Emerging markets

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An emerging market is one of rapid growth and industrialisation.

The business' in them often struggle to be in global markets, and there is often lots of poverty.

Benefits of Emerging market

People are wanting more personal, advanced products as their culture is changed.

There are more middle class people than before.

Demand for infastructure.

There is a good opportunity for joint ventures.

There are highly skilled workers which are cheaper to employ.

If you move production overseas, then shipping costs are reduced.

There is much no saturation unlike domestic markets.

Shareholders will be happier has they will believe they are gaining profits.

Risks

They often have political instability.

They have different legal systems, often with corruption.

They may have cultural differences.

They are starting to produce and export more of their own goods.

It can lead to upset of factories being moved to other countries, therefore making other workers redundant.

Business' may not move abroad, they may sell products to companies in the emerging markets, or to an agent acting as…

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