Capital Markets: Domestic And International Essay

4527 words - 18 pages

Capital Markets: Domestic and International

Capital markets involve two parties in the midst of a financial process. There are domestic markets (markets in the US) and there are foreign markets (international such as Japan and China) that investors put much faith in. The term capital market is the market for securities and where companies and governments raise long-term funds, usually longer than a year. The market itself includes the stock market and the bond market. The capital market also includes the primary market (new issues are distributed to investors) and the secondary market (current claimed securities are traded). Without a financial market in place, borrowers would have much difficulty finding lenders themselves.
Capital markets promote and keep capitalism alive. The markets are a critical piece to may country’s economies and the bigger the markets the more potential for economic growth. It allows for consumers and businesses to have a share in the nation’s wealth. The availability of several ways to raise money needed is attractive because they can continue to strike into new sources of money over time. The goal of the markets is to increase investor confidence by more active participation. The markets require a free flow of information to run smoothly and efficiently and the internet can be used for up-to-the minute trade information.
According to Wikipedia,
The capital market is the market for securities, where companies and governments can raise long term funds. The capital market includes the stock market and the bond market. Financial regulators, such as the U.S. Securities and Exchange Commission, oversee the capital markets in their designated countries to ensure that investors are protected against fraud. The capital markets consist of the primary market, where new issues are distributed to investors, and the secondary market, where existing securities are traded. (Wikipedia, 2008)
Domestic Market
Most stocks in the US are traded on exchanges where buyers meet up and decide on prices. Some exchanges are physical while the others are virtual. The most impressive and notable exchange in the world is the New York Stock Exchange or NYSE. It was founded in 1792 when the Buttonwood Agreement was signed by 24 New York City stockbrokers and merchants. The most elusive and largest companies in America choose to trade with the NYSE.
The NYSE was the first exchange where trading is done face-to-face on the floor. There is a trading post where there is a specialist who has the job to match buyers with sellers. Prices are then usually determined using...

Find Another Essay On Capital Markets: Domestic and International

Capital Markets and Investment Banking Process

1663 words - 7 pages PAGE Investment Banking PAGE 1 Capital Markets and Investment Banking ProcessAugust 7, 2006An investment is the current commitment of money or other resources in the expectation of reaping future benefits. The time committed to reading the textbooks is an investment. I may or may not benefit from the readings so I am investing my time. I could very well be wasting my time if I do not study and do well with this course. The cost of about $1500

Domestic and International Sources of Financing

1133 words - 5 pages Domestic and International Sources of Financing There are several private and public sectors that offer financial assistance for global business enterprise. Denim Trends will enlist financial professionals that understand global business and Denim Trends operations. Hiring financial professionals with a good understanding and knowledge of domestic and international financing will assist Denim Trends in dealing with organizational risk. Denim

International and Domestic Students Sojourners at College

1356 words - 5 pages student sojourners are foreign people who are enrolled in colleges and universities away from their home country; usually they have a temporary student visa and do not speak the host culture’s language (Snow 134). Domestic student sojourners are local or resident people relocated in a new place inside their home country and who are attending a higher education institution. International and domestic student sojourners usually face problems such as

International and Domestic Marketing Comparison Paper

790 words - 3 pages Comparison Paper PAGE \* MERGEFORMAT 1 Running Head: INTERNATIONAL AND DOMESTIC MARKETING COMPARISON PAPERInternational and Domestic Marketing Comparison PaperUniversity of PhoenixMKT 450Denny FrischkornMay 2, 2010International and Domestic Marketing Comparison PaperThe marketing environment consists of actors and forces outside the organization that affect management's ability to build and maintain relationships with their target customers

Implications For International Firms In Emerging and Developing Markets:

1939 words - 8 pages developing market host economies in which these firms must implement strategies in order achieve business success in these markets. When analysing international business operations it is evident that economic differences between domestic and foreign environments impose many implications for international firms doing business in these emerging markets. The economic environment of these emerging economies is of a transitional nature, in which

International Business Environments: Learning Goals, Simulation Markets, and Teamwork

