- 10 Mar, 2021
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Doing Business in BRICS Nations
For this assignment, you will act as an international business consultant offering advice to an (imaginary) American company called SOLA that produces self-driving solar powered vehicles. The company uses innovative 3D printing techniques to produce the cars that are priced at 10,000 USD. The cars have a range of 100 miles per charge and are small in size, fitting only two people. The interiors are basic providing minimal comforts yet have high safety standards by integrating proprietary artificial intelligence software.
The company is looking to expand overseas in a BRICS nation and is relying on you to give them the best advice for successfully doing business abroad. You’ll start by choosing a BRICS nation, then address each section of the term paper in a way where you are speaking to the CEO and executive team at SOLA. Your recommendations need to be substantiated with research and analysis from credible sources.
Your term paper is divided into three parts. Each part is worth 200 points for a total of 600 points or 60% of your grade. Each part should be 4-6 pages of content double spaced. This does not include your cover page and reference list.
Follow APA guidelines with a cover page, in-text citations, reference lists, double spaced, 1-inch margins and 12-point font (Calibri, Arial, Times New Roman recommended).
See next page.
Part 1: BRICS Country and Overview
200 points
⦁ Introduction
Introduce the purpose of your research report and peak curiosity about the information you will be sharing. Provide a brief background on BRICS nations, their relevance, and recommendation for which nation to choose and why.
⦁ Culture
Highlight the cultural differences between the USA and your chosen BRICS nation. What advice do you have for SOLA executives to develop cross-cultural competencies and ensure successful business interactions?
⦁ Economic, Political and Legal Considerations
Provide an overview of the economic, political, and legal environments of doing business with the BRICS nation and evaluate how these present opportunities or challenges for SOLA.
⦁ Society
As an innovator in solar powered vehicles, SOLA has adopted a green strategy for their US operations and intends to set a global code of conduct for its international operations. What ideas do you propose for SOLA to continue their green strategy and adhere to ethical and sustainable business practices in the BRICS nation? Address any concerns about corruption and bribery practices.
Part 2: Government and Trade
200 points
1. Trade Relationship between Countries
Assess the historical and current trade relationship with the BRICS nation and the United States. Describe the balance of trade in goods and services between the two nations, it’s growth or decline, and its potential to be an area of conflict or cooperation. Evaluate how the BRICS and USA governments support or impede trade between one another by using free trade agreements or interventionist policies. Explain the rationales for doing so and estimate how this may affect SOLA’s success in the BRICS nation.
2. Financial Environment
Analyze the historical and current exchange rates between the BRICS nation and the United States. Determine if the currencies are floating, fixed or pegged. Explain how currency fluctuations can impact the profitability of SOLA’s operations. Which financial tools and exchange instruments do you recommend SOLA uses to mitigate currency risk?
Part 3: Final Submission
200 points
1. Market Entry
Evaluate the pros and cons of market entry strategies of exporting, foreign direct investment, and collaborative arrangements (such as joint ventures or licensing) as methods for SOLA to enter the BRICS nation. Which market entry strategy do you recommend for SOLA as the best option for their solar powered vehicles and why?
2. Marketing
Evaluate SOLA’s product for the BRICS nation. Considering the vehicle features and price, will this product be a good fit in the BRICS country and why? Discuss if SOLA can be successful selling the American version of their vehicle (style, features, brand name) in the BRICS nation or will it need to be localized?
3. Managing the International Operation
Considering ethnocentric, polycentric, and geocentric staffing frameworks, which one will you recommend to SOLA for launching their high-tech vehicle in the new market and why? What advice do you have for selecting the right candidate to lead the operations?
4. Summary
Now that you have fully researched the BRICS nation, briefly summarize your findings and recommendations for SOLA. Note: include information from your previous submissions.