  character of Halliburton, Saipem, and other additional MNEs.

Weak Infrastructure: There are hurdles for  companies functioning in EMs, such as being certain their merchandise is  obtainable to costumers in an area with anemic transportation and  conveyance infrastructure. By focusing on more established urban regions  and higher sections of the consumer base, foreign companies have  learned to survive. Other, more enterprising businesses have pioneered  entirely new approaches. To reach lower revenue, bucolic customers in  Asia, Unilever is delivering wares to villagers by the use of motorcycle  in Indonesia and educating local women’s self-help groups to distribute  their merchandise in India.

Political Instability

The Internet will be a great  resource for completing this assignment because the learner can use  keyword phrases to pull the specifics needed to cover the topics and  complete the assignment.
You have been asked to create a 4-5 page word document to train a  group of new employees for Future Trends Financial Firm on key concepts  of emerging markets. Include the following in your assignment:

Identify and explain key concepts of emerging technologies,  highlighting their use and availability for emerging and developed  markets.
Define and describe common industry concepts including:  institutional voids, business groups, technological capabilities,  changing income distribution, and bottom of the pyramid. Please be sure  that the correlation between concepts and various markets is  appropriate.

Develop a 4-5 page word document, utilizing at  least two scholarly sources. Apply APA standards to the citation of  sources. Use the following file naming convention:  LastnameFirstInitial_M2_A2.ppt.
Make sure you write in a clear, concise, and organized manner;  demonstrate ethical scholarship in accurate representation and  attribution of sources; display accurate spelling, grammar, and  punctuation.