Strategies That Fit Emerging Markets


(Pic source: http://tropicalhardwoods.com)

I have always loved working on International Business Assignments.I love reading news, articles etc and this subject demands more of that from me. For the individual assignment, we were asked to do an analysis of a developing country and prepare an economic strategy for the country.

I wanted to write about a country that in spite of several challenges was working hard towards success.So, I chose Bangladesh as my subject.Over the past few days, I have been reading a lot of articles and like the spirit of this country.
(The Grameen Bank concept is wonderful!)

Bangladesh is one of the most densely populated countries in the world ( about 998 persons per square km).In a country where poverty is wide spread, corruption is rampant (rated most corrupt nation 5 times in a row!) and natural disasters(floods) occur on an annual basis, the country is working hard to overcome its current challenges and follow a path similar to that of its Asian neighbours: India and China. Observing the growth (5-6%) in Bangladesh’s economy for the past few years (2000-2005), Goldman Sachs has predicted that Bangladesh will be one of the nations in “Next Eleven”, a set of countries that will follow the BRIC nations.The other countries in the Next Eleven are Egypt, Indonesia, Iran, South Korea, Mexico, Nigeria, Pakistan, Philippines, Turkey, Vietnam.

One of the excellent HBR articles that I read in IB was called "Strategies That Fit Emerging Markets" by Tarun Khanna, Krishna G. Palepu, Jayant Sinha. The article talks about considering a few factors such as Political and Social System,Openness,Product Market,Labour Market,and Capital Market while making decisions when investing in an emerging market.I also enjoyed learning about Porters Diamond Model.

Do go through this stuff on India too