Expansion of the company
Assume that you work for a company as a VP of operations. You are tasked to look at the possibility of expanding into one of two countries with both manufacturing and distribution centers located in this country.
- Country A is classified as a high income country with 250 million people in it. The technology base is solid but natural resources (wood, farming, iron, etc.) are somewhat limited.
- Country B has 800 million people and is classified as middle-income. Resources in this country are favorable, but the government is somewhat hesitant on letting foreign companies in to operate.
Which country would you recommend expansion into and why?
Answer Preview
Country A would be more suitable to invest in, than country B. The factors that country A offers are better for the right investment of the company as shall be discussed. The merits of country A warrant it to be the destination of investment…
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