文档介绍：Assessing Countries' Attractiveness
Lecture Outline:
Understand the strategic role of country attractiveness analysis.
Assess the determinants of country attractiveness.
Identify methods of country selection.
Country attractiveness is "strategic" because...
Underpins Growth Strategies
. new markets, new customers
Enhances Efficiency
. low cost labour, suppliers,
Enhances Global Learning
. clusters, innovations, experience
Reflects Global Ambition
. Regional Player to Global player
Where to sell, where to produce?
Different Types of Counties exist (Lasserre 2003).....
Key Countries – key markets
Emerging Countries – high growth
Platform Countries– production centres
Marketing Countries– good markets
Sourcing Countries – good resources
Some countries offer binations !
The Determinants of Country Attractiveness.....
Countries are attractive when they offer relatively higher returns for relatively lower risk.
Countries are attractive when they offer market or industry opportunities
Countries are attractive when they enhance global learning potential
Managers must be choosy!
Opportunity - Risk Matrix
RISKS
OPPORTUNITIES
Low
High
Low
High
HIGH RISK
HIGH RETURNS
HIGH
ATTRACTIVENESS
LOW RISK
LOW RETURNS
LOW
ATTRACTIVENESS
The Range of Market and Industry Opportunities....
Market Opportunities measures potential demand - . market size, market growth,
Industry Opportunities measures potential profitability-. industry structure, resource endowment, infrastructure etc.
Government Policy and Incentives – . grants, taxation, land etc.
Very difficult to assess!
Assessing Country Opportunities.....
Porter's Country Diamond (1998)
Context for
Strategy and Rivalry
Related and
Supporting
Industries
Demand Conditions
Factor
(input)
Conditions
The Range of Risks.....
Four Main Categories.....
Economic Risk
Political petitive Risk
Operational Risk
Shareholder's Exposure Risk
Country Risk Assessment
Methods of Country Assessmen