Activity
Activity objective
To analyze different business environments to select a target market.
Instructions
- Select a Mexican multinational company with operations in another Latin American country, and look for its story, the people involved in its expansion, and the business decisions it took along the way.
- Highlight the pros and the cons of its experience in the foreign business environment, based on these elements (select only five):
- Cost of capital.
- Transparency and corruption.
- Ease of doing business.
- Procedures to start a business operation.
- Bureaucracy.
- Foreign investments.
- Applicable tax rates.
- R&D incentives.
- Human capital.
- Local educational system.
- If you were the international manager of that company, would you continue your business operations in that foreign country? Why? If not, what other country would you choose? What would make you take that decision?
Checklist
- The report includes the story and business decisions made by the Mexican multinational company.
- The analysis includes five of the criteria listed in the instructions.
- The decision to stay or move out of foreign country is argued and justified.