Got a tricky question? Receive an answer from students like you! Try us!

Morocco Country Risk Assessment - Essay Example

Only on StudentShare
High school
Essay
Finance & Accounting
Pages 4 (1004 words)

Summary

In their efforts to maximize profits and increase shareholders returns, local and multinational corporations are considering investing in other countries. This paper analyzes the risks that a multinational corporation will face by investing in Morocco. …

Extract of sample
Morocco Country Risk Assessment

This paper stresses that a vital factor that makes Morocco a viable country for investors is the electrical power development. National Office of Electricity is the main government-owned firm that is responsible for providing electricity power in the country. Even though the country has significant oil reserves, most of the power was earlier generated from imported fuels from Saudi Arabia.
This report makes a conclusion that Morocco is ruled under the constitutional monarchy with the prime minister holding major powers while the king hold few executive powers including dissolving the parliament. Two major chambers in Morocco parliament are the assembly of councilors and the assembly of representatives. To ensure justice in the country judicial system, the country constitution provides for an independent judiciary. In this way, politicians do not have much impact on the country court system thus reducing the level of corruption in the country. One of the remarkable political initiatives that occurred in 2011 was the drafting of new constitution that brought about major reforms in the country political system. For example, the king was given power to appoint a prime minister from the party with the majority seats in parliament. Similarly, the prime minister was given power to appoint high level diplomats and chief executive officers of the government owned organizations. It is worth noting that the constitutional also gave power to all citizens by ensuring freedom of creation, ideas, thought among others. ...
Download paper
Not exactly what you need?

Related Essays

Research Paper on Inflation for the Country China
Causes of Higher Inflation in China Evidently, the higher inflation in China can be attributed to numerous factors. According to Yu (2011), the Chinese government’s increased currency control ended up in an artificial decline of foreign exchange rate of the Yuan and this adverse situation in turn amplified manufacturing and export business activities. Macroeconomic theories clearly state that decline in the real value of currency is the most severe impact of higher inflation. At the same time, the cheaper Chinese currency made imported food items and energy resources unaffordable to the…
4 pages (1004 words)
Country Risk Ananlysis
Some risks can be diversified away through investing in portfolios of investments which diversify each other’s risk. The risk that can be diversified away is called diversifiable risk or unsystematic risk. On the other hand systematic risk cannot be diversified and is thus also called un-diversifiable risk. Economic and political risk is inherent risks of operating in a country. The economic risk is the risk that economy of that country would change for the worse. This change could be due to bad management or uncomprehend able natural causes, such as reduction in oil prices for a country…
South Korea Country Risk Analysis
South Korea is politically stable and has excellent infrastructure. With consistent reformation policies, the Government has been able to transform the country into a knowledge-based service-oriented economy. The labor market is flexible but the wages are higher than the neighboring countries. The workforce is highly qualified but the country has an aging population as the population growth rate is extremely low. Unemployment rate in the country is very low. Having a culture of uncertainty avoidance, risk assessments would be done and precautions and risk measures adopted. Being a collectivist…
7 pages (1757 words)
country risk analysis
Therefore, the country’s economy is growing and when united with its population increase, India is indeed a very significant nation for investment in the world (Machiraju 36). This paper will seek to discuss a country risk analysis with reference to India by taking the perspective of a multinational corporation considering expanding its operations into that country, and is intended to assess the business environment in that country. Geographical Location Bounded in the south eastern part by the Arabian sea, in south by the Indian Ocean, and on the south eastern side by the Bengal Bay, the…
Japan country risk analysis
In assessing the viability of locating or starting a business in a foreign country, a country risk analysis is vital in allowing investors to identify associated risks or opportunities that might affect the business in future. This is because a country risk analysis undertakes an in depth investigation on the economic, political and social factors that affects the financial and strategic derailment to the firms in realizing their business objectives (Wagner, 2012). This helps the investors in realizing the profitability and sustainability of a business they intend to start in a given country.…
8 pages (2008 words)
Analysis of Country Road's financial performance
The company net profitability declined in 2012 as compared to the 2009; whereas the gross profitability increased by a mere 0.7% in 2012 as compared to 2009. This signifies the growing inefficiencies and disabilities in the company to control costs and expenses. Step Three The profitability provided a better measure as compared to the profits. This is because the profitability analyses the profits with terms to the growing sales; and therefore, helps in measuring the efficiency of the company in controlling costs and expenses with the increasing sales. (Keiso 1999) Step Four a. Appended figure…
6 pages (1506 words)
international source of finance for india as developing country
The background of this study is to access the need of international sources of finance by India as a developing country. The major cause of underdevelopment in the developing country like India is the shortage of capital. If India depends on its own funds for funding economic development either of the two possibilities comes out.
48 pages (12048 words)