Assignment Overview: You have already identified industry opportunity (buyer size and growth trends) and industry threats for your client. Now you will turn to country level analyses to find countries with positive opportunity for your client, and trends and threats that your client would need to mitigate if it entered that country. Each individual on a team will use the PESTEL framework to analyze the POLITICAL, ECONOMIC, SOCIAL, TECHNOLOGY, ENVIRONMENTAL AND LEGAL opportunity and threat factors and trends in the external environments of two countries (Brazil and South Africa) agreed to and assigned by the team in its week 3 work plan. The grading rubric is here and posted in the Grading Guidelines and Rubrics module in course content. Resources: · PESTEL and SWOT articles in Required Readings · How to write an Executive Summary. · Research Databases listed in Required Readings: Assignment Objectives: Your objective is to compare PESTEL Opportunity factors for your client and Threats to your client in two country markets; specify trends in those Opportunity and Threat factors that are likely to affect the country’s business and economic environment over the next 3-5 years; and recommend one country as the better new market for your client. Notes on Data analysis:
1.The data you collect and analyze should be clearly relevant to your client. For example, if the mountainous nature of the country is not relevant to your client, leave it out; otherwise, describe what that terrain means for your client (e.g., there will be high costs of distributing the products across country).
2. Compare the same Opportunity and Threat factors/trends for each of the countries and ensure that any ratings, rankings or aggregate measures you use are measuring the same underlying factors in both countries.
3. Whenever you use a country rating from a source, include a brief summary of the main country conditions (PESTEL factors) that contribute to the ratings. For example: . “Business Environment” may be rated more favorably in one country. But what specifically is being measured: the POLITICAL, ECONOMIC, SOCIAL, TECHNOLOGICAL, and/or LEGAL indicators are more informative and may be more relevant to your client than the summary measure would indicate. Similarly, if you use a “Risk” Rating (e.g, “Political” risk) based primarily on government regulations a higher risk rating may not be as important as the types of risk that are being aggregated into a summary ranking (e.g, lack of contract law or unreliable legal system). Know the components of the rating summary so you can determine their relevance to your client. For example, if “Business Environment” or “Risk” is rated better in one country primarily because of legal protections for IP (which shape the overall better rating), but your client has no IP to protect in its expansion, then the more favorable ranking in one country is not relevant to your client, and both countries might be considered equally attractive IN SPITE of the better overall ranking of one..
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