Macroeconomic Analysis
Please read the instructions below and answer the question –
Project –
We’ve selected Ralph Lauren as the company and their cotton-based consumer clothing as the product. Our proposal is to explore countries with rich cotton farming industries to be close to the resource and near shipping lanes for low-cost transport to more affluent consumers in Europe.
Instruction/Question –
Your objective in this milestone is to conduct a brief macroeconomic analysis of the two target countries (Egypt – 275 words & Gambia – 275 words).
Analysis of the principal macroeconomic variables must include at a minimum the variables below, with an emphasis on the dynamics of their behavior (rather than statics). The analysis should be done with an eye toward the suitability of the macroeconomic environment for such a sizable and lasting investment by your company.
• Inflation
• Output (GDP)
• Unemployment
• Interest rates
• Exchange rate
If there is political instability that could impair the business environment this should be factored into the analysis. Each variable should be shown in a graph and presented professionally in an easy to understand manner.
Additional sources of information that may be helpful for this analysis would include tradingeconomics.com (Links to an external site.) and the Economist Intelligence Unit Country ReportsLinks to an external site. (available through the University Libraries).
The Board of Directors will need to feel confident that the macroeconomic risks do not put the company’s resources unnecessarily at risk. You should assume that your audience is comprised of intelligent, well-educated individuals, who may not have a great deal of knowledge of the country in question.
I have uploaded the Index for Cotton for the 20 countries my team has selected from which our team has selected the top two ranking countries based on the indicators. Please use the indicators provided to draft your macroeconomic analysis too.
I have also uploaded two examples (first solar & blue buffalo dog food) for the writer to see how the macroeconomic analysis should look like.
