Economic Analysis

MGM626-0801A-02 2.P1PMark Carlson

Introduction

• Economic indicators

• Application of indicators

• Current and new markets analyzed

U.S. - Trend Analysis

Why are these factors important for the expansion?

• Economic Indicators– Recent past– Current values– Projected Outlook

• Analysis

Political Risks

• Terrorist activity

• Economic policy

Brazil - Trend Analysis

Why are these factors important for the expansion?

• Economic Indicators– Recent past– Current values– Projected Outlook

• Analysis

Political Risks

• The Brazil cost

• Violence

• Corruption

Germany - Trend Analysis

Why are these factors important for the expansion?

• Economic Indicators– Recent past– Current values– Projected Outlook

• Analysis

Political Risks

• Organized crime

• Import policies

Japan - Trend Analysis

Why are these factors important for the expansion?

• Economic Indicators– Recent past– Current values– Projected Outlook

• Analysis

Political Risks

U.S. view of exporting businesses

Comparison

•GDP real growth rate•GDP per capita•Unemployment•Inflation rate•Central bank interest rate (not pictured)

Final Analysis

• Japan– Little risk, but also little economy momentum

• U.S.– Stability and accessibility

• Germany– Potential political issues, but stable economy

• Brazil– Political issues, but high economic momentum

References

Brasileiro, A. (2008). Brazil won’t reduce interest rates this year, Goldman says. Retrieved January 15, 2008 from http://www.bloomberg.com/apps/news?pid=20601086&sid=ahvYVWx3RqnI

 

Cenimar. (2008). World trends, projections and predictions. January 16, 2008 from http://www.cenimar.com/factbook/trend_list.jsp

 

Dailyfx. (2007). Central Bank Watch. Retrieved January 15, 2008 from http://www.dailyfx.com/page/central_bank_interest_rate.html

 

Dailyfx. (2007). EUR/USD 2008 outlook. Retrieved January 16, 2008 from http://www.dailyfx.com/story/currency/eur_fundamentals/EUR_USD_2008_Outlook_1199118568338.html

 

DW-World.DE. (2007). Expert says mafia murders pose new risks in Germany. Retrieved January 16, 2008 from http://www.dw-world.de/dw/article/0,2144,2741538,00.html

 

Ernest & Young. (2006). Industry leaders discussed emerging markets. Retrieved January 15, 2008 from http://www.ey.com/global/content.nsf/WebPrint/AFAC984FA3ED039B8525729F0057E9E6?openDocument&

References ContinuedGlobal Issues. (2006). WTO Doha “Development” Trade Round Collapse, 2006. Retrieved January 16, 2008 from

http://www.globalissues.org/TradeRelated/FreeTrade/dohacollapse.asp

 

Peterson Institute. (2007). Global economic prospects 2007/2008: Moderately slower growth and greater uncertainty . Retrieved January 15, 2008 from http://www.iie.com/publications/papers/print.cfm?doc=pub&ResearchID=815

 

Towers Perrin. (2007) Global high tech compensatin planning report. Retrieved January 15, 2008 from http://www.towersperrin.com/tp/getwebcachedoc?webc=HRS/USA/2007/200711/2007_Global_High_Tech_Compensation_Planning_Report_nl.pdf

 

U.S. Departmetn of State. (2007). Background note: Brazil. Retrieved January 15, 2008 from http://www.state.gov/r/pa/ei/bgn/35640.htm