International Business Research Paper Example | Topics and Well Written Essays - 1250 words

International Business - Research Paper Example In those assembly lines and distribution centers the cars get manufactured and prepared before being dispatched to their destined markets and customers. Each of those countries has more than one motor vehicle brand and each of those brands significantly contributes to the economic development and status of its mother country. The presence of constant market for the automotive industry is a very fundamental element in establishing efficient and effective economic performance and in ensuring that the companies continue thriving in this fast changing and extremely competitive industry. Major Markets/ Importers China imports the highest units of cars annually, which is estimated at 2,206,929.0 units of automobile vehicles (Williams and Donnelly 2012, p.21). Germany also imports 19,640 cars, 215 trucks and 8,152 parts which make the total of 28,007 units. Additionally, Japanese imports 29,977 cars, 580 trucks and 15, 242 parts and this makes the total of 45, 799 units of automobile vehicl es imported annually (Williams and Donnelly 2012, p. 28). On the other end of the spectrum, China seems to be one of the best auto bazaars in the world. Generally speaking, China has the highest population growth around the world with an estimated current population of about 1.4 Billion people; and for this simple fact they potentially can well be the major market for any company that wants to pursue international and global quest. China does not only have a huge population size but their economy is growing at the highest rate than any other country or region around the world; hence it is an attractive market to many multinational companies (Hilmersson and Jansson, 2012). China has a favorable environment and a relatively stable political structure, which is also good for businesses because those are simply enabling factors that contribute to carrying out effective and streamlined business activities. Furthermore, in 2011, China accounted for 4.6 percent of the worldwide car export destinations as close to 850,000 vehicles were shipped to China then (Gokmen and Ozturk 2012, p.85). This is due to China’s growth rate which jumped upto 7.8 percent becoming the highest rate anywhere around the world, not only that but this rate was expected to grow even further to an astonishing 8.2 percent by 2013 (Thornton 2013, p.9). These numbers give an insight on the opportunities abundant within the Chinese market for ABC Ltd to potentially capitalize on. References Chung, Ji Y. (2011). The National Innovation System (NIS) and the automobile industry in South Korea. Fraunhofer ISI, Karlsruhe, p. 1-26.Retrieved on 9 May, 2013 from http://www.isi.fraunhofer.de/isi-media/docs/p/de/diskpap_innosysteme_policyanalyse/discussionpaper_29_2011.pdf?WSESSIONID=91190fa2a032a2f766f53940b84d4376 Thornton, G. Global Economy In 2013: Uncertainty Weighing On Growth, An Instinct for Growth, p.1-32. Retrieved on 9 May, 2013 from http://www.gtcayman.com/assets/global%20economy%20in%2020 13%20-%20final.pdf JAMA. (May 2010). The Motor Industry of Japan 2010. Japan Automobile Manufacturers Association, Inch. Retrieved on 9 May, 2013 from http://www.jama-english.jp/publications/MIJ2010.pdf Williams, B.R & Donnelly, & J.M. (October 19, 2012). U.S. International Trade: Trends and Forecasts, Congressional Research Service, p.1-33 Retrieved on 9 May