Your firm is considering building a new manufacturing and distribution facility via direct investment in Latin America. Management narrowed the potential locations to Mexico, Bolivia, and Venezuela.
Analyze the national differences in political economy between these three countries.
Evaluate any cultural barriers your firm may experience in each of the three countries.
Find each country’s rating on the corruptions perceptions index (CPI) and evaluate the ratings.
Click here to read the Country Commercial Guides (CCGs) prepared by the U.S. Department of State. CCGs provide a detailed presentation of the commercial environments of individual countries using economic, political and market analysis.
Link: https://www.state.gov/investment-climate-statements/
Based on the reading in the CCGs, compare the FDI climate and regulations of the three countries.
Identify and assess the benefits of any trade agreements between the U.S. and the countries.
Based on your research, select a country that would be the best choice for the new facility. Explain why you selected the country.
Sample Solution
