International Business 10th Edition Research Task Exporting, Importing, and Coun

Question

International Business 10th Edition

Research Task

Exporting, Importing, and Countertrade

Exercise 1

One way that exporters analyze conditions in emerging markets is through the use of macroeconomic indicators. The Market Potential Index (MPI) is a yearly study conducted by the Michigan State University Center for International Business Education and Research (MSU-CIBER) to compare the market potential of emerging markets for U.S. exporters. Provide a description of the dimensions used in the index. Which of the dimension would have greater importance for a company that markets wireless devices? What about a company that sells clothing?

Explanation / Answer

MSU-CIBER uses eight dimensions to represent market potential of a country. The dimensions are:

Above mentioned dimensions are measured using various indicators and are weighted in determining their contribution to the overall market potential index.

For wireless devices, Commercial infrastructure is important because it is the base requirement for wireless devices

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