Risk in Emerging Markets


Legal Risks

When establishing direct relationships with business partners in the emerging markets decision makers need to be aware of the risks linked to the choice of jurisdiction,the applicability of international laws and the enforceability of rights. As Germany based general trading and export company, we act as an intermediary that compensates these complexities.

Financial Risks

Fast, if not rapid, institutional and social change is the defining characteristic of emerging markets. This results in greater volatility of their financial markets and increased currency risks.

Further complexities, when dealing with partners in the emerging markets, are linked to the problematic execution of financial due diligence.Screening potential business partners may be extremely burdensome, due to less underdeveloped financial reporting standards and a lack of credit report institutions.

To realize business transactions with our partners in the emerging markets we can on an informed approach to financial management, reliable sources of information and trustworthy business relations, which we have been nurturing for decades.

Operations Risk

To manage operations in the emerging markets effectively, it is crucial to take into account the potentially greater transport risks, a higher risk of delays and damages etc.When executing deliveries and purchasing activities we take into account the infrastructural characteristics, the differing availability of transport and fulfillment agents as well as cultural factors.(N.B. Logsitics)