Identify two developing countries

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Reference no: EM133024999

Imagine you are a former international economic developer who, due to several major financial successes in your earlier years of involvement in economic development in Brazil (now one of the fastest developing countries in the world), is looking for your next project that will help develop another developing country through a sustainable business. A quick return on your investment, while important, is not the top priority. You are more interested in the long-term results, and you have a lot of freedom in where you want to go next because you do not have other investors to hold you accountable. According to your accountant, you have $150 million sitting in one of your bank accounts from a previous project success that will be available for your next economic development project. In fact, you were advised to invest the money so you could minimize tax on capital gain. You want to create a sustainable business with the intent of turning over the financial ownership to the local people and perhaps even add another half billion to your bank account when this happens in 10-15 years.

Part I:

Identify two developing countries that appear to be culturally diverse as candidates for your potential investment. Compare the culture of these countries using Hofstede's cultural dimensions model as a framework (https://www.hofstede-insights.com/product/compare-countries/). Compare the countries using the Hofstede scores along the cultural dimensions. Be succinct with your comparison. Rather than repeating what has been found and said by Hofstede, synthesize and highlight the main differences across these two cultures. Specifically, indicate how cultural differences in the various cultural dimensions influence (a) the economic climate in each country, (b) the potential for future economic development in each country, and (c) the approach for conducting business in each country.

Part II:

What makes these developing countries appealing to you as an investor interested in international economic development? What industries would you possibly consider? What reservations might you have in investing in either of these countries? Keep in mind, the macroeconomic impact of this FDI (foreign direct investment) can be huge for the country in which you decide to invest. It is estimated that the $150 million will have a $1.2 billion to $1.5 billion impact on the local economy through the creation of many new jobs, spending on infrastructures, taxes paid to the government, etc. It will no doubt be a major economic undertaking, but the success of this new venture will bring you much joy and a sense of fulfillment. Your investment will also encourage other like-minded investors to join force with you in making similar investments. This in turn will expedite the economic development of that country.

Reference no: EM133024999

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