Wednesday, May 1, 2019
Assume your company has decided to expand their US business into an Term Paper
Assume your company has decided to hit the roof their US business into an international business. You put one across been asked by your company - Term Paper ExampleThe rustic that I would recommend to my CEO for international expansion is mainland chinaware. This is mainly because china is a orbit that is ontogeny very fast and thus, if the country starts an international branch in mainland China it go away be veritable to attract a ample number or customers (Li, 2010). The economy of China is indeed stable and vigorous performing with a Gross Domestic Product of approximately 7.33 trillion (The College of Staten Islands innovative China Studies Group, 2012). This is a very large and promising figure. Therefore, starting a new branch in the country leave alone assure the company of positive returns. On the other hand, the GDP per capita is approximately $ 9, 100. This shows that the country is highly cultivatable and thus, it is unlikely that the posit will make losses once it expands to China. China has a very large population of approximately 1.35 billion. Therefore, there is sufficient labour for all organizations in the country. Therefore, of the country expands to China, it will be sure not to have high labour costs, or labour shortages. On the other hand, China has established itself in export and import trade (Li, 2010). Therefore, the country has a large number of economical activities that lead to the need for banking services. Importers and exporters of products in and out of China demand banking services and thus, Victory State bank will be very beneficial to them. In addition, the large number of economic activities in China requires finances. Therefore, the demand for loan services in the country is very high. When the organization expands to this country, it will have a large number of customers demanding loan services. The infrastructure of China is as well well developed and efficient (The College of Staten Islands in advance(p ) China Studies Group, 2012). This is given by the study of Chinas roads, machinery and latest technology. Recent studies show that the country has invested over $ 1 billion to enhance its transport and communication infrastructure. With developed infrastructure, the business will also thrive since operations will be smooth and effective (Li, 2010). China is made up of a large number of industries that require banking services. In addition, recent studies show that the growth rate of these industries is approximately 14.5% (The College of Staten Islands Modern China Studies Group, 2012). This is a high figure, which assures the bank that as the industries continue to grow, the demand for banking services will affix and thus the bank will grow. On the geographic factors of the country, the country has a climate that favors business operations all through the year. Therefore, the business is sure not to be affected by disasters such as floods and earthquakes. The environment in China has also been well conserved and thus the organization will have a favorable environment to perform its operations with no environmental issues (Li, 2010). China is a politically stable country and thus, issues of political instability will not disrupt operations in the organization. Since China is a communist country, it is unlikely that it faces issues such as political unrest or clashes (The College of Staten Islands Modern China Studies Group, 2012). The regulatory requirements of establishing a business in China are also few and thus, the organization will only require a license and the minimum sum of money required in ordination to start a bank. The only other laws that the company will have to follow
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