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Emerging Global Corporations

An emerging market is a country that has some characteristics of a developed market, but
does not satisfy standards to be termed a developed market.

The four largest emerging and developing economies by either nominal or PPP-adjusted
GDP are the BRIC countries (Brazil, Russia, India and China).

 Emerging economies have gained ground in wealth and influence over the past two
decades, bringing about radical changes in the global economic landscape.
 While they have made remarkable inroads as global corporations, emerging market
multinationals however still have some way to go compared to the more established
western multinationals as regards to profits.
 Apple sells its products around the world, but the headquarters and all product development
are located within the U.S.

The Relevance of the Changing Regulatory Environment to the structure and operation of
Global Corporations.

1. Bilateral Trade Agreement


Agreements between countries to promote trade and commerce. They
eliminate trade barriers such as tariffs, import quotas, and export restraints in order to
encourage trade and investment.

2. Liberalization
Liberalization refers to laws or rules being liberalized, or relaxed, by a
government. Unrestricted Flow of Capital - A lower cost of capital allows companies to
undertake profitable projects they may not have been able to with a higher cost of capital
pre-liberalization, leading to higher growth rates.

3. Implementation and Imposition of Corporate Social Responsibility ( CSR )


Corporate social responsibility (CSR) is a self-regulating business model that helps
a company be socially accountable—to itself, its stakeholders, and the public.
Set of rules, norms, proposed governance structure developed by NGO.
By practicing corporate social responsibility, also called corporate citizenship,
companies can be conscious of the kind of impact they are having on all aspects of society,
including economic, social, and environmental.

Operational Decisions on Global Corporations

Decisions may vary depending on the market you have. It can be strategic or tactical.
Operational decisions are made with an awareness of the strategic and tactical decisions that
have been adopted in a company. These higher level decisions are made to create a framework
within the company's supply chain operation and to the best competitive advantage.

Corporate Managers, often face dilemma as well: an example is the trade-off between global
perspective and multinational perspective. Where in sa global perspective, tinitignan nila ang
vailability ng mga resources around the world para mas maoptimize nila ang operations na
gagawin nila then sa multinational perspective, mag ooperate lang sila kung saan magfifit ang
isang company through local requirements and adapt yung mga company operations.

There will always be an advantage and disadvantage sa parehong approach, nasa company na lang
ito kung papaano nila mauutilize ang mga approaches na ito para market nila.

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