DEVELOPED COUNTRIES AND EMERGING MARKETS

There is a growing debate between supporters of developed markets and supporters of emerging ones as alternatives for investment if the global market. The attractive of emerging markets is represented by its population and labor force, one the other hand, the attractive of developed nations comes from its instability in policies and tradition. If we study a little bit more the attractive of emerging markets, we find that they have a huge demography but at the same time, it is not a warranty of cultural matching, how many times do we hear entrepreneurs or politicians say: “we are going to make millions of Chinese consume our products” is this warranty that tastes are going to be similar to the ones that are being offered or sold at that particular moment? in my point of view, this aspect goes through different variables: the kind of product, the company, the objectives and the degree of commitment towards internationalization and other aspects of the external environment such as culture, demography, tastes, the environment for business among others. My personal attraction for developed markets comes from the fact that instability shown in those countries is a symbol of warranty, although on the other hand emerging markets are alternatives to explore growth and develop plans of expansion in a creative way that let the enterprise grow in terms of numbers and sales. Moreover, nowadays we find that global trade is seeking more and more commercial agreements and trade treaties that allow countries enter markets in a massive way or negotiate with various countries at the same time. In the new millennium, it has become a tendency to negotiate international trade agreements with commercial blocks such as the European Union for example that simplify the arrival of products to multiple destinations that have good institutions or regulations to back processes and set stable environments to negotiate. In general terms, we cannot compare developed and emerging economies, but perhaps those emerging economies take decades to develop and some may pave the way to find a place to be considered big players in the global marketplace.

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