Assignment:
Market Entry Plan: Political and Legal Environment
Political stability is commonly related to the type of government and degree of corruption present in a country. In addition, a company may face various business regulations when conducting international business. In this module, your goal is to identify political and legal factors that could affect global business decisions.
Based on the country (Pentair) you are analyzing for your global business enterprise, research information related to the following areas:
1) GOVERNMENT AND POLITICS
- Describe the type of government and recent political developments that could influence the economic and business environment of the country.
2) FORMAL TRADE BARRIERS
- Identify formal trade barriers (tariffs and other taxes, foreign exchange controls, ownership restrictions) that might require a company to adapt its business strategy.
- Discuss the country's regulations to protect intellectual property, such as brand names, copyrights, patents, software, music, videos. (Some countries do not enforce these laws resulting in the pirating of products and lost profits for companies.)
3) PROMOTING GLOBAL BUSINESS
- Analyze host government efforts to attract foreign investment. What incentives (lower taxes, economic zones, subsidized labor, elimination of tariffs, etc.) are offered to attract foreign capital?
4) RECOMMENDATIONS
- Recommend actions that might be necessary to mitigate potential risks with regard to factors in the political and legal environment.
SUBJECT: International Business Environment and Operations