CASE Study UNIT 7 MARKET LEADER - HỌ VÀ TÊN MSSV Lê Hồ Tiểu My 31211020751 Phạm Thị Thu Ngân - Studocu

Mục Lục

HỌ VÀ TÊN MSSV

Lê Hồ Tiểu My 31211020751

Phạm Thị Thu Ngân 31211023601

Võ Thị Yến Oanh 31211021161

Nguyễn Hữu Thắng 31211025198

Lê Thị Thùy Dương 31211026534

Nguyễn Thị Ngọc Nhi 31211021156

Bùi Nhâm Ngọ 31211024651

TASK 1

Work in pairs. Discuss the advantages and disadvantages of each location.

Country A (EUROPE)

Advantages Disadvantages
● GDP per capita US$ 21,100(high)
● Geography A variety of physical features
● Import tax on cycle components: 8% (low)
● Good rail network , new international
airport
● The government will contribute 30% to the
cost of a new factory
●
●

● Growth rate (last year): 2%(low)
● Unemployment rate: 8% (very high)
● Business tax on annual profits: 22%
(high)
● Poor roads and seaports
● Skilled workforce:no
● Wage rates: rising in major cities
● Political problems
●
Country B (EUROPE)
Advantages Disadvantages
● GDP per capita* US$65,800 (very high)
● Geography Few hills; very flat land
● Inflation rate: 1% (very low)
● Unemployment rate: 3% (low)
● good road and rail, international airport,
two modern seaports
● Stable government
● Strict pollution law
● There are generous tax credits for building
new factories

● Geography No mountains(the sales of
TSC products such as mountain
bicycles will decrease in sales)
● Growth rate (last year): 1%(low)
● Interest rate: 2% (very low)
● Import tax on cycle components: 18%
(high)
● Skilled workforce:no
● Wage rates: high

Country C (ASIA)

Advantages Disadvantages
● Having a high growth
● Having an average inflation
● Having average interest rates
● Having good near ports, good airport
● Having a skilled workforce
● Having a low wage but it is rising
● Having a strong protest movement against
foreign business
● Having Geography Mountains, hills and
flatlands

● Having a high unemployment
● Having a very high import
● Having an average business
● Having bad roads
● Majority of people in city under 30
●

Country D (ASIA)
Advantages Disadvantages
● Having an average inflation
● Having high interest rates
● Having a high business
● Having a low import
● Having good airport
● No having a skilled workforce but having a
workforce used to long hours
● Having tax – free profits for first three
years
● Having Geography Mountains, hills and
flatlands
●

● Having an average growth
● Having a high unemployment
● Road and rail are not good
● Having an average wage
● A lot of paperwork is required for new
business
● Having serious problems with air and
water pollution
● High business tax on annual profits
(28%)
● Road and rail network needs
investment
● Government has a five-year programme
to improve transport system

TASK 2

Discuss the four countries and rank them in order of suitability as a location

1/Country C (Asia):

Wage rates: low.
Plenty of skilled labour available.
Good transport around the main seaports, small but well-managed airport.
There is a strong protest movement against international companies.
Grow rate: 8%
2/Country D (Asia):
Wage rates: average.

Good transportation around the main seaports, Small but well-managed airport,
making it easy for companies to import goods and export goods
Labor Many skilled workers available, the company can obtain labour easily and
skillfully, so that the company’s productivity increases
Wage rates: low but rising fast

WRITING

Dear Sir or Madam,

My name is Gojo Satoru, and I am the CEO of Taka Shimizu Cycles. Taka Shimizu
Cycles is a well known brand in Japan and in the United States. The company is now
ready to expand in Europe and South-East Asia.

In order to become a global company, we need to build a factory in an overseas

country. The factory will have roughly 2,000 workers, who will produce the frames
for the cycles locally. Different parts, such as seats, gears, chains, tires, and so on, will
be imported. Workers will be recruited locally and, if necessary, trained in a special
school set up for this purpose.

After conducting an extensive investigation, our top preference happens to be your
country. We would schedule a meeting in order to discuss the proposal further. If the

time works for you, I would like to meet at 8am next Friday, at ABC.

Please confirm a meeting time at your earliest convenience. I am looking forward to
your reply.

Best regards,

Gojo Satoru