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Country Evaluation and Selection

The country evaluation and selection process determines the geographical opportunities firms choose to pursue. We research and analyze the challenges of marketing and production site location. We go on to carefully examine the process by describing the choice and weighting of variables used for opportunity and risk analysis as well as the inherent problems associated with data collection and analysis.

We then introduce the use of grids and matrices for country comparison purposes, examine resource allocation possibilities, and determine different factors considered as part of start-up, acquisition and expansion decisions.


To examine most or all countries broadly and then narrow them to the most promising ones.

Limit the final detailed feasibility studies to a manageable number of those that appear most promising.

Tools and Techniques
~ Location Analysis
~ Market Research and Visits

To consider country conditions revealing both opportunities and risks that could significantly affect success or failure.

Determine variables weighing heavily on the selection of market and production sites and decide whether to invest in a country with high economic and political risk ratings.

Tools and Techniques
~ Factor-proportions
~ Imitation Lag

To reduce uncertainties in decision processes, to expand or narrow the alternatives and to assess the merits of existing programs.

Uncover and/or understand the big picture by using the data to describe the phenomenon and what this means.

Tools and Techniques
~ Exploratory and Confirmatory Approaches
~ Statistical Methods
~ Content Analysis

To analyze the information those collected on possible locations through scanning.

Continuous updates regarding external conditions that might affect firms operations there.

Tools and Techniques
~ Grids
~ Matrices

To narrow-down alternatives and allocate operational emphasis among countries.

Final decision where to invest or re-invest or divest.

Tools and Techniques
~ Alternative Gradual Commitment
~ Geographic Diversification versus Concentration



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