MNG4804 ASSIGNMENT 2 2025 ANSWER

MNG4804 2025 ASSIGNMENT 2 2025 MNG4804 2025




DISCLAIMER

THE DOCUMENT PRESENTED IS A DEMOSTRATION ON HOW STUDENTS CAN
APPROACH THE ASSIGNMENT FOR MNG4804/INT4801. IT IS BASED ON PRESCRIBED
MATERIAL AND EXTERNAL RESEARCH. THE DOCUMENT CONTAINS BOTH SHORT
NOTES AND A RESPONSE EXAMPLE FOR EACH QUESTION. STUDENTS ARE
THEREFORE ADVISED NOT TO COPY AND PASTE BUT USE THE DOCUMENT AS A
RESEARCH GUIDE THAT WOULD HELP THEM DRAFT THEIR OWN FINAL COPIES.




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,MNG4804 2025 ASSIGNMENT 2 2025 MNG4804 2025

Contents

Introduction ................................................................................................................ 3

QUESTION 1: PERFORMANCE OF AFRICA`S FINANCIAL MARKETS ............... 3

QUESTION 2: FINANCIAL MARKET EFFICIENCY VS BUSINESS
DEVELOPMENT..................................................................................................... 8

QUESTION 3: RELIGIUS BELIEFS...................................................................... 13

QUESTION 4: INTERNATIONAL STRATEGIES .................................................. 16

Conclusion ............................................................................................................... 19

References ............................................................................................................... 20




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, MNG4804 2025 ASSIGNMENT 2 2025 MNG4804 2025

Introduction

Firms venturing beyond their domestic markets into the complex global arena must
carefully devise international strategies to navigate the myriad challenges and
opportunities presented by diverse national environments. The fundamental drivers
shaping these strategic choices are the pressures for cost reductions and the
pressures for local responsiveness. The former compels firms to minimize unit
costs through economies of scale, learning effects, and location economies, often by
standardizing products and processes globally. Conversely, the latter demands that
companies adapt their products, marketing, and operations to cater to distinct
consumer tastes, preferences, distribution channels, and government regulations in
different countries. The interplay of these often-conflicting pressures leads to four
primary international strategic postures: the global standardization strategy, the
localization strategy, the transnational strategy, and the international strategy.
Each strategy offers a unique balance of cost efficiency and local adaptation, with its
own merits and optimal circumstances for application, ultimately aiming to enhance
profitability and profit growth in the highly integrated global economic system.
Understanding these strategies is crucial for managers seeking to effectively compete
across borders and achieve long-term success.0717513144

QUESTION 1: PERFORMANCE OF AFRICA`S FINANCIAL MARKETS

Trace the functionality of Africa’s four largest financial markets over the past three
decades and juxtapose the performance of the markets with growth. (20 marks)

The Evolving Economic and Political Landscape in Africa

Over the past three decades, many African nations have experienced significant, albeit
often uneven, economic and political transformations (Abugre, 2020). Historically,
some countries, like Kenya, embraced ideologies such as African Socialism post-
independence, which involved a large public sector, state-owned companies, and
protectionist policies aimed at fostering self-sufficiency through high tariffs on imported
goods. While these policies initially yielded some gains, particularly in agriculture, by
the early 1990s, economic stagnation became evident.

A notable shift began in the early 1990s, with a move towards economic reform and
liberalization in several African countries. Kenya, for instance, embarked on a




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