Challenges in Emerging Economies-Free-Samples-Myassignmenthelp.com

Question: Address the Challenges faced in Emerging Economies. Answer: The multinational corporations are those which function in more than one countries and strive to maintain higher profit and market share. There are many opportunities available for a multinational firm but despite having these opportunities there are many challenges which the multinationals have to face in competition with the local firms. These multinationals fail due to many reasons like higher prices, lack of the knowledge of local needs and requirements of people, laws and regulations, lack of support, etc. (Padmanabhan, 2014). Being hired as a CEO of a multinational firm I will have to take some steps to address the challenges faced by the companies in the emerging economies. As the global markets are expanding, the competition is increasing and becoming tougher day by day. The increase in technology and communication technology can be a great measure to face the competition and challenges. The multinational should focus on communication with the local consumers and suppliers. Getting along with the supportive industries can lead them to better positions. Miscommunication between the companies and the local population or government can cause problems (Padmanabhan, 2014). For this, the companies need to hire the local people to get the support from the local societies and also to communicate with the customers well. The business need to understand the complexities and that is how they can maximize their efficiency and maintain the competitive edge in the business. There should be a room for flexibility in the business to get along with the local conditions. The cost sourcing should be minimized so that the prices of the outputs can be minimum and not high. The multinationals can focus on the local needs and requirements of the customers to fulfill them and create more demand for the business in various countries (JP Morgan, 2010). The companies should set up collaboration between the communities by giving them through Corporate Social responsibility so that they could get their support in return. The business culture should be maintained which support the fulfillment of aims and objectives of the business and it should also handle the complexities of the market. The demand for their goods and services could be created by goof promotional methods and publicity. This could make the multinational more successful in various countries and this is how the challenges could be met (JP Morgan, 2010). References JP Morgan (2010). Strategic challenges and opportunities for corporate sponsors. Retrieved from https://www.jpmorgan.com/cm/BlobServer?blobcol=urldatablobtable=MungoBlobsblobkey=idblobwhere=1158628727055blobheader=application%2Fpdfblobheadername1=Content-dispositionblobheadervalue1=attachment;filename=J.P.Morgan.Multinational.Pensions.Whitepaper_November.pdf. Padmanabhan, P (2014). Five Steps to Success in Emerging Markets. Entrepreneurship.