Opportunities in the Developing World

Examination of opportunities in developing countries is appropriate for two reasons. First, more and more developing countries are pursuing the growth path. The developing world is beginning to rely on the market mechanism to attract investment and technology and become industrialized. Second, government plays a significant role in business decisions. The bureaucrats approach foreign investment with much less sophistication and confidence than to private sector executives.


These characteristics suggest that in analyzing opportunities in the developing countries, a company should be willing to lay more emphasis on long-term potential than on short-term gains. In addition, adequate treatment should be given to political and social variables. Further, business condition vary so much from one country to the other that a comparative (i.e., multi-country) analysis may be difficult. Availability of reliable and timely information makes the opportunity analysis more difficult in developing countries. Thus, there is no way to systematically evaluate such factors as sociopolitical conditions. Instead, a general feel for the situation is necessary, for which a trusted native could be of immense help.

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