First task in Economic Enviroment

Hi all!

This is my first contact with blogs and this is my first post. In other ocassion I´ll write more, but for the moment I leave you the answers of my group for the following questions of the economic environment class.

ECONOMIC ENVIRONMENT

October 26th

GROUP 2:

CARLOS CERDÁN

PABLO GONZÁLEZ

ALBERTO RENGEL

DIANA SÁNCHEZ

1) Let’s suppose that you are a general manager of a multinational company located in NY. Suppose that the company produce goods (not services) and that you are discussing the location of a new factory in Europe. What will be the 4 most important strategic factors to be taking into account to decide the location?

It is important to look out for the macro and microeconomic environment.

a. Country risk classification. This classification gives a “perspective” of what is the financial, economical, and political situation (as a whole) in each country.

b. Regulatory environment for business for the “real sector” (of each country)

c. Location. Transport and connection with other countries

d. Cost of production, fixed and variable, such as labor, materials, machinery, among others.

2) Which of the following are the 3 essential or strategic assets for countries to be rich in the next 20 years.

1. agricultural products

2. oil

3. energy

4. machinery

5. minerals including water

6. technology

7. education

8. being a big exporter

9. innovation

The 3 main assets are technology, innovation and education. Education develops people’s capabilities to innovate in every knowledge field and create technology. For example, with a strong innovation capabilities and technology it is possible to overcame the resources crisis (create solutions for water and energy issues).

At the same time, technology is a key asset to reduce costs and increases productivity and efficiency, and improves economic growth.

3) In 20 years one of the superpowers will not be anymore, which one of it?

Actual superpowers: US, EU, Japan.

We believe that in 20 years Japan won´t be a superpower anymore.

4) In addition to these 2, there will be 3 more, which countries?

China, India, Rusia

5) In addition to those 5, there will be 2 more possible. State it.

Brazil and Mexico

6) According to your knowledge which are the 5 countries with highest corruption

Somalia, Myanmar, Afghanistan, Iraq, Uzbekistan

7) The 5 countries with lowest corruption

Denmark, New Zealand, Singapore, Finland, Sweden

8 ) On the 15 European countries the 4 with highest corruption

Greece, Italy, Portugal and Spain

9) The 4 sectors of highest corruption in Spain

Buildings sector, media, government employees and judiciary

10) Which are the Latin American countries with the lowest corruption?

Chile, Uruguay, Costa Rica

11) The main criteria to increase wages is inflation. But given the suggestion, the European Commission is thinking to change it in 2014 and engage it to productivity and individual performance. What are the pros and cons. Give conclusions

Productivity = production/ cost

Pros

–         Motivation for employees

–         Flexible schedule

–         It improves productivity and increases benefits, which promotes economic growth.

Cons

–         Workers could be overloaded because of overestimated company’s goals

–         External factors could affect productivity (for example a bad economical situation)

12) There is another new proposal: all the people will have a schedule from 9 am to 5 pm, with 45 minutes lunch break. What are de pros and cons. Give conclusions

Pros

–         Motivation

–         Easier family life

–         More free time

–         It’s possible to get a cost reduction because of the shorter schedule (less electricity, water, general costs)

–         Also it’s possible to increase productivity. People could be more focused on their duties.

Cons

–         The schedule could stress people

Comentarios desactivados en First task in Economic Enviroment / 26 Oct 2011 por Alberto Rengel Bueno
MERME /

Comentarios cerrados.