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Essay / Research Paper Abstract
This paper discussed the political risks involved for General Enterprise, an American company, as it attempts to enter the Middle Eastern country of Orientia. In addition to identifying the risks, the paper offers techniques to minimize it. Bibliography lists 12 sources.`
Page Count:
7 pages (~225 words per page)
File: D0_MTGenori.rtf
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Unformatted sample text from the term paper:
can also have the ability to target their goods to new and diverse markets. This was the reason why General (GE) decided to set up a subsidiary in
Orientia, a country in the Middle East. The purpose of the subsidiary is to establish and operate a manufacturing plant that can help provide parts to Middle Eastern companies that
build television sets for that particular market. GE has precedence in this area as it has successfully established a similar subsidiary in India and has obtained a large share of
the local market there. GEs to repeat success in Orientia is off to a good start thanks to a series of agreements between GE and Orientia involving everything from purchase
of land to investment capital to tax abatements. It seems as though, on the surface, Orientia is being very cooperative in working with GE.
One factor, however, that GE does not have control over is the volatile political situation in Orientia. In this regard, with a shaky governmental regime, GE could be
in trouble if the political situation collapses. This could particularly be problematic if the government sponsors of GE are driven out of office - as well see later, when this
happens, companies and their subsidiaries can definitely suffer from the fallout. The purpose of this paper is to examine potential problematic risks
and to help GE reduce the fallout from such risks. In order to determine risk factors in Orientia, we will examine examples from other countries that have volatile governments, economies
and populations and then attempt to extrapolate those difficulties in order to better assist GEs venture into Orientia. Determining the risk factor
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