International Business-United States of America
- 2. • Name- Sagar Chandrakant Dusane • Std- MMS-II- Marketing • Sub- International Business • Roll no- B-11 • AIAIMS- Mumbai- 01
- 3. USA Salient Features • Motto- In God we trust • Anthem- The star- spangled banner • Capital- Washington D.C • National Language – English • Ethnic group- White-72.4%, Black- 12.6%, Others- 2.9%, Asian- 4.9%, Native- 0.9% • President- Barack Obama • Vise President- Joe Biden • Total Area- 98,33,571 Km2 Water(%)- 6.97 • Population- 324,720,797 • GDP- Total-$18.558 trillion // Per Capita- $57,220 • Declaration of independence- July 4, 1776
- 4. Social • Citizen of USA is called Americans • USA is a very diverse county. It is home of people with different ethnics and national origins. Many people in the 19th century migrated and settled down in America • There many race found in USA: White is the majority, of about 74% of the population Hispanic (Latino) is about 12.6%. They are originated from Mexico, Puerto Rico, Cuba, … African American is about 2.9% Asian is about 10.5%. They are originated from China, Filipina, India, Vietnam, Korea, Japan, …. • American believes in equality and justice for all. All citizens of America deserve to have the same rights • US faces the problem of an aging population which can lead to a serious labor shortage and rising tax rates in the future • rising racial intolerance is a serious concern • increasing illegal immigration is another concern, as there are currently more than 11.7 million people living illegally in the US, further increasing the risk of racial discrimination
- 5. Technological • United States has been a leader in technological innovation since the late 19th century • Early 20th century and introduction of the assembly line and other labor saving techniques created the system called mass production • Alexander Graham Bell, Thomas Edison, Ransom E. Olds, Heney Ford, Wright Brothers, James Irwin, Steve Jobs, Bill Gates and may others who gave made USA leader in Science and Technology • Albert Einstein, Enrico Fermi, and John von Neumann, to migrate to the United States • Silicon Valley is the hub of IT gaints like Adobe Systems, Apple computer, IBM, Linux, Microsoft,etc • 83.8% of American households owned at least one computer, and 73.3% had high-speed Internet service. • 91% of Americans also own a mobile phone • 21st century, 64% of research and development funding comes from the private sector in USA • The United States leads the world in scientific research papers and impact factor • Only 13.4% of the population did not carry health insurance
- 6. Economical Factors • USA has Capital Mix Economy • USA is largest importer of goods and Second largest exporter of goods • Nominal GDP- $18.45 trillion • Real GDP growth- 1.4% (Q2 2016) // 2.6% (2015) • CPI Inflation- 1.1% (Aug 16) • Employment- to population ratio- 59.7% • Unemployment- 4.9% (Aug 16) • Labor force- 62.8% (Aug 16) • Total public Debt- $19.573 trillion (sept 16). Japan is the largest foreign holder of U.S. public debt • Household Net Worth- $89.063 trillion (Q2 2016) •
- 7. Political Factors• The United States is a federal republic in which the president, congress, and courts share powers reserved to the national government according to its constitution • USA has a strong democratic setup and effective rule of law, with elections that are considered fair and transparent. The country enjoys massive political and economic influence over both national and global policymaking, and is recognized as the leading superpower in the world. • The country faces international criticism for its interventionist policies regarding the ‘War on Terror’ which is souring foreign relations, and at the same time fueling terrorist groups, increasing the threat of terrorism • The federal government shares sovereignty with the state governments • Two- party system dominated by the Democratic Party and the Republican party • American politics and supports a Modern American liberal platform, while the Republican Party generally positions itself as right-of- center and supports a modern American Conservative platform. • Elections- Unlike in some parliamentary systems, Americans vote for a specific candidate instead of directly selecting a particular political party
- 8. International Factors • The United States is the 2nd largest export economy in the world and the 5th most complex economy according to the Economic Complexity Index (ECI) • In 2015 United States exported $1.45T and imported $2.19T, resulting in a negative trade balance of $731B. • The GDP of the United States was $17.4T and its GDP per capita was $54.6k • Refined oil, cars, Planes, Helicopters, Spacecraft, Vehicle parts Packaged Medication are top exported on larger scale • Top export destination are Canada, Mexico, China, Japan, Germany. • Electronic equipment, Machines, engines, pumps, oils, Furniture, Gems, precious metals, Organic chemicals are major imports of usa
- 9. Natural Environmental Factors • Total area of USA 9,372,610 km2 (3,618,780 sq mi) (land + inland water only) • USA is Fourth largest country in world • United States shares land borders with Canada (to the north) and Mexico (to the south) • The contiguous United States, the state of Alaska, the island state of Hawaii, the five insular territories of Puerto Rico, Northern Mariana Islands, U.S. Virgin Islands, Guam, and American Samoa, and minor outlying possessions. • The United States shares land borders with Canada and Mexico and maritime borders with Russia, Cuba, and the Bahamas in addition to Canada and Mexico • 400 mammal, 700 bird, 500 reptile and amphibian, and 90,000 insect species have been documented in USA • more than 17,000 identified native species of flora, including 5,000 in California. • U.S. climate is temperate in most areas, tropical in Hawaii and southern Florida, polar in Alaska, semiarid in the Great Plains west of the 100th meridian, Mediterranean in coastal California and arid in the Great Basin
- 10. INDIA – USA MUTUAL BENEFIT Benefits to USABenefits to INDIA 1. Ease in doing business (R-8) 2. Easy access to capital (R-2) 3. Foster’s innovation 4. Highest household spending 5. Access to NAFTA countries 6. Free trade across 20 Nations including; Australia, Bahrain, Canada, Chile, Costa Rica, Mexico, Morocco, Singapore etc. 7. Revenues in USD 1. Brings Foreign Exchange 2. Generates employment 3. More R&D 4. Contributes to the GDP 5. Generates Taxes 6. Increase in Avg. National income 7. Transfer & Development of Human Capital resources Source: World Bank