(ECONOMIC ANALYSIS, 2014)With the largest production of fine copper and good economic governance with it regards has given Chile very strong economic position in the world. (Chile: Country mining guide, 2014) Chile is the highest producer of fine copper in the world and is said to have 100 million tons of fine copper reserves. Its macroeconomic stability has made Chile the fifth largest economy in South America and second largest GDP in the region. (The Heritage Foundation, 2014) Chile has been the leader of the South American region in competitiveness, thus the Global Competitiveness Index 2013-14 have ranked Chile 34th out of the 148 countries. (Chile: Country mining guide, 2014) In terms of labour market efficiency and financial market development, …show more content…
The banking system has been very robust in keeping the external debt low at 8.1%. Moreover, since 2010, the Chilean banks have been diversifying the external funding source which is seen to be positive. Additionally, majority of banks funding comes from deposit which is considered as a safe source of funding as risk is reduced. However, too much dependence on copper export has made Chile vulnerable to the fluctuating market prices. Chile has been a major commodity providing sector and thus the risk of market slow down or recession is more on the economic development. (Wilson, McMahon, & Cervantes, 2013-2013) Despite that, the Fraser Institute’s Survey of Mining Companies 2012-13 ranked Chile 8th on Policy/Mineral potential among 98 jurisdictions. It also ranks 23rd and 11th on policy potential index and mineral potential index respectively. The Fraser survey indicates Chile potential of reform policies with regards to the mining which is by far the key stone of their …show more content…
(INTERNATIONAL MONETARY FUND, 2014) A strong and stable macroeconomic policy has led to a growth rate of 5.2 percent in the period of 2000 to 2010 and is still growing with a rate of 6.2 percent in 2013. Such improvements in macroeconomic performance over the last decade can be seen as a result of the Highly Indebted Poor Countries debt reduction initiative in 2005 and also improved revenue mobilization. Consequently, Zambia in 2011 was included in the lower-middle income country, a status it lost in the 1980’s. Investment in mining sector and the high price of copper in the international market has led to recovery of nation economy. (What would it take for Zambia's copper mining industry to reach its potential, June 2011) For a long period the performance of the Zambia’s economic performance was dependent on the fortune of copper mining industry. The fall in copper price in the 1970s led to the low economic growth and falling per capita GDP and a rise in copper prices led to strong economic growth in the
And though the country of Mexico has suffered from drug wars; manufacturing, agriculture and tourism have helped the economy progress. And a few honorable mentions; Dominican Republic, Guatemala & Belize. If not for hard
Evidence from a Field Experiment in West Africa PC Vicente - Economic Journal
Ecuador is experiencing an economic crisis since a couple of years ago due to the decrease in price of oil, which in 2014 was record ear USD 105,24 and by early 2015 it dropped to USD 47,5. The reason behind the decision of applying safeguard measures is to regulate the imports and stabilize the Trade Balance. Another big factor that has impacted the Ecuadorian economy is the appreciation of US dollar; this has a negative effect because the price of Ecuadorian products exported to European and Asian markets increases and are no longer competitive against other
Chile strongly endorses free trade and welcomes a huge amount of foreign investment. Chile has free-trade agreements with a vast group of nations from around the world. Chile’s sound economic policies have brought steady growth since the 1980’s. Not only is Chile thriving in terms of economic policies but domestic as well. Chile’s constitution has been amended frequently since 1980, most of these amendments center around progressive ideals and the removal of undemocratic sections such as those pertaining to unelected senators and the incapability of the head of state to get rid of the commander of the armed forces.
PESTLE Analysis Political : Political factors internationally have effect on Starbucks businesses and their profits . Taxes to business environment is affected by politics, but the main political factor is about sourcing the raw materials and so it has gathered a lot of attention from politicians from the source countries. For the reason company wants to obey the social and environmental standards also there is a deep link between political and economic stability. More the politically stable the nation is the more economic environment. They also have tax policies and regulatory pressure on them.
