NIGERIA Nigeria officially Federal Republic of Nigeria. The

most populous in Africa and the largest in area of the West African states, Nigeria was an early twentieth century colony that became an independent nation in 1960.

A country of great diversity because of the many ethnic, linguistic, and religious groups that live within its borders, Nigeria is also a country with a long past Abuja is the capital and Lagos is the largest city. The government system is a federal republic. The chief of state and head of government is the President.

NIGERIA’S ECONOMY 2009-2013

Macroeconomic performance has been broadly positive over the past year. Real gross domestic product (GDP) growth is projected to have decelerated slightly to 6.3 percent .large increases in import tariffs on rice and wheat.

Against the background of the uncertain international economic environment, the first half of 2012 has witnessed positive rebound particularly greater activity in the financial markets, increased lending to SMEs, improving power supply situation, recovery in real estate growth among others.

Nigeria’s economy continued to see strong growth in 2013, receiving a major fillip with the completion of the long-awaited privatization of the power sector, along with a set of heavily oversubscribed bond issues.

IMPACT OF NIGERIA’S ECONOMY ON INTERNATIONAL BUSINESS

Being a under developed country Nigeria is not having strong economy. Its balance of payment has shown deficit because Nigeria is importer of goods and services from rest of the world especially from U.S rather than export.

It does not have latest technology and a system to compete today’s rapidly growing international market. As the unemployment rate is getting increased day by day and poor infrastructure does not capture foreign investors’ attention.

The GDP has been fluctuating from last five years because after election of new president there is better impact on trading because of imposing high import duties and tariffs on import in order to enhance local business.  

NIGERIA’S CULTUREMuslim 50%, Christian 40%, indigenous beliefs 10.

Many religions are followed in Nigeria. The constitution guarantees religious freedom. Christians predominantly live in the south of the country, whereas Muslims live predominantly in the north.

The major Christian celebrations of Christmas and Easter are recognized as national holidays. Muslims observe Ramadan, the Islamic month of fasting, and the two Eids. Working hours in the north often vary from those in the south so that Muslims do not work on their holy day, which is Friday.

BUSINESS ETIQUETTEWait for a woman to extend her hand first.Shake hands at the beginning and end of meetings.To rush a greeting is extremely rude; spend time inquiring

about the other person’s general well-being. It is a good idea to lower your eyes when meeting

someone who is older or more senior.Business cards are exchanged without formal ritual.Present and receive business cards with two hands or the

right hand, never with the left. It is a good idea to include any advanced university

degree on your business card.

IMPACT OF NIGERIA’S CULTURE ON INTERNATIONAL BUSINESS The culture of Nigeria has a positive impact on

International Business because of interaction of Nigeria culture. English is learnt and spoken more than local languages so every business activity and advertisement could be done in English for work attitude as Nigerians are very friendly.

As there are Muslims living in the north region so advertisement nature should be according to their cultural values.

NIGERIA’S POLITICS Nigeria is not an electoral democracy. According to the constitution,

the president is elected by popular vote for no more than two four-year term.

In November 2009, an ailing Yar’Adua left the country to seek medical treatment in Saudi Arabia. The National Assembly provisionally handed power to Vice President Good luck Jonathan in February 2010.

Presidential and legislative elections were held in April 2011. Jonathan won the April 16 presidential contest.

Also in 2011, the radical Islamist movement Boko Haram became a serious threat to internal security in Nigeria. Whereas it had previously been restricted largely to northeastern Borno State and focused its attacks on government officials, security forces, and traditional leaders.

NIGERIA’S ECONOMYBoth the scale and the geographic reach of Boko

Haram attacks continued to expand in 2012.

In January, coordinated bombings and gunfire in the city of Kano killed some 180 people, and approximately 100 people were killed in Kaduna in June when Boko Haram bombed three churches.

IMPACT OF NIGERIA’S POLITICS ON INTERNATIONAL BUSINESSPolitics of NIGERIA has not a good impact on

International business .because of political instability sudden attacks and killing by a very dominant Islamic group named BOKO HARAM It is involved in every illegal act and government corruption and bad law and order situation may also threaten Business Managers to get globalized. Although election of last President there is better control on political system but that could not be satisfactory for a Business Manager to start a business in Nigeria.

AUSTRALIA DEVELOPED COUNTRY

INTRODUCTION OF AUSTRALIA

The nation's capital city is Canberra. The other main cities are: Sydney, Melbourne, Brisbane, Perth and Adelaide.

AUSTRALIA ECONOMY The year 2009 was marked by sharp declines

in Gross Domestic Product (GDP) growth across the World and widespread falls in world trade.

Despite the collapse in World activity in 2009, the view of many economists at the start of 2009 was that Australia would escape the worst of the global financial crisis (GFC).

AUSTRALIA ECONOMY CONT’D

In March 2009, Australia view about the state of the economy for the calendar year 2009 was for slower growth and higher unemployment.

Perhaps, the most surprising piece of news was that the unemployment rate did not rise to extremely high levels; instead, it appears to be flattening at a rate of around 6 per cent as at the end of 2009.

