Global Strategy Management - Cultural Considerations Assignment

Global Strategy Management - Cultural Considerations - Assignment Example Religion is another cultural consideration that I would take into account in my strategy to expand into India. An example of how I would factor in religion in my strategy is to recommend that company representatives do not order beef in restaurant because the cow is a holy creature in Hinduism and Hindus would feel insulted and this would impact negatively on our business in the country. Festivals and holidays are another cultural consideration in strategizing for entry into India. There are many national and religious celebrations that Indians observe and I would recommend that our business be closed during some of those celebrations because it would show honor for these events (Millar, 2006). Another cultural consideration in expanding business into India is the many languages used by Indians. I would be keen in cautioning that the various Indian ethnic groups speak different languages and as such, business representatives should be careful to learn the meaning of different Indian words before using them in doing business. Respect for the elderly is another cultural consideration and my strategy would also recommend that our business representatives show respect to elderly customers in order to enhance the success of the corporation (Cullen & Parboteeah, 2014). This would not impact our current strategy negatively but will make it more versatile. This is because as much as we have spelt out all the things the corporation will need to launch business in India and start operating, the endeavor cannot succeed unless there is a way to forge a working alliance with the locals. Taking India’s cultural considerations into account in our strategy will make it versatile particularly because it will match well with John and Deborah’s corporation’s exceptional customer service for which it is reputed in the industry. A cultural consideration that helps cultivate a close relationship with Indian customers would help vary our activities in order to suit the

Bonds are normally treated as low risk securities, though they are Essay

Bonds are normally treated as low risk securities, though they are rarely risk-free. Assess the risks associated with bonds. Discuss the implications of these r - Essay Example Bonds are one of the methods of raising capital by the issuer, apart from selling shares or taking a bank loan. Once issued, the bonds too can be traded in the open market like shares. Bonds, like other debts, can be structured in different ways. Bonds attract interest and the yield from the bond is the interest rate paid on the bond divided by the bond’s market price. Bonds are normally treated as low risk securities, specially the Government Bonds. Corporate bonds by blue-chip companies are also considered safe. Nevertheless, bonds are rarely risk free. There are various risks associated with bonds and can have far reaching impacts. The income from bond is usually fixed but interest rate fluctuations affect the capital value of investments. The yield and hence the market price always depends on the market environment. A bond investor would normally avoid investing in overvalued bonds where the risk of default far outweighs the extra yield. If a bond portfolio is well structured it would be diversified across a range of credits with no concentration in undue sectors or issuers. Even the highly rated bonds carry certain amount of risks. Bond may be called or redeemed before the maturity date. Poor management of the organization by the issuer may reduce or even destroy the value of the bond. If a company is doing very well and has surplus cash to pay the outstanding debts, they may call the bonds. They would result in lower rate of interest for the investor. The issuer may call back this bond and issue fresh bond with a lower rate of interest. Hence, if the bond has been called, there would be no interest paid on such bonds. Various economic risks affect the value of bonds. These include rate of interest and the inflation (Online, 2004). If a bond was issued before the interest rate increased, it will lose its vale if it is sold before the maturity date. This is because in such a situation its price is likely to be lower than par