Siam Canadian Food Company Limited is a brokerage business based in Bangkok, Thailand. At this time the owner, Jim Gulkin, is looking to expand his business by investing in the seafood industry within Burma. The quandary he faces is whether to investment in Burma now with the current situation, wait and invest in Burma later, or do not invest in Burma at all. The major factors that are influencing this business decision are the political governance, the under development of the Burmese economy, and the geographic uncertainties within the country. After examining and reviewing all of the advantages and disadvantages, the best solution to Jim Gulkin’s predicament is the “wait and see” approach. This resolution will be the best way to minimize the company’s risk, maximize their profit, and still allow significant growth to Siam Canadian Food Company. Problem Statement:
Jim Gulkin, the founder and managing director of Siam Canadian Food Co. is considering a business investment in Burma which would allow him to expand the frozen seafood side of his business. The dilemma he faces is deciding whether to invest in Burma now with the current political, economical, and geographical uncertainties. Analysis:
Siam Canadian Food Co. Ltd. is a brokerage business based in Bangkok, Thailand. The company’s purpose is to identify oversea customers and to negotiate sales with them on behalf of food processors in Thailand. Siam deals with an extensive assortment of frozen, canned, and dehydrated products that include: frozen seafood, frozen poultry, canned and frozen fruit, canned and frozen vegetables, dehydrated fruit, and, lastly, juice concentrates. The company was founded in April, 1987 and first achieved profitability in 1991, and has continued to be profitable ever since. That same year Jim Gulkin’s exporting operations have expanded to Vietnam and Ho Chi Minh City. By 1995, the Siam Canada Food Co. Ltd. trading volume was estimated to be $85...
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