Gordon Banks Ltd.
Gordon Banks Ltd is a large size engineering business, in the field of petroleum refining. The firm has in the late 90s and early 2000s seen a tremendous growth, which has put us in a position where we can expand outside Western Australia, and look abroad.
This report will discuss the different aspects of Sri Lanka, and give a recommendation on the feasibility of starting up a business there.
The Democratic Socialist Republic of Sri Lanka, formerly know as Ceylon is located south east, just off the shores of India. The island is 66,000 sq.km and is inhabited by 19 million people. The majority of the people are Sinhalese, which makes up 74% of the population, most of which is Buddhists. The largest minority is the Tamils; they account for 18% of the population and are primarily Hindus. The moors are the second largest minority, populating 7% of the population, primarily Christian, and descendants from Europeans.
Although Sri Lanka has come very far in many social fields, such as literacy, life expectancy and infant mortality, the generating of economic growth is making slow process, at least compared to the social progress of Sri Lanka.
In 1977, Sri Lanka "abandoned statist economic policies and its import substitution trade policy for market-oriented policies and export-oriented trade."(CIA World Fact book) This has seen the country shift from relying on agricultural produce for export, to an increased services and manufacturing sector. Over half of the GDP generated, comes from the service sector.
'The agricultural sector, although it is decreasing, is still responsible for 20% of the national output, and it employs over one third of the workforce' (Australian Government Department of Foreign Affairs, 2004).
The public sector in Sri Lanka is large. The state controls or dominates...