Global Marketing Assignment Example | Topics and Well Written Essays - 3500 words

Global Marketing - Assignment Example Financial services sector has been experiencing rapid growth in recent times especially after tariff barriers have progressively been broken down with more and more nations joining the World Trade Organization. Egypt and Russia are two countries that vary widely not only in terms of economic prosperity but also in terms of prevailing culture. While the per capita GDP of Egypt is $ 6,200 (Central Intelligence Agency: Egypt Economy 2011) that of Russia is $15900 (Central Intelligence Agency: Russia Economy 2011). When analyzed through GE Matrix, both Egypt and Russia presented markets that would be highly attractive given the medium strength of Bats Bank as a business unit. (12manage 2011) While Egypt is the holder of proud legacy of a bygone glorious civilization, the present condition of the country is not that glorious and its main importance in world commerce and industry is in its guardianship of Suez Canal. But the positive aspect of Egyptian economy is its stable agriculture and large concentration of population along both sides of the Nile River that practically bisects the country. However, the high levels of public debt leave very little opportunity for Egyptian Government to invest large amounts in industry. Hence, the scope of other financiers entering the market is rather rosy. And, this is true irrespective of the current political turmoil that the nation is going through. Russia has finally been able to come out of the trauma of disintegration of Soviet Union and its loss of global superpower status. Free market mechanism has gradually taken a firm grip on Russian economy right from the advent of Perestroika a decade and a half ago and the political and economic stability of the country presents a very attractive opportunity for doing business there. Also, there is a dearth of finance in the market and financial services companies could do very well to bridge this gap. Any company entering Russian markets must take extreme care not to violate the s tatutory requirements of doing business in that country as any violation of local laws usually leads to exemplary penalty. 1.1 The motivation to do this research Globalization has become the norm of today’s industry and commerce. Business entities are finding it imperative that in order to survive and prosper in this age of cutthroat competition; they must cross national boundaries and mark their presence in foreign markets (Kay 1995). Foreign markets, though a treasure trove of opportunities, also present many issues and problems that need to be solved in a novel manner as business environments in these foreign shores need not be identical to those prevailing in the mother country. The primary motivation to do this research has been a desire to identify the process that a business entity must adopt to ensure that its global foray is a success. In the course of enquiry, differences in cultures and levels of economic prosperity between nations have been given a special importa nce as that only would enable one to properly understand and appreciate the multi-layered nuances and intricacies of global marketing. Financial services have an intimate relation with the culture and political climate of a country and cannot be described simply as the end result of a series of cold calculations of interest rates and principal