Global arena.com introduced case study capability on its website with an in-depth analysis of business location alternatives
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Global arena.com introduced case study capability on its website with an in-depth analysis of business location alternatives

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The case study capability utilizes a new dynamic and intuitive web interface to enhance the customer experience. The announcement of the introduction of case study capability on......

The case study capability utilizes a new dynamic and intuitive web interface to enhance the customer experience. The announcement of the introduction of case study capability on http://www.global-arena.com extends the company’s business location ranking methodology that was initially developed at the University of Ghent. The new case study capability enhanced economic data and leverages a new ability to broaden the way locations to compare are selected.

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  • 1. Global-Arena.com Introduced Case Study Capability on its Website with anIn-depth Analysis of Business Location AlternativesThe case study capability utilizes a new dynamic and intuitive web interface to enhance thecustomer experience. The announcement of the introduction of case study capability onwww.global-arena.com extends the company’s business location ranking methodology that wasinitially developed at the University of Ghent. The new case study capability enhancedeconomic data and leverages a new ability to broaden the way locations to compare areselected.(PRWEB) August 29, 2011 -- Enhanced functionality and dynamic interaction is now available on www.global-arena.com to assist organizations in making decisions about where to locate a business facility. Global Arena,based in Zurich (Switzerland), makes it easy for its users to evaluate and compare business locations byproviding all relevant information in one place.All business, large or small, crosses geographic boundaries. No matter how many emails, tweets, andconference calls are written, read or heard, it will always be necessary to have a physical business location invarious parts of the world. In fact, reviewing location decisions is a continuous activity. Evaluation of businesslocation alternatives obviously occurs when a company thinks about expansion. In addition, M&A activitycauses reexamination of the combined location portfolio, cost structure changes result in movement of factoriesor shared service facilities. National or local taxation changes impact existing or planned offices. Businessenters new markets or different parts of the world. In short: evaluation of location options is an on-goingprocess.Except for the occasional political issue, organizations generally want to use fact-based, objective criteria tomake a location decision. This is not easy. At a high level, Information needed to rank candidate locationsmight include: local labor costs, labor productivity, employment costs (e.g mandated social contributions),corporate income tax rates, employee availability, educational resources, workforce flexibility, political stabilityand Infrastructure quality. There is no single source for this data. Moreover, even when a source is located, it isalways necessary to validate accuracy and consistency. Finally, once the data has been collected, there is nostraightforward way of objectively ranking locations across multiple dimensions.A multivariate statistical model was developed at the University of Ghent to help businesses make objectivebusiness location decisions. It relies on 3rd party data series and statistical correlation and analysis to create acomparative analysis of business locations. At the recent Annual Investment Meeting (AIM) that took place inthe United Arab Emirates, this model (now owned by Global Arena AG of Zurich) was used to analyze thecomparative advantages of a mix of developed and emerging economies.Global Arena’s newly announced enhancements have extended the model with several additional data sourcesthat are utilized to compare and contrast a varied set of potential locations. The results of this new case studycapability can be experienced on the Business environment analysis "Human capital driving high growthcountries".Business Location DecisionsPRWeb ebooks - Another online visibility tool from PRWeb
