StudentShare solutions
Triangle menu

International Corporate Finance - Business Report - Essay Example

Nobody downloaded yet

Extract of sample
International Corporate Finance - Business Report

This is because South Africa is one of the major producers of gold in the world. The Foreign Direct Investments policies of the country and a suitable market entry mode have been suggested in order to direct KM an entry path towards South Africa. Table of Contents Executive Summary 2 Introduction 5 Background 5 Mission of King Minerals Limited (KM) 6 Outline of the Study 6 Country Risk Analysis 6 Political Risk Analysis 6 Government in South Africa 8 Government Policies for Mining Industry 8 Economic or Financial Risk Analysis 9 Gold Mining Contribution to GDP 10 Gold Mining Impacts on South Africa 12 Affect of Gold Mining on the Economic Condition 12 Taxation System for Mining Industry 13 Foreign Direct Investment 14 Conclusion and Recommendations 15 References 16 Bibliography 18 Introduction Background The study aims at conducting a country risk analysis to assist the Australian Investment Bank in advising about investment opportunities in South African gold mining industry. King Minerals Limited (KM), an Australian mineral firm wanted to float an ambitious program for exploring and extracting gold in Africa, so it is important to conduct an analysis of Africa and its gold mining industry. The political, social and economic record of South Africa to a large extent is influenced by the exploration of a glittering metal called Gold. The gold mining industry played a very significant role in the economy of South Africa, with respect to its employment opportunities, exports, financial growth and a huge contribution to the revenue generated from government tax. The gold mining industry contributed about 1.4 percent to the GDP of the country in the year 2004 (Kearney, 2012). However, in 2006, the prices of gold increased as the focus was mainly on productivity and cost. The production of local gold decreased by 7.5 percent, which was about 275 tons, but in spite of this the gold industry of South Africa is in the top most producer of gold in the global market, which is about 11.2 percent. Gold mining sector is critical for the South African economy. In the year 2006, this sector contributed R36.7 billion to the total export of South Africa, which was about 8.4 percent, and 1.1 percent of the GDP (Chamber of Mines of South Africa. 2008). The gold industry is also linked to the other developments in the country such as the infrastructure development, formation of capital, and also urbanization. The gold industry is taxed in a much different way that the other industries of South Africa. The taxes are imposed on a formula basis, while all the other mineral industries are taxed on a flat rate in case of income tax filings. However, the tax authorities in South Africa have decided to introduce revenue system that is based on royalty for imposing tax on the gold revenue mining. This regulation has been imposed since 2009 (PWC. 2012). Mission of King Minerals Limited (KM) King Minerals Limited (KM) is committed towards creating and delivering outstanding values to the stakeholders through the development, exploration, and mining of gold and other valuable metals. Outline of the Study The study attempts to focus on the country risk analysis of South African gold mining sector and assess the various risk factors that need to be analyzed before developing a business proposal for exploration and mining activities in South Africa for gold. The study begins with a background of the gold mining industry of South ...Show more


International Corporate Finance- Business Report Executive Summary This study is on the situation where the Australian Investment bank has to advice King Minerals Limited on the country which would be suitable for exploration or expansion of mining business…
Author : nestordenesik
International Corporate Finance - Business Report essay example
Read Text Preview
Save Your Time for More Important Things
Let us write or edit the essay on your topic
"International Corporate Finance - Business Report"
with a personal 20% discount.
Grab the best paper

Check these samples - they also fit your topic

Advance corporate finance
Advance Corporate Finance Table of Content Introduction 3 Organizational Structure 3 Corporate Governance 5 Previous Merger and Acquisition of Crown Limited 7 Reference 8 Introduction This paper represents organizational structure and corporate governance of Crown Limited, a famous international entertainment company and one of the largest entertainment groups in Australia.
3 pages (750 words) Essay
International Corporate Finance
Afterwards the political and the financial risks associated with conducting business in both of the countries have been discussed in detail. The foreign direct investments (FDI) and their influence on the economy of both of the countries have been studied in the paper.
11 pages (2750 words) Essay
International Corporate Finance College Essay
My recommendations will be made after careful study and analysis of the Chinese market. China, (People's Republic of China), is situated in eastern Asia, bounded by the Pacific in the east. The third largest country in the world, next to Canada and Russia, it has an area of 9.6 million square kilometres, or one-fifteenth of the world's land mass.
8 pages (2000 words) Essay
Corporate finance
It is one of the most profitable firms in the United Kingdom. Reviewing its recently published annual report for the year 2008, it has been found that it has maintained strong operational performance. Its operating profit before tax for the year
8 pages (2000 words) Essay
Corporate Finance
In 1932 TESCO Stores Limited becomes a public limited company. (Our History, 2009) The Guinness Book of World Records enrolls its name as the largest store in Europe. (“Our History”,
6 pages (1500 words) Essay
Advance corporate finance
It was the gaming division and assets as Crown Limited. Rest asset of PBL was renamed as Consolidated Media Holding. Core business of Crown Limited is in gaming and entertainment sector. It wholly owns two famous Australia’s leading entertainment
3 pages (750 words) Essay
Corporate finance
It was the gaming division and assets as Crown Limited. Rest asset of PBL was renamed as Consolidated Media Holding. Core business of Crown Limited is in gaming and entertainment sector. It wholly owns two famous Australia’s leading entertainment
2 pages (500 words) Essay
Corporate finance
ort for the finance minister about development of standard corporate reporting regulations in the country and importance of standard corporate governance regulations as an important part of corporate reports published by the public companies. Therefore, this report will deal
8 pages (2000 words) Essay
International Corporate Finance and Financial Markets
This is reverberated by the increase in capital market integration taking place in the global market. This paper explores the significance of the international corporate finance and financial
2 pages (500 words) Essay
International business finance
The paper utilizes financial data and computes the WACC, as well as the Net Present Value. The analysis gives a WACC of 10% and an NPV of € 1.359 million, which is indicative of the value of the investment into a joint
10 pages (2500 words) Essay
Hire a pro to write
a paper under your requirements!
Win a special DISCOUNT!
Put in your e-mail and click the button with your lucky finger
Your email
Comments (0)
Click to create a comment
Contact Us