The Best and Worst Places for Ease of Doing Business
The Chart of the Week is a weekly Visual Capitalist feature on Fridays.
When it comes to supporting new businesses, not all jurisdictions are created equal.
Whether it’s the basics, like hooking up electricity and registering the business, or more complex regulatory hurdles, your location can impact the success of your venture in a big way. What makes a country business-friendly, and where are the most hassle-free places to open up shop?
The Ease of Doing Business ranking, by World Bank, breaks countries’ complex regulatory ecosystems down into quantifiable components. The resulting index and ranking system is a global look at who’s making it easy to do business, and which countries are struggling.
A Global View of Doing Business
The visualization below looks at the score (0-100) of 190 economies around the world, as well as a spread between high and low scoring factors in the subindices. While two countries may have the same score, one might have a much wider “spread” which points to outlaying successes or serious challenges in their regulatory framework.
Luxembourg, for example, ranked number one in the Trading Across Borders factor, but 173rd in Getting Credit.
Note: click the graphic below of the full list to expand to a higher resolution.
View a high resolution version of this graphic.
Of the 190 economies covered in the report, New Zealand comes out on top for the third year in a row. Singapore and Denmark round out the top three.
The United States, whose ranking has been slipping in recent years, came in at 8th spot.
This ranking offers up some surprises, such as Macedonia and Georgia, which are both in the top 10. Georgia makes it easy to start a new business, and has the lowest number of procedures to get the process going.
Afghanistan had the biggest year-over-year score increase after making big strides in enhancing the legal framework for businesses.
Rwanda is ranked at a very respectable 29th place – the only low-income economy to crack the top 50.
Building the Index
The data for the ranking is compiled from over 12,500 expert contributors in 190 countries who deal with business regulations on a daily basis. The final score is based on the average of 11 factors:
- Starting a business – Procedures, time, cost, and minimum capital to open a new business
- Dealing with construction permits – Procedures, time, and cost to build a warehouse
- Access to electricity – Procedures, time, and cost required to obtain an electricity connection for a new warehouse
- Registering property – Procedures, time, and cost to register commercial real estate
- Procuring credit – Strength of legal rights index, depth of credit information index
- Protecting investors – Indices on the extent of disclosure, extent of director liability and ease of shareholder suits
- Paying taxes – Number of taxes paid, total tax payable as share of gross profit, and hours per year spent preparing tax returns
- Trading across borders – Number of documents, cost, and time necessary to import and export
- Enforcing contracts – Procedures, time, and cost to enforce a debt contract
- Resolving insolvency – The time, cost, and recovery rate (%) under bankruptcy proceeding
- Labor market regulation – Flexibility in employment regulation and aspects of job quality
The World’s Tech Giants, Ranked by Brand Value
Tech giants and e-commerce brands are thriving—and running circles around less pandemic-proof brands.
The World’s Tech Giants, Ranked by Brand Value
The pandemic has businesses everywhere on the ropes, with many firms filing for bankruptcy since lockdowns began. Despite the uncertainty, tech giants and major digital retail brands are still thriving—and some are running circles around those that are less pandemic-proof.
Using data from Kantar and Bloomberg, a recent brand report released by BrandZ shows which tech companies are proving their worth to consumers during COVID-19 chaos. With data covering almost 4 million consumers, BrandZ also reveals that the tech sector leads the world’s 100 most valued brands in terms of financial power and consumer sentiment.
