Brazil Aerospace It got started when the government gave technological support to private firms through the Centro Tecnico da Aeronautica (CTA) established in 1947 in Sao Paulo, being the most advanced research institution among the industrializing countries. The state allowed private ownership to the production of aerospace but gave the technological support and increased allocation of resources in science and technology. The partnership between the public and the military allowed the advancement of the industry (Goldstein, 2022, pp. 525). For national security, Brazil could not depend on imported military equipment and it could not also allow them to be produced by foreign manufactures, the industry was owned fully by the government but was governed by private law and was managed by a competent autonomous management that created good relations between the management and the Ministry of Aeronautics. The ministry made the local environment complimentary due to financial, fiscal, marketing, regulatory and international responsibilities. The firm also got financing through a state development bank which benefited from tax holidays. Production began in 1970 with the support from foreign partners and negotiated co-production and licensing in order to achieve faster market penetration by assembling other those producing high-tech components. The two best seller planes were national design although most parts were imported. The company also collaborate with many firms to supply final components. The strategy which worked is the partnership between the multinational corporation, local private entrepreneurs, and state owned enterprises that had accumulated huge resources. The company also focussed on the export market and allowed longer production runs and stimulated customers to bring in new ideas for technical change and the demand for exemplary performance standards. The aircrafts were sold to Middle East markets and the foreign exchange was important. This success continued up to 1990s when another model was launched. The worsening economy led to conglomeration and new ownership designed a new organization charts (Lebouc, 1980, pp 43). The Aerospace of Indonesia It was developed by an individual called Habibie after completing a doctorate in engineering who returned in Indonesia in 1974 and was appointed by President Suharto as Research and Technology Minister in 1978. Habibie argued that an aerospace was a strategic national necessity and that technological excellence was necessary for achieving national independence as well as acceleration for economic stimulation. This would lead to cultural and political integrity. Although Indonesia has shallow technological base with underdeveloped capital goods and weak domestic capabilities, to absorb and produce technological goods the minister decided to steer into full assembly. He took control of the procurement of the industry and he has good government finance control (Makka, 1996, pp 123). The international manufacturers saw an attractive Indonesia market and MBB licensed IPTN to assemble a helicopter and other smaller aircrafts. The first assembly was in 1983 and despite the many difficulties certification was secured from the U.S. and many Muslim countries. This gave Indonesia a lot of prestige. The IPTN strove to become an international subcontractor and at sometime, Boeing sent over 50
Cite this document
(“Political Environment of Firms Essay Example | Topics and Well Written Essays - 1250 words”, n.d.)
Retrieved from https://studentshare.net/finance-accounting/55209-political-environment-of-firms
(Political Environment of Firms Essay Example | Topics and Well Written Essays - 1250 Words)
“Political Environment of Firms Essay Example | Topics and Well Written Essays - 1250 Words”, n.d. https://studentshare.net/finance-accounting/55209-political-environment-of-firms.
Cited: 0 times
Political Environment of Firms Name Instructor Task Date Introduction The strategies for aerospace industries in the three case study economies have both similarities and differences. The developing countries became ambitious in their aerospace by developing and embracing high tech industrialization, due to emerging economic and political factors…
People today are engaged with a number of firms and businesses in their routine. The questions over the existence, advantages and disadvantages of firms have been answered by different researchers in different ways. The idea, however, lies in the understanding about the firms itself.
Polly Roberts writes on differentiating the firms noting that larger and smaller firms differ in their internal factor prices. He says, “Larger firms pay less for capital and more for labor; smaller firms pay more for capital and less for labor” ( Roberts, n.d.).
India is the second most populated country in the world. The country has a population of 1.19 billion people. Both Pepsi and Coca Cola have done a poor job of expanding the size of the market. The companies have been ineffective because the firms failed to realize that the western marketing will not be effective in an Asian marketplace.
The new policies included provision for mentioned educational, vocational, as well as treatment opportunities, which were likewise instrumental in reducing recidivism by as much as 30 percent. In view of these, the newly appointed governor allegedly wrote a letter indicating the need to stop these currently implemented policies; and to respond by indicating plans for tightening security, as well as proposing tougher inmate programs.
By calculating explicit costs, we can get the result of clear and evident cash outflows from business that decreases its end result profitability. Thus, this cost directly decreases revenue. On contrast, to make a distinction for proper understanding we can mention that intangible expenses such as goodwill and amortization are not explicit expenses because these expenses don't show clear effects on a business's revenue and expenses.
Heinz is a US-based food conglomerate, it has been a familiar name associated with quality food products world wide.
The company was founded in the year 1869 in Pennsylvania by Henry John Heinz it began to manufacture and deliver condiments to the local
According to the discussion there are several reasons that lead to the need for firms to spread their wings beyond the home base and seek markets abroad. The reasons why firms establish bases in foreign countries are myriad. It might be in search of new markets if the home ones are saturated or if competition has become too stiff.
Brazil is a democratic country. Her democracy dates back to 1988, when she got her current constitution. Brazil was a colony to Portugal. She is a federal state formed by the union of federal districts and municipalities where the two
174). Countries that have unstable political environments such as the nations in the Middle East are not attractive locations because it exposes companies to unnecessary risks such as being the target of radical groups
A bad political environment such as political instability, on the other hand, is a bad macroeconomic environment for business. We can take the recent issue about Egypt’s coup’d etat where the military took over the government and the people protesting it. News of military crackdowns is everywhere and conflict happens every day.
1 pages (250 words)Case Study
Got a tricky question? Receive an answer from students like you!Try us!
Let us find you another Essay on topic Political Environment of Firms for FREE!