Market Potential Index Of The International Market

Introduction
Globalization trend has increased over the last few decades given the importance of the international marketing and globalization. Developing marketing strategies to enter international markets is becoming challenging and a complex process given many choices exists across the world. Having Market Potential Index for emerging and other markets is necessary for a successful business venture or expansion to a foreign land (GlobalEdge, 2014)
Market Potential Index
According to Tunga, Kocas, and Kunnathur (2014), Market Potential Index for emerging markets is defined as a methodical and detailed analysis for emerging countries, aggregate market potential parameters and ranks them. Last year, 87 countries have been ranked for Market

Eight key dimensions used for developing the indexes which are based on the market parameters representing the potential country score on a given scale.
Indicator used in developing the Index
Following are the eight key indicators used to determine the Market Potential Index for the emerging and other markets (Hemmerling, n, d). These eight dimension measure the performance objectively with credible, reliable and quantifiable information that were identified.
• Market Size is one of the first indicators that global EDGE weights. Urban population of the country and the amount of electricity consumption of the retail and commercial establishment lays the foundation of the market size indicator. Any growing market will show the upward trend in the consumption and product demand. The market growth is determined using current year data along with historical average for five years.
• Market Intensity is determined by blending 2 important statistics. The first one is using countries gross national income divided by total population and the second one is the total domestic product that consumed by the country 's private

Infrastructure such as telecommunication lines, computers, internet bandwidth, television, and the density of the road for transporting people, people per retail outlet, goods and heavy equipment determines saturation and availability of Commercial Infrastructure
• Country Risk indicator calculates the return on the investment risk factor for the emerging economic countries in the globe. By translating many investments and the political environment into measure allows calculation of the country risk indicator. By looking at local conditions objectively that varies region to region or with in in the countries, country risk is measured uniformly across the globe.
• Market Receptivity indicator provides indication of how much imports country is willing to try new products in relation to countries gross domestic products. Not all the country produces all the products that are consumed with in the country. Some countries consume heavily on imports which they do not have as natural resources and other countries produce them plenty