Chapter 2: National Differences in Political EconomyRead the case on Poland (Chapter 2) and Egypt...

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Chapter 2: National Differences in Political EconomyRead the case on Poland (Chapter 2) and Egypt (Chapter 3).Identify the pros and cons of doing business in both countries.Assess whether the Poland or the Egypt economic climate would be easier for an American-based business.Write three pages on why you think it would be easier to conduct business in Poland versus Egypt or vice versa and submit them online or to the instructor.
	
Document Preview: Total 3 pages, APA styleChapter 2:I copied all stuff, u can find what you need National Differences in Political EconomyLEARNING OBJECTIVESAfter reading this chapter, you will be able to:LO2-1 Understand how the political systems of countries differ.LO2-2 Understand how the economic systems of countries differ.LO2-3 Understand how the legal systems of countries differ.LO2-4 Explain the implications for management practice of national differences in political economy.Ghana: An African DynamoOpening CaseThe West African nation of Ghana has emerged as one of the fastest-growing countries in sub-Saharan Africa during the last decade. Between 2000 and 2012 Ghana's average annual growth rate in GDP was 7.66 percent. In 2011, this country of 25 million people became Africa's newest middle-income nation. Driving this growth has been strong demand for two of Ghana's major exports—gold and cocoa—as well as the start of oil production in 2010. Indeed, due to recent oil discoveries, Ghana is set to become one of the biggest oil producers in sub-Saharan Africa, a fact that could fuel strong economic expansion for years to come.It wasn't always this way. Originally a British colony, Ghana gained independence in 1957. For the next three decades, the country suffered from a long series of military coups that killed any hope for stable democratic government. Successive governments adopted a socialist ideology, often as a reaction to their colonial past. As a result, large portions of the Ghana economy were dominated by state-owned enterprises. Corruption was rampant and inflation often a problem, while the country's dependence on cash crops for foreign currency earnings made it vulnerable to swings in commodity prices. It seemed like yet another failed state.In 1981 an air force officer, Jerry Rawlings, led a military coup that deposed the president and put Rawlings in power. Rawlings started a vigorous anticorruption drive that made him very popular among...

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Business strategy of the company includes expansion into overseas market. But there are various 
risk associated with doing business globally and companies endeavors to limits its exposure by 
entering only in those countries where economic, political and social environments are helpful in 
doing business. But this conditions will remain stable always is not can be assured. Firms’ 
international operations and sales may be affected by various risks associated with doing 
international business. The following are some of the risk associated with doing business 
globally:  
Economic risk and political risk and political risk include political instability. 
Trade protections that are currently exists and new one have been proposed 
Expenses to be incurred for customizing the product. 
 Business practices and local laws that may favor local competition.  
Firms have to depend on local vendors. 
Governmental laws and regulation may be multiple and complex. 
 There is a possibility of adverse tax consequences. 
Accounting principles may deviate from globally accepted principle. 
Foreign currency risk 
Language and communication barriers.  
Supervisory challenges arising from distance, physical absences and such communication 
barriers.
Political, economical, cultural and geographical factors influence the international business. A 
firm which is planning to do business internationally should all these factors before taking any 
international business decision. Economic and political stability of country determine the success 
of business in that country. When comparing to Egypt, Poland is an economically and politically 
stable country. More over the country is part of European Union. Egypt,

Chapter 2: National Differences in Political Economy Read the case on Poland (Chapter 2) and Egypt (Chapter 3). Identify the pros and cons of doing business in both countries. Assess whether the...

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