Here’s how the top 20 tech brands from the report stack up:
|Rank||Company||Brand Value (2020)||Change (%)|
|#1||🇺🇸 Apple||$352 billion||+14%|
|#2||🇺🇸 Microsoft||$327 billion||+30%|
|#4||🇨🇳 Tencent||$151 billion||+15%|
|#6||🇺🇸 IBM||$84 billion||-3%|
|#7||🇩🇪 SAP||$58 billion||0%|
|#9||🇺🇸 Accenture||$41 billion||+6%|
|#10||🇺🇸 Intel||$37 billion||+17%|
|#11||🇺🇸 Adobe||$36 billion||+29%|
|#12||🇰🇷 Samsung||$33 billion||+7%|
|#13||🇺🇸 Salesforce||$30 billion||+13%|
|#15||🇨🇳 Huawei||$29 billion||+9%|
|#16||🇺🇸 Oracle||$27 billion||+2%|
|#17||🇺🇸 Cisco||$26 billion||-9%|
|#18||🇺🇸 Dell||$18 billion||-2%|
|#19||🇨🇳 Xiaomi||$17 billion||-16%|
|#20||🇨🇳 Baidu||$15 billion||-29%|
Out of the top five tech brands, Microsoft made the biggest moves with 30% brand value growth. Other big movers in the top 20 were Instagram (owned by Facebook), Adobe, and LinkedIn (owned by Microsoft), rising 47%, 29%, and 31%, respectively.
Broken down by nation, U.S. brands are dominating tech’s heavy hitters, claiming 14 of the world’s top 20 tech brands. Chinese brands round out much of the remaining top 20, including tech entertainment and social media giant Tencent, which rose 15% in brand value since 2019.
Big Tech’s Heavyweights
Tech’s top brands are raking in billions of dollars, capturing consumer mindshare, captivating people, and comforting them during volatile months. Apple, Microsoft, Google, Tencent, and Facebook—tech’s leading contingent—have made those moves look easy during what are rough times for many world brands.
While most tech brands in the upper half of the top 20 saw significant increases in brand value, only Facebook and IBM were in decline from 2019, at -7% and -3% respectively. The biggest loss in tech’s top 20 came from China’s Baidu, which fell by -29% in 2020.
Waning consumer trust, thanks in part to the perceived misuse of personal data, is a gap that tech’s popularity alone won’t fill forever. (Following the Cambridge Analytica scandal, nearly 25% of Facebook account holders reported being “extremely” or “very” concerned about their personal data.)
Coming in at eighth place, Facebook-owned Instagram gained 47% in brand value—a huge percentage, but less than the whopping 95% growth it had in 2019.
On the whole, digital apps have been faring well during the pandemic, especially those built for entertainment, shopping, social connection, and delivery.
These brands had anticipated, even invented, the online-offline dynamics of modern life that became indispensable for survival during the lockdown homebound weeks of avoiding the contagion.
— BrandZ 2020 Global Top 100 Report
Top Brands, by Category
While the brand value growth rates of tech giants aren’t entirely immune to the effects of COVID-19, the likes of Apple, Microsoft, and Google are growing steadily, surpassed only by e-commerce leader Amazon.
With data collected into April 2020, BrandZ’s report on the world’s top 100 brands reflects multiple shifting needs and consumer concerns at a categorical scale.
While consumer affinity for e-commerce and social media brands has increased, fast food and beer brands took a hit, despite reports of increased alcohol consumption and food delivery during lockdown. It would seem then, that consumers have been valuing their tools and means of consumption.
Of the report’s 14 brand categories, only six increased in value, mostly by less than 5%. Of the top risers, six were tech brands and six were mainly e-commerce.
Other upwardly mobile brands were those in the apparel and personal care categories. Much like retail, those categories had an increasing reliance on technology to deliver their products.
The above chart shows overall categorical changes for 2020 led by retail, tech, and insurance. In the opposite corner, energy, and bank brands took the biggest hits.
Rolling with the Punches
The economic impacts of COVID-19 are undeniable. Even still, BrandZ’s top 100 brands marked a steady increase of 6% in value in 2020, compared to 7% the previous year.
This pandemic has offered up era-defining change, with tech and e-commerce seizing the day. But in a climate where nothing can be taken for granted, brands large and small are still taking their knocks.
For now, the brands that are embraced by consumers will be those that can apply a salve to the blows that 2020 keeps delivering.
Football Fever: Investing in the Beautiful Game
Football’s global appeal has boosted the game into a billion-dollar industry. How can fans and investors cash in on their favorite clubs?
