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COUNTRY OF ORIGIN

Morocco
Geographical Location:
Northern Africa, bordering the North Atlantic Ocean
and the Mediterranean Sea, between Algeria and
Western Sahara.
SOME BASIC INFORMATION
MOROCCO POPULATION:
The total population in Morocco was last recorded
at
32.3 million people in 2011 .
MOROCCO GDP:
The Gross Domestic Product (GDP) in Morocco was
worth 100.22 billion US dollars in 2011.
Export commodities:
Clothing and textiles, electric components,
inorganic chemicals, transistors, crude minerals,
fertilizers (including phosphates), petroleum
products, citrus fruits, vegetables, fish.
 Export Partners:
 France 19.7%, Spain 18.2%, India 6.2%, Brazil 5%, US 4.6%
(2011).
 Import commodities:

Crude petroleum, textile fabric, telecommunications


equipment, wheat, gas and electricity, transistors,
plastics.
Imports Partners:
France 13.6%, Spain 11.2%, US 8.6%, Saudi Arabia 6.8%,
China 6.5%, Italy 5.1%, Russia 4.7%, Germany 4.4% (2011)
 Morocco Inflation Rate :
 The inflation rate in Morocco was recorded
at 1.80 percent in October of 2012. Inflation
Rate in Morocco is reported by the Bank Al-
Maghrib. 
COMPARATIVE ADVANTAGE:

  
 Fertilizers (including phosphate)
 
BEST PERFORMING COMPANY
 Office Chérifien des Phosphates (OCP) is
the national Moroccanphosphates company.
It is the world's biggest exporter of
phosphates and derivatives.
 The OCP Group, a state owned corporation
founded in 1920 and headquartered in
Morocco , OCP activities cover the entire
phosphate value chain, from phosphate rock
mining to chemical processing of phosphoric
acid and fertilizers.
COUNTRY OF DESTINATION:
Tanzania:
Country in the world map:
Eastern Africa, bordering the Indian Ocean,
between Kenya and Mozambique.
BASIC INFORMATION
 Tanzania Population: 
The total population in Tanzania was last
recorded at 46.2 million people in 2011 .
 Tanzania GDP :
The Gross Domestic Product (GDP) in
Tanzania was worth 23.71 billion US dollars
in 2011.
 Tanzania Inflation Rate:
The inflation rate in Tanzania was recorded
at 12.10 percent in November of 2012
 Imports commodities:
 Consumer goods, machinery and transportation
equipment, industrial raw materials, crude oil and
fertilizers.
 Import Partners:
 India 18.8%, China 17.4%, South Africa 6%, Kenya
5.9%, UAE 4.7% (2011).
 Export commodities :
 gold, coffee, cashew nuts, manufactures, cotton
 Export Partners :
 China 14.3%, Japan 7.8%, India 7.8%, Germany 6.7%,
UAE 4.5% (2011).
ASSESSMENT OF THE COUNTRY
USING PESTLE FRAMEWORK :
 Political:
 Socio-economic:
 Legislative:
 Environmental:
MODE OF MARKET ENTRY IN RELATION TO THE
DEGREE OF INVOLVEMENT
Mode of market Resources required Market specificity of Degree of
entry for commitment commitment involvement
Green field Very high High 9 highest

Acquisition Moderate to high High 8

50:50 joint venture Moderate High 6

Export subsidiary Moderate Moderate 4

Direct to customer Low to moderate Low 3


export
Export via agent Low Low 2
distributor

Licensing/Franchisin Very low Very low 1(lowest )


g
MODE OF ENTRY
 Green field investment :The preferred
mode of entry of FDI into Tanzania is green
field investment through sole venture.
TRADE POINT
 Casablanca :is Morocco's largest city as well as its
chief port.The Port of Casablanca is one of the
largest artificial ports in the world, and the largest
port of North Africa.Casablanca is considered the
economic and business center of Morocco.
 Dar es Salaam: is the largest city in Tanzania. It is
also the country's richest city and a regionally
important economic centre. Dar es Salaam is
Tanzania's most important city for both business
and government.
 The Distance between Casablanca and Dar es
salaam: 6668.79 kilometer.
WHY SELECT TANZANIA
 Agricultural country: 85% contribution to GDP
 Fertilizers only imported by Trading companies
 No Government subsidies on fertilizers(High Price)
 PEST Analysis: Country suitable for investment
WHY SELECT TANZANIA
 Gas and Oil Resources: Low cost of factors of
production
 Low labor cost
 Free trade agreements with neighboring
countries for export of extra fertilizer.(no
duties)
 Free Trade Zones for foreign investment
(very less barriers for entry into market)

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