Feature of the Month: BRICS Outlook
The BRICS have a joint estimated GDP of $16 trillion, and recently created a development bank that hopes to parallel the IMF and the World Bank. The World Bank estimates that the potential growth rate for BRICS fell from nearly 6% a few years ago to under 4%, and currently the BRICS collective contribution to global growth has fallen from a peak of nearly 50% in 2013 to currently only 36%. The World Bank has warned that the BRICS and other emerging markets are beginning an era of weak growth, as commodity and export- dependent emerging economies’ growth had been closely tied to global demand.
The BRICS are facing challenges with high debt, political turmoil, and major demographic challenges. Many of the BRICS nations borrowed large amounts of debt at low interest levels, but the amount borrowed is more than the currently projected growth rates, and a strong American dollar makes it difficult to repay the debt with foreign currency. The IMF and World Bank have issued warnings that the governments must overhaul the economies to increase productivity and competitiveness to allow for greater private-sector investments, create reforms in the labor-market, stronger judicial systems, and more protection for intellectual property rights.
globalEDGE Business Review: The BRIC Countries
Executive Briefing: Brazil, Russia, India, and China form the so-called BRIC countries. This article summarizes the basics of the BRIC countries, including: the impact on the BRIC’s by the world economy, organizing by the BRIC countries, economic and population changes in the BRIC countries, key strengths and weaknesses of the BRIC countries, and key issues for countries and firms to consider when doing business with the BRIC countries. Opens in PDF format.
Categories: globalEDGE Business Review, Economic Classification, Emerging Markets resource from gE
The fDi Report 2015: Global Greenfield Investment trends
The fDi Report 2015 focuses on the BRIC economies, Asia-Pacific, Europe, North America, Latin America and Caribbean, and the Middle East and Africa. It provides trends and insights for FDI in the various regions, sector analysis, and information about data centers. Free registration is required for downloading the report.
Categories: Global, Publications
Doing Business in Russia
Doing Business in Russia offers a general overview of the conditions for doing business in Russia today. It includes sections covering Russian social and business cultures, marketing distribution and sales channels in Russia, and supply chain management, as well as information on the costs of doing business in Russia and issues currently facing the country. This module also includes a case study on Russia’s Information and Communication Technology Infrastructure.
Doing Business in Brazil
The module on Brazil provides one with information on: the enormous potential for doing business here; cultural practices; tips, tools, and information about typical practices in daily business; the state of logistics and transportation; current political and social issues facing the country; and important business factors that directly affect costs of doing business, including the labor force and taxes. Included is also a case study on the Amazon rain forest.
globalEDGE Business Beat
Tomas Hult talks with Stephen Hsu, Vice President for Research and Graduate Studies, at Michigan State University. They discuss Michigan State University’s Global Impact Initiative and what this worthwhile and important initiative entails.
They also link the Global Impact Initiative strategically to the country’s 21st century grand challenges. The White House’s Office of Science and Technology outlined the Grand Challenges as: (1) help create the industries and jobs of the future; (2) expand the frontiers of human knowledge about ourselves and the world around us; (3) help tackle important problems related to energy, health, education, the environment, national security, and global development; and (4) serve as a “North Star” for collaboration between the public and private sectors.
Tomas Hult talks with Jagdish Sheth, who is the Charles H. Kellstadt Professor of Marketing at Emory University Goizueta Business School, and Co-Founder of the Academy of Indian Marketing together with S. Neelamegham, V. Kumar, and Rajeev Karwal. The vision for AIM is to be the world's leading research and practice driven academic organization, recognized for generating and disseminating unique marketing perspectives on emerging markets including India.
The discussion involves Dr. Sheth’s thinking behind starting the Academy of Indian Marketing, the impact that AIM can have, and the role of Indian academics in the global marketplace.