2180 words - 9 pages within Europe. The target market's culture affected the consumer preferences such as powder vs. liquid, performance vs. care, big boxes vs. compact, and even the color of the detergent. The cultural differences between the Italian and Spanish consumer markets caused great concern for Henkel, but as a cross-cultural business, they had to adapt (Arnold 2003).1.2 GlobalizationFurthermore, I also learned how significant globalization is and how we

International and Domestic Marketing Comparison: Bulgaria and the United States

1076 words - 4 pages Trade on an international level has increased over the past decade and continues to increase today. There are many companies who do both domestic and international marketing, and many foreign companies that operate in the United States (US) domestic market today as well. When a business decides to operate on an international level, there are several factors that must be taken into consideration. The purpose of this paper is to examine those

MKT/450 - International and Domestic Marketing Comparison Paper

1504 words - 6 pages markets. While tapping into international markets has its rewards, companies need to be aware of the differences in marketing and advertising in international markets compared to domestic markets.When companies decide to take a product and market that product in the international markets, the marketing strategy must be specifically tailored to each market. Knowing that the environment in which the product will be advertised and sold will be

Distinguishing the Difference in News Coverage among International and Domestic

3662 words - 15 pages Distinguishing the Difference in News Coverage among International and Domestic Images Not Included Identifying a Variance in News Coverage It became evident throughout our investigation that separating domestic news source sites from international news source sites would be beneficial in addressing our question of the variance in coverage among these news sources when identifying natural disasters throughout the world. With the objective

Combining Wealth and a Passion for Capital Markets in My Career

954 words - 4 pages Two factors have defined my career so far: struggle to overcome my family’s abject poverty and passion for capital markets. And interestingly, both have spawned long term goals, which seemed disparate, until recently; while I have embarked on a course to become a financial whiz, substantial success in emerging from poverty has kindled my hankering for rural India’s uplift. However, having worked in the financial industry for last 2 years, I

A marketing analysis (international and domestic) regarding a wooden furniture in Pakistan.

839 words - 3 pages set.With flourishing of tourism and hotel industry, considerable scope emerges for wooden furniture in this sector.Potential MarketOur opportunities for this project lay in the international and domestic market. Throughout the marketing research we have obtained it seems that both of the markets show a great overall potential.Going into the market will show dramatic increase in company's profits margin, if planned well, and launched during spring and

Similar Essays

Market And International Markets Essay

4274 words - 17 pages American market and international markets? Loctite's acquisitions of its international distribution are driven in the most of the cases by the slow sales growth. Once a distributor establishes its business and its market share, it gets satisfied with the margin of the sales, and many times do not reinvest its profits in the business. It generates neither a higher growth nor a raise in the market share. Some distributors do not allow

Domestic And International Marketing Plan Essay

868 words - 3 pages purchased from Lakewood, Bridge Logos Publishers, KCM and several others. Coffee Break will also advertise in Urban Harvest Organic Farmers Market's and International Coffee Organization to get the word out.Price Strategy (International and Domestic)Coffee beans and ingredients for premium coffees at $75 (3/4 shopping bags/week) or $150 (1 1/2 shopping bags/week) from Urban Harvest Organic Farmers Market's. Both Markets will cost Coffee Break over

International And Domestic Marketing Comparison Essay

1458 words - 6 pages University of PhoenixMKT 450/International MarketingJune 16, 2009IntroductionIn today's world, business is commonly acknowledged as international and the general expectation is for this to continue into the foreseeable future. As the world continues to venture into global markets, not limiting business transactions to domestic markets, it is important to understand the similarities and differences of conducting business in those markets. The

Capital Markets And Investment Banking Process Paper

1306 words - 5 pages Capital Markets and Investment Banking Capital Markets and Investment Capital Markets and Investment Banking Process Paper Sidney Jones University of Phoenix FIN 402 Investments Fundamentals and Portfolio Management Instructor: Sal Sadiq June 7, 2010 A company working toward elevating the funding via initial public offering (IPO) could nominate investment bank