Evaluation Six metrics were used: economies, government, health, labor, trade investment, and infrastructure. These six metrics were broken down into sub-metrics: inflation rates, gross domestic product, government tax rates, life expectancy, infant mortality rates, size of labor force, unemployment rate, imports, and exports. The countries were scored on a scale of 1 to 4, under each of the sub-metrics. 1 being the best score possible and 4 being the worst. The countries total scores were taken and divided it by 12 to calculate competitiveness coefficient.
All very different, bit each having its own special beauty. Agriculture is a very strong part of industry in Chile. “...And in the west, in the central valley, there are fertile plots of land that support a thriving agricultural industry(source # 1)”. Some of the main products include grapes, wheat, peaches, and timber.
The PESTLE analysis is used to analyse the external macro-economic environment of McDonald’s that presents its opportunities and threats in the short and long term. In the global fast food restaurants industry, McDonald’s focused particularly on the cultural factors that were pertinent to India, which influenced its standardisation and localisation practices to effectively deal with all the different factors and conditions in the Indian market. Political factors are external factors that affect the company and are beyond its control, such as the governmental policies in a foreign market. Several key political factors that affected McDonald’s include the India-U.S. free trade agreement and evolving public health policies. The improved trade agreement allowed increased imports from the US and was an opportunity for McDonald’s to tap on to better its global distribution and supply chains and make its food available to many parts of the country.
Copper is Chile’s primary source of revenue of which it produces a third of the world’s demand and provides 20% of the country’s GDP and 60% of exports. (Reuters, n.d.) Even now Chile’s economy is expanding by nearly 6% annually due largely to the copper industry. It is thanks
Latest Argentina Economic Crisis Names Kuoy Nora CamEd Business School What policies (monetary, fiscal or others policies) did the government employ in order to resolve the crisis? Every problem is always corresponding by the solutions. Likewise, for the economic crisis which is known as the Great Depression that occur in Argentina between 1998 to 2002 also has the solutions, too. However, in order to implement the solutions effectively and successfully, there always need the intervention in the form of best practice from the government itself.
The PESTLE analysis helps a business know the six forces that have huge impacts on its business in a particular industry. A PEST analysis helps companies measure current and future markets. The importance of each part in PEST Analysis will change depending on the various industry segments. For instance, particular companies will emphasize certain elements that pertain more so to there industry than others. Political/Legal Factors -Concerning the legal and political factors, all categories of laws have to be respected in every area the business is operating in such as employment law, import/export law etc.
Venezuela has a regulated free market economy. As most developed countries have a market economy however in Venezuela’s case the government has a higher form of control when comparing developed countries that are ranked within the top 25 GDPs. Starting and doing business is made harder due to governmental control over property rights, capital control and regulations implement for businesses. Venezuela’s GDP depends for a large portion on the petroleum industry and exporting petroleum accounts for more than 80% .
. STUDY OF ENVIRONMENTAL FACTORS a. PEST Analysis: i. Political: L 'Oreal faced issues in the dermatology branch led by Galderma due to new legislations governing drugs. The EU law affects L 'Oreal and restricts their use of certain kinds of carcinogenic chemicals, such as Phthalates. L 'Oreal is obligated to produce safe products that do not contain any harmful substances.
Introduction Uniqlo is ranked as the 1st apparel brand in Japan (Fast retailing, 2014) and the 5th SPA (Specialty Store Retailer of Private Apparel) in the world (VFPress, 2012). The brand has demonstrated a strong development during the past years with around 818 stores worldwide, estimated at August 2015, (Fast retailing, 2014) and now, they are planning for an expansion to Vietnam market. This report will provide useful information which can be guidelines for Uniqlo’s strategy to enter a new market. The report covers four main parts: PESTLE analysis of Vietnam market; mode of entry suggestion; segments, targets and position process and 7Ps marketing mix. Question 1:
As stated by Export.gov, (Country Commercial Guide: Democratic Republic of Congo, 2016), the Democratic Republic of Congo is native to vast natural resources and mineral wealth. Current U.S. Foreign Direct Investment in the DRC’s mining sector is at least $3 billion. The DRC is known for producing copper, cobalt, gold, coltan, tin, zinc and diamonds mines. As well as has considerable oil reserves. Choosing to target this opportunity of large wealth within mining should suit to be successful for our