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Global business analysis (serendib and us)

Furthermore, Ratio of urban and rural population among the 24 million people is 20% in urban and 80% In rural, we can assumed that Serenade is less- evolving country as the population In rural Is higher than urban area. We check on income distribution to know how a nation’s total GAP distributed among Its population. The lowest income distribution is 20% of population earned 5% from the total income. While highest income distribution is 20% of population earned 80% of the total income, which may potentially to establish numerous markets for luxury good.

It is more profitable from firm to operate business in area of resident with higher Income because their purchasing power Is stronger. B) Most of the main exports in Serenade seem to be agriculture resource and interacted such as clothing, textiles, tea, gems, rubber, coconut, etc. This proves that Serenade is a natural resource rich country and less-developing country. They imported capital goods such as crude oil, petroleum products, vehicles, fabric, etc.

This show that economic structure of Serenade is more concentrated In primary structure, which is based on the extraction of agriculture resource and handcrafted. Since they Imported vehicles and petroleum product, this might Invest In secondary industry including manufacturing to gain more economic in the future. As the rural area of Serenade has not well developed, it has the potential to get into the market at first and gain the first-mover advantages and create a new market share of developing in agriculture sector.

Moreover, the total export volume is higher than total Import volume in Serenade, the gap In between is $40 billion. Most of the export products In Serenade tend to be natural resources. Nature resources are limited and might flash In one day, moreover, with the Invention of vehicles may use solar energy instead of petroleum in the future. C) The Democratic Republic of Serenade form of government may be a great advantage for expending firm at the country. It’s an elected executive president with elected parliament.

One of the commonly attributed advantages to parliamentary systems that It’s faster and easier to pass legislation. Besides that, Serenade Is also known as a member of united Nation, there are non- tariff barriers or less barrier. The U. S. Has reducing Serenade’s high tariffs on agricultural products and opening the market for U. S. Agricultural biotechnology products. They also providing more certainty and transparency in Sir Land’s government procurement, and integrating U. S. Chemical assistance Into the Government of Serenade’s overall PR enforcement plan. JUST, 201 3) Therefore, Serenade may have greater potential to provide less cellular penetration and adult literacy rate prove that the people of Serenade are connected to the internet frequently ad highly educated. Since the people has develop technologies to get access to new product, this making it possible for firm to establish a marketplace through online.

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