CHAPTER 4 - CHAPTER 4 Danone in...

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CHAPTER 4 Danone in China ( http://online.wsj.com/article/SB125428911997751859.html ) Outsourcing list of Websites Medical Outsourcing Slide (talk with classmates) Country Institutional Environment Clusters 1. Developing and transition economies a. High in regulatory control; low in political rights b. Brazil, Russia, Nigeria 2. Emerging Market Countries a. Slightly higher political rights; low on monetary policy; 2 nd highest on investment restrictions b. China, India, The Netherlands, Singapore 3. 3 a. 2 nd highest regulatory controls; high in political rights; strong physical infrastructure b. Western Europe: Finland, France, Germany, Portugal, Sweden 4. 4 a. Most developed institutional infrastructure with balanced regulatory controls and political rights; strong economic and physical infrastructure b. Only the United States and Japan Understanding a Country’s Environment 1. CIA.gov – Purchasing Power Parity (PPP) 2. Economic Development (OECD) 3. Political-Legal 4. FDI 5. Practical Impact 6. Cultural a. Power Distance
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