Business environment: Is the business environment conducive to a successful entry and expansion strategy?
Acknowledging the complexities associated with a territory’s laws and regulations, including its political and economic stability
Regulations & tax structure - Key considerations:
- What are the main direct and indirect tax considerations one has to be aware of in this sector?
- What licenses/ approvals do you need to do business in a new market?
- What tax incentives might you be eligible for?
- How should you best structure yourself in order to be able to take profits out?
Institutional landscape - Key considerations:
- Is the institutional and judicial landscape in the country supportive to operating in the country?
- What powers do federal and state institutions have?
- How do these interact with one another?
- Are there gaps in the legislation that you normally rely upon (e.g. Corrupt Practices Act)?
- Do major institutions protect foreign investors’ interests? Can the judiciary be fair and unprejudiced in case of a dispute?
Country & strategic risk - Key considerations:
- What are the political and economic risks in entering and doing business in the country?
- What is the political situation and how might it affect growth in your sector (e.g. elections)?
- What is the future economic growth outlook?
- How do you deal with the existing corruption and nepotism?
- Where does the country rank in ease of doing business?