Question Details

Operations Management Homework Help


Expansion Decisions - Discussion

Assume that you work for a company as a VP of operations. You are tasked to look at the possibility of expanding into one of two countries with both manufacturing and distribution centers located in this country.
 
Country A is classified as a high income country with 250 million people in it. The technology base is solid but natural resources (wood, farming, iron, etc.) are somewhat limited.
Country B has 800 million people and is classified as middle-income. Resources in this country are favorable, but the government is somewhat hesitant on letting foreign companies in to operate.
 
Which country would you recommend expansion into and why?