Fred Murphy, and James Tuminello
Learning Team B
Global Business Strategies
Instructor Alberto Salinas
April 26, 2010
Regional Alliances and Economic Integration The ASEAN was founded in 1967 to promote the alliances of the countries in Southeast Asia. The current members of the ASEAN are the Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Indonesia, Singapore, Thailand, and Vietnam (ASEAN, 2010)
Physical Environment The physical environment of Southeast Asia is primarily a warm climate other than the high elevation areas (Andaya, 2009). The physical environment also differs from the ocean and jungle geographical areas. A primary concern within the physical environment is the availability of safe drinking water in many areas of Southeast Asia and the air quality.
Political Stability The political stability within Southwest Asia is very questionable in many areas of the region due to the terrorist activities; however with the support of the U.S. and other countries the threat is reduced just not eliminated. A scoring system was used to evaluate the region based on data that was provided by AMB Country Risk Reports. The rating system is;
One - Very Low Risk, two - Low Risk, three - Moderate Risk, four - High Risk, and five -Very High Risk. The country leads the region with are risk score of one is Singapore followed by Indonesia two, Malaysia and Thailand three, Philippines and Viet Nam 4. The Philippines and Viet Nam have significant political risks that need to be taken into consideration (A.M. Best, 2010).
Economic Conditions The economic risks within major countries of Southeast Asia are moderate at best. In the recent economic downward trend Southeast Asia is seeing the effects the slowing economic trend with their major trading partners the United States and Europe. The demands for exports are decreasing and forecasts for 2009-2010
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