Global corporate marketing strategies Essay Example | Topics and Well Written Essays - 2000 words

Global corporate marketing strategies - Essay Example RBS has taken this formidable step as many international banks are focusing on Chinese security market for growth. RBS’ is entering the Chinese banking sector with a vision to bring European, US and British companies to China, and allow the investors to gain access to equities and debt of the foreign companies (ICFAI. 2011). China’s entry into World Trade Organization (WTO) in the year 2001 has raised the entry barrier of the overseas investors leading to a flow of investment in the securities and financial market of the country. The banks in China have to operate using the global operating standard in terms of accounting and corporate governance reforms. The large commercial banks like RBS need to follow an increased disclosure requirement in the auditing standard in order to be able to list in public. Recently, riots in China have created an unstable political condition. This has led to foreign companies becoming apprehensive about investing. However, strict measures have been adopted by Chinese Government to restore a safe environment for the investors in the country. The Chinese economy which was reformed and was transformed into a market oriented one since 1978. This economic reform has helped in promoting an environment which has positively affected the individual initiatives and entrepreneurship. The economic condition of China has reduced poverty and has boosted the per capita income of the people to the highest level (Kuijs, 2012). In 2010 China was ranked as the country having second largest economy in the world. For the past 26 years the average economic growth has been sustained at the rate of 9.5% indicating the economy of the country is on rise (Davila, n.d.). The higher economic growth and the national income reflect the feasibility which RBS is seeking in the country for expansion. The country’s present banking industry is worth 14 thousand billion in assets. The following graphs show the GDP growth in China and how the

Role of the US Financial System Essay Example | Topics and Well Written Essays - 750 words

Role of the US Financial System - Essay Example The financial system consists of two types of markets: the money markets and the capital market. The money markets are financial assets with a maturity date of one year or less. The most influential of all money market instruments which provides liquidity to the system are treasury bills. Treasury bill are 90 day maturity short term bills which pay the investors a modest interest rate for of approximately 4-5% for borrowing money to the government (Jsj, 2007).. Treasury bills are sold in the public market by investors and are considered a risk free proposition for investors since the assets is guaranteed against the US treasury reserves. The government along with the federally issued T-bill also sales other types of financial instruments in the money and capital markets. The government sells a lot of government bonds in order to finance governmental expenses such as making infrastructure improvements, capital projects, and cover emergency expenses among other uses. Bonds are sold by the federal, state, municipal government, and state agencies to acquire funds to finance their operations. The capital market takes place in stock exchanges around the world. The United States has many stock exchanges including the world most powerful exchange called the New York Stock Exchange. Another powerful exchange is the over the counter market of NASDAQ. In the stock market industry there have been a lot of mergers between international exchanges joining forces to gain power. In the floor of the stock exchange the brokers make purchases and sales of common stock, preferred stocks, futures, options, bonds among other types of financial instruments immediately after a client places an order. The stock market and the exchanges in which activity takes place are an economic market structure that is considered a perfect competition. In a perfectly competitive market the market reacts to new information immediately and