International Business and the BRIC Countries Impacts of...

International business Introduction BRIC countries have been projected by economists to be some of the emerging economies in the near future. There is increased market potential in those countries hence leading to the possibility of more firms developing their roots in those countries. These projections are facilitated by the high population growth rate being experienced in those countries hence providing market and cheap labor for production. It is projected that, there will be emergence of new economies especially china, Russia, India and Brazil. Most of the projections indicate that by 2020 chinas growth national product (GNP) will surpass that of individual western economic powers except that for US, while at this time too, Indias economy will have overtaken or will be in the process of overtaking the European economies (Nye, 2000). Due to Indias and chinas large population which will be estimated to be at 1.3 billion and 1.5 billion respectively, the standard of living of people residing in those countries does not need to match that of the western countries so as to become the economic powers. Russia on the other hand is said to have a potential of being one of the economic powers by at this period through to its oil and gas reserve but, there are projections that it will still be faced by severe demographic crisis from low birth rate, AIDS situation and poor medical care. There will still be sufficient reserves of energy to meet the demand for the growingShow MoreRelatedFactors That Influence Growth Via Innovation1223 Words   |  5 Pagesinnovation in emerging economies. Most of these studies use RD and patient as a measure of innovation in determining the influence of innovation on growth. Gould and Gruben (1996) investigated economic growth rates across many countries to a simple index of patient strength and other variables. They found a significant positive impact when patent was interacted with a measure of openness to trade. That is, growth increases by .66% on average due to the impact of stronger patents in open economies, suggestingRead MoreOne Of The Reasons By Brazil’S Economy Is An Important1349 Words   |  6 Pagesreasons by Brazil’s economy is an important player in the world today is its size. They are the world’s fifth largest country by size and the ninth largest by nominal GDP. Other comparisons include the f act that they represent the largest economy in Latin America and second largest in the Americas. Because imports and exports are a significant component of Brazil’s GDP, at 27%, trade represents a key factor in Brazil’s economy (Brazil Economy: Facts, Population, GDP, Inflation, Business, Trade, CorruptionRead MoreRise of Brics Economy and Its Impact on Global Stock Markets9547 Words   |  39 PagesIRACST – International Journal of Commerce, Business and Management (IJCBM), ISSN: 2319–2828 Vol. 2, No.1, February 2013 Rise of BRICS Economy and its Impact on Global Stock Markets Naganathan Venkatesh Research Scholar, NITTTR, Chennai, India Abstract The world is changing and becoming increasingly multipolar due to the emergence of China, India, Russia, Brazil and South Africa forming so called BRICS. 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This culminated in a substantial increase in travel rates and hotel room and occupancy rates, two indicators of a hotel s performance. Travel spending has also picked up quickly, especially in emerging economies where tourism is on the rise. Global tourist arrivals are expected to increase an annualized 4.8% over the five years to 2015 to reach 1.2 billion. As a result of these positive trends, industry revenue is expected to increase an annualizedRead MoreIndia s Growth Of Domestic Market954 Words   |  4 Pagesbackground of the later decline of its regular commodities exports. Within the similar period, India also adopted the substitution industrialization policy. India adopted the strategy of ISI in the 1950s in the same intention as to create self-reliant economy. 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Companies intending to conduct business in these countries need to consider their market entry strategy carefully and distinctly for each country, withoutRead MoreComparison of Basic Economic Indicators o f Bric Nations4949 Words   |  20 PagesComparison of Basic Economic Indicators of BRIC Nations Abstract In economics, BRIC is a grouping acronym that refers to the countries of Brazil, Russia, India and China, which are all deemed to be at a similar stage of newly advanced economic development. It is typically rendered as the BRICs or the BRIC countries or the BRIC economies or alternatively as the Big Four. Table of Content 1. Introduction 4 2. Statistics 5 3. Economic Indicators 6 3.1 GDP 6 3.2 Inflation 7 3.3 Deficits