Emerging Economies and Global Expansion Opportunities

This assignment discusses the impact of emerging economies on business growth, highlighting opportunities for global expansion in countries such as India and China. It examines economic policies, employment rates, and growth trends in these nations, providing insights into how businesses can capitalize on emerging markets.

How emerging economies are
presenting opportunities for
global expansion for
businesses

Table of Contents
.........................................................................................................................................................3
INTRODUCTION .........................................................................................................................4
MAIN BODY...................................................................................................................................4
Describe and explain president trumps approach to economic policy...................................4
CONCLUSION................................................................................................................................5
Online...............................................................................................................................................6

INTRODUCTION
With the increasing competition, there is a significant change in the economies of the
country which has opened various opportunities for the global expansion of business. Emerging
markets are the emerging economies or the developing countries that have the capability to
invest to attract larger countries towards their nation and assist in the growth. This project
describes economic policies such as changes in the inflation rate and reduced the unemployment
rate has significantly contributed towards the growth of the nations economy by presenting
opportunities for global expansion of business (Cavusgil, Ghauri and Akcal, 2012). This project
highlights the economic policies that provides various opportnities for global expansion of
business.
MAIN BODY
Discuss and interpret how emerging economies are presenting opportunities for global expansion
There was a significant contribution in the UK economy as earlier there was a high
unemployment rate and there was a negative US trade balance. In order to response to these
challenges necessary actions were taken by the government and has provided various
opportunities for expanding the business globally. (Rothwellnd and Diego-Rosell, 2016) .
Apart from this China, is experiencing a substantial economic change as US is the largest
destination of goods accounting to around 18% of Chinese exports. This led the government to
reduce tariffs and maintains effective trade relations with U.S. This would lead to increase in the
China' s GDP and making effective relation throughout the global market. This led the business
to globally expand their business at the international level and enhances brand image (Kothari,
Kotabe and Murphy, 2013). Apart from this there was a high unemployment rate which led to
the drastic change in the economy when government proposed initiatives to accelerate the
economy as corporate tax reform. It led to cut taxes rate , infrastructure development and
reduced rules and regulations and enhanced free trade and tariffs between the countries. With the
policy of cutting down the tax rate business investment and productivity are increasing at a faster
extent. This allowed many global business to expand their business internationally and enhances
their brand image as well as allows business to earn maximum profitability (Baena, 2012).
Moreover India has a high GDP growth rate at 8.2% in 2018-2019, this shows the overall state of
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the economy which provides many opportunities for the countries to expand their business in
India and achieve success and growth in their business.
Their are various companies which are gaining benefit and effectiveness in conducting
business globally such as Nestle, Apple, Nike and McDonald which are greatly benefited from
the emerging economies. Moreover China has been a successful economy after its adoption of
market oriented reforms. China has been ranked ninth in gross domestic product with USD 214
billion and after 35 years it has come to second place with nominal GDP of USD 9.2 trillion.
With this China has become the worlds largest manufacturing hub and opened various
opportunities for secondary sector industries comprising of industry and construction. This sector
represents the larger share of GDP. Moreover country has reduce financial crises by way of
growing GDP and a sound fiscal position. This enhances rapid economic growth of
country(China Economic Outlook, 2019).
CONCLUSION
From the above report it has been concluded that there was a positive approach of the
economic policy in countries like India and China there was a significant growth in the nations
economy of the nation and provided various employment opportunities for the business. It has
also improved the standard of living of individuals by reducing the unemployment rate and with
the cuts in the tax rate it has enabled business to achieve success and growth.
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REFERENCES
Books and Journals
Cavusgil, S.T., Ghauri, P.N. and Akcal, A.A., 2012. Doing business in emerging markets. Sage.
Rothwell, J.T. and Diego-Rosell, P., 2016. Explaining nationalist political views: The case of
Donald Trump. Available at SSRN 2822059.
Cavusgil, S.T. and Knight, G., 2015. The born global firm: An entrepreneurial and capabilities
perspective on early and rapid internationalization. Journal of International
Business Studies. 46(1) pp.3-16.
Baena, V., 2012. Market conditions driving international franchising in emerging markets.
International Journal of Emerging Markets. 7(1). pp.49-71.
Kothari, T., Kotabe, M. and Murphy, P., 2013. Rules of the game for emerging market
multinational companies from China and India. Journal of International
Management. 19(3). pp.276-299.
Online
China Economic Outlook. 2019. Available Through
:<https://www.focus-economics.com/countries/china>
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