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February 27, 2013

COUNTRY EVALUATION INDONESIA & VIETNAM

Based on the criteria mentioned be broken we developed a farming evaluation on Indonesia and Vietnam. We managed to create conclusion based on the factors below on which country would be best for Volkswagen to initiate in a new factory. We based our conclusion on the following factors:
The labour costs (Appendix)
The tax level (especially bodily taxes) (Appendix)
The stability of the exchange rate
The social and/or political stability of the country
The corruption in the country

refinement table country evaluation.
IndonesiaVietnamResults
grok costs.-+Vietnam
Tax level.+-Indonesia
Stability exchange rate.-+Vietnam
Social/Political stability.+-Indonesia

Corruption.-+Vietnam
ConclusionVietnam

If Volkswagen wants to start a new factory in any Vietnam or Indonesia they need to consider a few factors. The instruction for those factors is mentioned above.

At first the labour costs need to be taken into consideration. They entrust be needing employees with non to a higher education. Although they will need much more none or low meliorate employees and just a few higher amend employees. We can draw the conclusion that the labour costs in Vietnam are much lower than in Indonesia.

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This is the case for both(prenominal) higher educated employees and none or low educated employees.

Based on our research it came out that for corporate taxes Indonesia is advance to invest since its tax rates vary from 10%-30% magic spell those of Vietnam vary from 1-50%. Same goes for Income taxes, Indonesia is better because they vary from 5-35%, while in Vietnam they can vary for as much of 0-70% depending on the situation.
For the VAT, Indonesia comes out on top. Both have a regular flat 10% rate, but unlike Indonesia which has 0% on vital goods, Vietnam has a 5% VAT rate on those goods. Overall Indonesia seems a better environment to invest in, in the context of taxes.

The third thing that Volkswagen needs to take in consideration is the stability...If you want to get a full essay, target it on our website: Orderessay



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