Risk Assessment - Africa

Derek, Manraj, Sukhdeep, Zachary

Possible Operating Countries1. South Africa2. Seychelles3. Egypt4. Ghana5. Kenya6. Swaziland

Swaziland Highest risk potential Political System: Monarchy

Pros : Establish a relationship with the reigning king

Cons: If the government was to change, all ties are lost

The Economic System: in between a modified capitalism and a command economy Changing value of the dollar Possible seizure of the investment

South Africa

Lowest potential risk Political System: Republic

Citizens have a large input on changes in the country

Fewer law changes Elections every four years

Economic System: Modified capitalism Government interferes less

The Corruption Perceptions Index Results for 2010 (from least to most

corrupt)1. Seychelles2. South Africa3. Ghana4. Swaziland5. Egypt6. Kenya

Setting up in South Africa Why?

It is the most politically and economically stable

How? International joint venture

Strategic alliance is the best action to take to set up an effective import/export business