International Corporate Finance Essay Example | Topics and Well Written Essays - 2750 words

International Corporate Finance - Essay ExampleA comparative analysis of the pros and cons of doing business in both of the countries has also been provided, along with recommendations on the market that the agile Wombat should target. An appendix is present for easy reference and a bibliography is also present at the end of the report. annotating In order to fully grasp the concept of the paper the researcher felt it important to take the profiles of the countries under discussion. However, to prevent plagiarism it is important to terra firma that the profile of China has been taken (in its full form) from the guinea pig Geographic site. The source has been given at the end.China is the worlds most populous country with about 1.3 trillion people. Chinas geography is highly diverse, with hills, plains, and river deltas in the east and deserts, high plateaus, and mountains in the west. Climate is equally varied. China has the worlds long-term continuous civilization for more than 40 centuries its people created a culture with strong philosophies, traditions, and values. China remain a predominantly rural society, with scarcely 39 percent living in urban areas.The rootage half of the 20th century saw the fall of the last Chinese emperor, Japanese invasion, World state of war II, and civil war between Chinese Communist and Nationalist forces. The Peoples Republic of China from 1949 to 1976 imposed state control on the economy. Since 1979, China has reformed its economy and allowed competition, and today has the worlds highest rate of growth. China has seven of the worlds ten-spot most polluted cities. The largest producer and consumer of coal, the country is turning away from coal toward clean hydroelectric resources. politically it still maintains strict control over its people. Chinese rule over Tibet remains controversial, fighting with Moslem separatists in Xinjiang continues, and political issues with Taiwan remain unresolved. China regained Hong K ong from Britain in 1997 and Macau from Portugal in 1999. In 2003 China became only the third nation (after Russia and the U.S.) to launch a manned space flight, with plans to reach the moon by the family 2010 (The China Country Profile has been taken from the National Geographic site, (http//www3.nationalgeographic.com/places/countries/country_china.html). Political Risks in China train der Putten (2003) has stated that, hostile investors in China need to be aware of the following risks associated with doing business in the country Corporate social responsibility (CSR) is also known as labor risk. Labor risks take forced labor, suppression and the existence of inaccurate labor regulations. All of these factors can adversely affect businesses and it is obligatory that foreigners are aware of them. In addition, van der Putten (2003) states that labor issues and multinational organizations are often in the limelight over international matters. Concerns such as these can result in damage to the reputation of the foreign firm as well as boycott by the