TRADING SITUATION WITH CHINA

In 2009, China became Australia's largest export market, surpassing Japan.

The vast scale of trade with China has seen massive investments by Chinese companies in Australia.

From 2007 to 2010, Chinese investment in Australia amounted to nearly US$60 billion.

BALANCE OF PAYMENT In trade terms, the Australian economy

has had persistently large current account deficits for more than 50 years.

One single factor that undermines balance of payments is Australia's narrow export base.

BALANCE OF PAYMENT CONT’D

Lack of international competitiveness and heavy reliance on capital goods from overseas might increase Australia's current account deficit in the future.

FREE TRADE AGREEMENTS

Establishing Free Trade Agreements (FTAs) with individual countries or regional groupings is an important part of Australia’s trade policy to maximize trade benefits.

AUSTRALIA’S CULTURE

The large majority of the population (93%) has a European heritage, primarily English. The predominant language of the country is English with Christianity the largest religion (75%).

BUSINESS STRUCTURE In Australia the authority to make decisions is

not always left in the hands of high-level executives.

In Australia, lower-level employees often have a considerable amount of power and authority within a company.

AUSTRALIA’S BEHAVIOURB: Being punctual is critical.

M: Maintain good eye contact during meetings and conversations.

A: A single, male passenger using a taxi should sit in the front seat.

G: Gift giving is not a common practice in business.

Y: You may bring a small gift of chocolate, wine or flowers if invited to someone's home.

AUSTRALIA’S BUSINESS MEETING ETIQUETTE

A: Appointments are necessary and relatively easy to schedule.

P: Punctuality is important in business situations. It is better to arrive a few minutes early than to keep someone waiting.

M: Meetings are generally relaxed; however, they are serious events.

P: Present your business case with facts and figures. Emotions and feelings are not important in the Australian business climate.

EXAMPLE OF CULTURAL BLUNDER IN AUSTRALIA (STARBUCKS)

Starbuck’s failure to succeed in the Australian market as a result of carrying over western culture into the foreign market without paying adequate attention to the Australian coffee culture.

The company had to pull away more than seventy five percent of its stores in Australia. In 2008, Starbucks had to close 61 out of 84 stores within the country, with a majority of its stores left in Melbourne and Sydney.

EXAMPLE OF CULTURAL BLUNDER IN AUSTRALIA (STARBUCKS) CONT’D

Replicating the culture of operation in America within the Australian market was the primary reason for the company’s failure.

“Starbucks did not just sell coffee”, but far much more than coffee they sold “coffee culture”.

It basically failed to adjust to the target market’s condition and the prevailing culture of the Australian coffee consumer.

IMPACT OF AUSTRLIA’S CULTURE ON INTERNATIONAL BUSINESS

International business deals not only cross borders, they also cross cultures.

Culture profoundly influences how people think, communicate, and behave. It also affects the kinds of transactions they make and the way they negotiate them.

IMPACT OF AUSTRLIA’S POLITICS ON INTERNATIONAL BUSINESS

In September 2013, Liberal Party leader Tony Abbott became Prime Minister following his coalition’s victory in national elections.

Australia is one of the Asia–Pacific’s richest countries and has enjoyed economic expansion for over two decades.

It came through the global recession relatively unscathed, but stimulus spending by the previous Labor government generated a deficit. Australia is internationally competitive in services, technologies, and high-value-added manufactured goods. Mining and agriculture are important exports.

IMPACT OF AUSTRLIA’S ECONOMY ON INTERNATIONAL BUSINESS

Over the 20-year history of the Index, Australia has advanced its economic freedom score by 7.9 points, one of the 10 biggest improvements among developed economies.

Australia has weathered the global economic

uncertainty well.

IMPACT OF AUSTRLIA’S ECONOMY ON INTERNATIONAL BUSINESS CONT’D

The government has reduced tariff and non-tariff barriers both unilaterally and through negotiated trade agreements.

Foreign investment in a few “sensitive sectors” is limited.

All banks are privately owned, and prudent regulations have allowed them to withstand the global financial turmoil with little disruption.

BANGLADESH Bangladesh emerged as an independent and sovereign country in 1971 following a nine month war of liberation. It is one of the largest deltas of the world with a total area of 147,570 sq. km. With a unique communal harmony, Bangladesh has a population of about 152.51 million, making it one of the densely populated countries of the world. The majority (over 88%) of the people are Muslim. Over 98% of the people speak in Bangla. English, however, is widely spoken. The country is covered with a network of rivers and canals forming a maze of interconnecting channels. Being an active partner, Bangladesh plays vital role in the international and regional forum, particularly in the UN, Commonwealth and South Asian Association of Regional Cooperation (SAARC).

BANGLADESH ECONOMY 2009-2013

The economy of Bangladesh is a rapidly developing market-based economy.

Its per capita income in 2012 was estimated to be US$2,100 (adjusted by purchasing power parity).

The economy has grown at the rate of 6-7% per annum over the past few years. More than half of the GDP is generated by the service sector; while nearly half of Bangladeshis are employed in the agriculture sector.