  • 2. The Business Environment analysis “Human Capital driving High Growth Countries”, carried out by Global-Arena.com with the sponsorship of PwC and CLS Communication, compared the following countries asbusiness locations: Azerbaijan, Germany, Georgia, Hong Kong, Netherlands, Malaysia, Poland, Qatar,Romania, Saudi Arabia, Singapore, South Africa, South Korea, Switzerland, Turkey, United Arab Emirates,United Kingdom.The locations were compared against 11 location factors: Labor market cost Labor productivity EducationLabor Availability Labor Market Flexibility Socio-political stability Environmental performance Corporate taxrate Business riskBusiness hub DNA Ease of doing businessThe model allows the user to determine the relative importance of the location factors. In the simplest case, allfactors are weighted equally.A country scoring 50% (in this case South Africa) finishes in the middle of the locations being compared. Theanalysis shows a clear advantage for the developed economies in general. However, the model is flexible, it canbe used to see if the results are robust – i.e. do same countries continue to perform well when the relativeimportance of the evaluation factors are changed. Several such scenarios are depicted below.* The Knowledge-based EconomiesOne alternative was based on PwC’s 14th Annual Global CEO survey “Growth re-imagined”). It indicates thatas global companies transition to a knowledge-based economy, they place increased emphasis in the areas oftalent and innovation. Moreover, this transition is already underway. The model was used to focus attention ona location’s performance in talent and innovation by increasing the relative importance of factors most relatedto talent: Talent Supply, Labor Productivity and Labor Availability while simultaneously deemphasizing allother factors.The results show a stunning improvement for South Korea. In fact, under these conditions, South Koreabecomes the highest ranked location. There were also substantial improvements made by Poland, Turkey andRomania. These locations rated well because they have a combination of low labor cost, reasonableproductivity and a focus on tertiary education.* The Governance factorsThe items that are important factors in making a business location decision will vary depending on theobjective. A company that wants to build a call center will naturally focus on labor costs, labor availability andeducation – which makes it easy to understand the attractiveness of India (and now China and The Philippines).There will be a different set of priorities if the company wants to establish a regional headquarters site. During ameeting that I had with the CEO of a very large technology company, I was told that “we will never locateanything in France, it is impossible to get out”. The most important factors for his decision were labor marketflexibility, gateway capabilities and political stability. When those factors are emphasized, Singapore,Switzerland and Hong Kong are very highly rated. Page 2/4If you have any questions regarding information in these press releases please contact the company listed in the press release. Our complete disclaimerappears here - PRWeb ebooks - Another online visibility tool from PRWeb
  • 3. What mattersBecause the Global Arena ranking model is very flexible, visitors to the website have the ability to adjust therelative importance of the economic factors that are used to compare locations. The newly announced casestudy technology is intuitive and dynamic.No company will decide on business investments solely on the basis of a statistical model. Not only dopotential locations go to extreme lengths to attract investment, there are often good reasons to overrideobjective analysis. For example, China is currently offering nice incentives to companies that agree to establishfactories in the interior; these incentives could outweigh the advantages of being in a business hub likeShanghai or Beijing.In spite of these considerations, the model can and should be used to objectively identify a short-list ofcandidate locations.The results of the model depend on the data fields that are used in the study. The raw data results must beconsistently defined and determined for each location, thus it is important to use a single 3rd party provider foreach data series. To cater for this requirement, Global Arena uses data from organizations like the World Bank,the World Economic Forum, the United Nations, PwC and others.For details, please explore the Business Environment Analysis: Human Capital driving High Growth Countries.About Global-Arena.comGlobal Arena is based in Zurich, Switzerland. The company makes it easy for its users to evaluate and comparebusiness locations by providing all relevant information in one place. The company helps people andorganizations identify growth opportunities and understand business environments in the global economy. TheGlobal-Arena.com platform is unique because it connects visitors directly with business locations that arerelevant for their business and shows all the capabilities the location has to offer. For further information, visitus at http://www.global-arena.com/en/about-global-arenaFor more information, visit us at http://www.global-arena.com### Page 3/4If you have any questions regarding information in these press releases please contact the company listed in the press release. Our complete disclaimerappears here - PRWeb ebooks - Another online visibility tool from PRWeb
  • 4. Contact InformationDan MartinGlobal-Arena.com AGhttp://www.global-arena.com+41 44 503 9550Online Web 2.0 VersionYou can read the online version of this press release here. Page 4/4If you have any questions regarding information in these press releases please contact the company listed in the press release. Our complete disclaimerappears here - PRWeb ebooks - Another online visibility tool from PRWeb