Football Fever: Investing in the Beautiful Game
The very mention of football conjures up images of cheering fans from all corners of the world.
The global appeal of the game is undeniable, and it’s the strong support of fans that has propelled its growth into a multi-billion dollar industry.
Today’s infographic from Swissquote tracks how the sport has reached far and wide—even onto the stock exchange.
The Timeline of the Manchester United IPO
Manchester United is the largest publicly-traded football club in the world. The journey of its initial public offering (IPO) can be traced back almost 30 years.
- 1991: Man United floats on the London Stock Exchange (LSE)
It aims to raise £10 million, but falls short and finally raises £6.7 million.
- 2003-2005: Malcolm Glazer acquires ownership of Man United
This raises the club’s market capitalization to £790 million, and it delists from the LSE.
- 2012: Man United lists on the New York Stock Exchange
It aims to raise £62.8 million in this IPO, but surpasses this with a final raised value of £146.3 million. Interestingly, George Soros was the biggest investor in this deal, buying a nearly 2% stake in the club.
What makes a football team like Manchester United so attractive in the eyes of investors?
Over decades, a flourishing fan base from viewers to consumers has been the force behind the football industry’s success as a whole.
The Big Business of Football
FIFA, the international governing body of football, organizes and promotes all major tournaments. Its total revenue between 2015-2018 can be broken down into a few main components:
|Revenue Source||Amount||% of total|
|Broadcasting rights||€2,800 million||48%|
|Marketing rights||€1,500 million||27%|
|Accommodation and ticket sales||€600 million||11%|
|Licensing rights||€500 million||9%|
|Other revenue||€300 million||5%|
|Total: €5,800 million|
In fact, 83% of this total revenue came from the 2018 Russia World Cup alone. This was viewed by approximately 3.6 billion people—nearly half the world’s population.
The World Cup’s revenue even rivals the combined strength of the top five European clubs. How do the five major clubs make their money?
|Club||Matchday||Broadcast||Commercial/ Sponsorships||2019 Revenue|
As viewership climbs, broadcasting rights furiously grow too—presenting numerous investment opportunities in sponsorship on the pitch and on the screen.
Cashing in on Clubs
Manchester United (NYSE:MANU) set a new precedent for publicly-traded football clubs—with a market cap worth near €1.8 billion today.
Following Man United’s example, other major clubs have since gone public across Europe. As well, Asia presents an emerging opportunity as the sport’s regional popularity expands.
|Club||Stock Ticker||Mkt Cap (Jul 31, 2020)|
|🇮🇹 Juventus FC S.p.A||JUVE:IM||€1.19B|
|🇩🇪 Borussia Dortmund||BVB:GR||€511M|
|🇮🇹 AS Roma||ASR:IM||€320M|
|🇬🇧 Celtic F.C.||CCP:LN||€108M (£97M)|
|🇨🇳 Guangzhou Evergrande Taobao||NEEQ:834338||N/A|
|🇮🇩 Bali United||IDX:BOLA||€57M (Rp894B)|
China’s most valuable football club—backed in part by e-commerce giant Alibaba—closely matches the valuation of Manchester United.
In Southeast Asia, Bali United was the first team to go public in June 2019. Shares jumped 69% higher than the initial listing price upon its IPO. This move is already propelling more planned IPOs for more football teams in the region, such as Persija Jakarta—the 2018 Liga 1 champion—and Thailand’s Buriram United.
The Future of Football
Football has the power to stir passions and unite people—and it’s reinventing itself constantly.
The 2019 Women’s World Cup was the most watched in tournament history, with over 1.12 billion tuning in. FIFA plans to invest almost €454 million more into the women’s game between 2019-2022, and grow the number of female players to 600 million by 2026.
Additionally, the annual esports tournament eWorld Cup is taking place in Thailand in 2020—tapping into the esports boom in Asia, which hosts 57% of esports enthusiasts.
Any football fan will tell you that the beautiful game is more than just a sport. And for investors, there are a variety of ways to gain exposure to this market—meaning fans can be both personally and financially invested as it continues to grow.
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