BANGLADESH ECONOMY 2009-2013 CONT’D

Exports of textiles and garments are the largest source of foreign exchange earnings.

The country's main endowments include its vast human resource base, rich agricultural land, relatively abundant water, substantial reserves of natural gas and coal.

The land is devoted mainly to rice and jute cultivation as well as fruits and other produce, although wheat production has increased in recent years; the country is largely self-sufficient in rice production.

IMPACT OF BANGLADESH’S ECONOMY ON INTERNATIONAL BUSINESS

In real terms Bangladesh's economy has grown 5.8% per year since 1996 despite political instability, poor infrastructure, corruption, insufficient power supplies, and slow implementation of economic reforms.

Bangladesh remains a poor, overpopulated, and inefficiently-governed nation.

Bangladeshis are employed in the agriculture sector with rice as the single-most-important product.

IMPACT OF BANGLADESH’S ECONOMY ON INTERNATIONAL BUSINESS CONT’D

Bangladesh's growth was resilient during the 2008-09 global financial crisis and recession.

Garment exports, totaling $12.3 billion in FY09 and remittances from overseas Bangladeshis, totaling $11 billion in FY10, accounted for almost 12% of GDP.

BALANCE OF PAYMENT After setting up capital machineries, the FDI-financed

companies begin to export their products as most of these companies are export-oriented.

FDI inflow tends to have a greater positive impact through augmenting exports than creating a negative impact through increasing imports.

Policies of creating Export Processing Zones (EPZs) contribute to strengthening the positive correlation between FDI inflows and exports. So, the inflow of FDI may play an important role in Bangladesh in the long run in reducing the deficit in the country’s trade balance.

POLITICS OF BANGLADESH FROM 2009-2013 Prime Minister Sheikh Hasina came to power

through winning vast majority of parliament seats the election held on December 29, 2008 and Awami League President Sheikh Hasina becomes the Prime Minister of Bangladesh for the second time.

During this period of Awami League, crime rates have dropped compared to the rates during the previous government (BNP 2001-2006).

POLITICS OF BANGLADESH FROM 2009-2013 CONT’D

Additionally the National Gross domestic product value and average income per head has increased a lot in this time.

The most notable work of this period is bringing the 1971 Rajakars (defined literally as "Volunteers," the term is used to describe war criminals who collaborated with Pakistani forces against Bangladesh and her people during the 1971 Liberation War) to face justice.

POLITICS OF BANGLADESH FROM 2009-2013 CONT’D

In February 2013, after the accused Quader Mollah was spared the death penalty, there was a massive protest from the public in Shahabad demanding capital punishment for Mollah and all the 1971 war criminals.

Although the opposition party (BNP) supported its political allies (the various Islamist parties) who opposed the International Crime Tribunal (ICT) formed in 2009, BNP, at rare interims, utters to partially support the functionality of the ICT, and continues to claim that ICT's conduct and policies are not up to international standards.

ICT however continues its course of scheduled work, which is considered a significant achievement of the present Sheikh Hasina Wajid.

IMPACT OF BANGLADESH’S POLITICS ON INTERNATIONAL BUSINESS

Political conflict in Bangladesh would have negative impact on business and investment.

Because of hartal, many foreign businessmen cancelled their trips to Bangladesh.

The German Ambassador said that no delegation came to Bangladesh from Germany during the last few months.

The Dutch Ambassador said that foreign investment has declined alarmingly and investors are cancelling their trips to Bangladesh.

IMPACT OF BANGLADESH’S POLITICS ON INTERNATIONAL BUSINESS CONT’D

The chamber leaders said that they were not blaming anybody. If the situation improves, Europe will buy more from Bangladesh.

The Chairman of Japan-Bangladesh Chamber said that if the present situation continues, they will be compelled to wind up their business.

IMPACT OF BANGLADESH’S POLITICS ON INTERNATIONAL BUSINESS CONT’D

Three months back a high-powered delegation of the Chinese chambers came to the city and there was a three-day strike on the day they arrived. They took the decision of going back to their country on that very night and never came back.

Industrial production has slowed down. Import of industrial raw materials has declined. Settlement for import of intermediate inputs has also declined. In a normal year these should have increased robustly to support the growth of industrial production.

CULTURE OF BANGLADESH The majority of Bangladeshis are Muslim. However, most still very

much mix this with pre-Islam folk traditions.

There is a strong tradition of music, dance, and literature that includes classical devotions of Hindu and Muslim music.

Bangladeshis identify with the folk traditions of Bengali culture. This includes belief in shamanism and the powers of fakirs (Muslim holy men who are exorcists and faith healers), ojhaa (shamins with magical healing powers), and Bauls (religious mendicants and wandering musicians).

IMPACT OF BANGLADESH’S CULTURE ON INTERNATIONAL BUSINESS

If any business organizations want to make profit by doing business in Bangladesh they need to know the cultural aspects of BD about the behavioral pattern of the local people, language, customs, and norms, cultural values, dressing style, religious festivals and traditional festivals.