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Analyzing Business Conditions In Spain And Swot Analysis Of A Singapore Company.

1978 words - 8 pages

IntroductionCompany Profile: Eubiq Pte LtdDuring the year 2000, Eubiq has successfully invented and patented a power outlet system that will revolutionize the conventional power outlet system that is being employed by many currently. Their invention is a track-based, ultra flexible power outlet system which can be widely used in residential, commercial and industrial sectors (Eubiq Pte Ltd: Company profile 2007) Eubiq recently won a Bronze award from IDEA'08 (International Design Excellence Award) and its design and innovation was announced in the July edition of BusinessWeek both in print and online. (Nussbaum 2008, 151)(Industrial Designers Society of America .n.d.) The patented GSS ™ (Ground Shutter System) from Eubiq is a brand new standard of electrical power and data outlet system which allow power points to be added, repositioned and or removed by a simple push and turn. The GSS™ System has incredible flexibility, which will allow the rooms furniture and design layout to not be handicapped by the placement of the currently installed stationary power outlets. Eubiq is a Singapore-based company which has a 52,000 square-feet plant with five office floors and three more dedicated for production which can produce approximately 100,000 to 150,000 meters of Power Tracks and 300,000 to 400,000 pieces of adaptors and accessories per month. (Our Facilities: Singapore Plant 2007)An image of the complete GSS™ system (GSS ™ Features: the Complete System 2007)Analysis of Business conditions in SpainPolitical EnvironmentSpain is under parliamentary monarchy, with King Juan Carlos I as head of state. The ruling party is currently the Spanish Socialist Workers' Party (PSOE) lead by Prime Minister, José Luis Rodriguez Zapatero, the party recently won a second term (Socialists take big lead in Spain election 2008). It has a considerable stable government with low political risk involved as seen from the image below; however, they did not managed to secure an absolute majority, the popular party took second with 40.3% of votes and 153 seats (Socialists win Spanish Elections 2008),and it will be harder to pass legislations within the government.LowHigh risksAn image of Political Risk in Spain for export transaction by Ducroire Delcredere(Risk Assessment by Ducroire Delcredere SA.NV 2007)Legal EnvironmentThere is a corporate income tax of 35% for Spanish resident companies and a 25%withholding tax on income for non-resident companies. The income tax (residents) is subjected to individual's income brackets of a maximum of 45%, Patrimonial tax is at a maximum of 2.5%, non-resident will pay Capital Gains Tax (CGT) at 35% and residents will pay at 15%. (ICL Directory .n.d.). As of January 2007 the standard value added tax (VAT) rate is 16%.Exported products not from EU are subjected to custom duties that are calculated Ad valorem on the CIF value of the goods, in accordance with the Common Customs Tariff.(Country Profile: Spain...

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