Performance of foreign banks in Emerging Markets (A case of Barclays Plc. in Africa)

Topic 

Performance of foreign banks in Emerging Markets (A case of Barclays Plc. in Africa)

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This is paper on the performance of foreign banks in Emerging Markets (A case of Barclays Plc. in Africa)

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The performance of the multinational enterprise in emerging markets is taken as a dipstick as to how ready the market is for exploration by other firms in similar industries. With a stock market that is not well developed, sub-Sahara Africa needs the injection of capital by multinational enterprises through foreign direct investments so as to develop the industries and create employment while making profits in the process. When a large renowned corporation that has been in a particular market for generations decide to fold up operations in the region as Barclays did, it sends fears across to the potential investors in a different field who might have wanted to venture into the particular market. This is especially serious in a period when Africa is touted to be rising and ripe for investments. This study seeks to assess the performance of the subsidiary of Barclays Plc. before the collapse of the merger comparing it to the performance of the parent firm through computing the return on equity. The economic indicators of sub-Saharan African for the same period are also assessed to put the performance and prospects of the merger into context.

Word Count: 3200