What country have you chosen to analyze for Assignment 1? Describe your chosen country’s GDP and “Doing Business” score. What initial insights do you have in regards to the country’s economic health and business environment? Describe how currency fluctuations impacted GM’s global competitiveness and how Eric Feldstein hedged this risk. Does your company face currency risk? If so, describe its exposure and historical impact. Describe how changes in inflation or interest rates have impacted business decisions at your company or in your personal financial decisions. Using your current (or former) company as a reference, describe your company’s sector and industry. In what sector do you work and what industry does it operate? In what stage of the business cycle does your industry or sector exist? Where is your company within the business lifecycle? As a manager, what steps can you take to grow? Consider innovation, renewal, and productivity. What trends has your industry been through?
Are there any examples of disruptive innovation, such as in the Netflix example, currently playing out in your sector or industry? If so, what actions should your company take? Describe a significant economic event that is currently taking place in the world. Explain what you now understand more clearly and possibly relate your understanding back to your business practice. Consider including a related news link about the event. Using FedWatch by CME, what actions is the U.S. Federal Reserve expected to take? How do you expect these actions will impact your business, industry, and/or the markets? Or what actions do you expect another country to take in regards to monetary policy and what impacts do you expect? Assignment 1: Global Economic Analysis Due Week 4, Day 7 (Weight: 23%) Congratulations! You have been promoted to General Manager of your company’s new overseas division. It’s time to pack your bags and get ready to live and work abroad! In preparation, your boss – who has also received a promotion and will be the CEO of the new division, has asked you to help with planning and preparation by researching the economic conditions of the new country.
Use the GUIDES template to research and record key economic information about the country in which you will work as well as for the United States or your home country. You will use this information to create a report that summarizes your key findings and highlights any potential high impact economic considerations. Keep in mind, your home country data will serve as an important benchmark for interpreting the assigned country’s data. Use your current company and its industry for the context in this assignment. Part 1: GUIDES Template (Weeks 1-4) – Submit week 4 Complete the GUIDES template during Weeks 1-4 as you learn about the economic indicators. TIP: To locate economic indicators not found on the main landing page, click the “Indicators” drop-down menu at the top of the page to view the full list of available indicators. Week 1: • Complete section G (GDP & Growth) of the GUIDES template.
• Complete section U (Unemployment & Utilization) of the GUIDES template. Week 2: • Complete section I (Inflation & Interest rates) of the GUIDES template. • Optional: Submit your template (sections G, U, I) to the instructor for feedback. Week 3: • Complete section D (Debt & Deficits) of the GUIDES template. • Complete section E (External balances & Exchange rates) of the GUIDES template. Week 4: • Complete section S (Saving & Investment) of the GUIDES template. Supply & Demand – Using a product or service at your company, or one that you are familiar with, describe the various factors that impact its level of supply and demand in the marketplace. Is this product more susceptible to supply elasticity or demand elasticity? Explain. As a manager, how can you use this understanding to benefit your organization? Utility – Using a product or service at your company, or one that you are familiar with, describe it in terms of the utility it provides to your customers. What are its strongest utility features? What are the weakest?