Armenia as a Regional Financial Centre and as an OMX prospect.
Independent thesis Basic level (degree of Bachelor), 10 credits / 15 HE creditsStudent thesis
The aim of this thesis is to analyze OMX internationalization processes and further deepen that investigation with a feasibility study of OMX’s possible positioning and investment in Armenia in cooperation with the All-Armenian Fund and Armex. Armenia is chosen in the study as it has the potential to become a financial centre in the region by adapting an innovative, knowledge-based economic and a rational political economic policy. An important background to the study is that global financial markets are becoming deeper, liquid, and increasingly integrated. The capital markets industry continues to be transformed by increasing globalization, advancing technology, and changing demographics. Emerging capital markets of the Caucasus and the region around it, which are in their very first stage of development, is one of the challenging aspects for investors and an OMX prospect. The challenges of the capital markets will turn into long-term benefits as the markets and relationships mature. Information is the central element of two basic means of all societies, the means by which we encourage and promote creativity and innovation, and the means by which we build and sustain social and political interactions and institutions. In the information society and in the global village, economic interests will generally take preference over political considerations. Promoting sustainable social and economical interaction is the essential part of the development. In this aspect, security industries in general and OMX in particular have been playing vital rolls in democratization of the capital markets. OMX owns and operates Northern Europe’s largest securities market and is a leading provider of marketplace services and solutions to financial and energy markets around the world. OMX is in the process of expansion and has lately intensified its internationalization through alliances and investments in Scandinavia and the Baltic. Modern Armenia is a small, strategically important country located at the crossroads of Europe and Asia. The territory of present-day Armenia has seen many migrations, political states and conquerors. There is a large Diaspora (over 6 million) of Armenians living outside the country in various parts of the world, whose ancestors left Armenia because of the Armenian genocide in 1915. They are mostly well organized, financially strong and politically influential, the All-Armenian Fund is an example. In order to analyze the potential process of collaboration, I have used three theories in my study. The three theories are mostly in accordance with the following actors and their activities: OMX has tendencies to centralize, decentralize, and at the same time pertains transnational strategy. Armenia is geo-strategically well located and needs to develop as an innovative economy and an efficient stock market (Armex) is essential in achieving this goal. Armenian Diaspora’s (All-Armenian Fund) integration into the world community requires a welldefined self-identity, which is possible through close relation with their motherland Armenia. With a well-designed strategy, the above-mentioned partnership could probably exploit the fruit of the trilateral collaboration.
Place, publisher, year, edition, pages
Uppsala: Företagsekonomiska institutionen , 2005. , 35 p.
IdentifiersURN: urn:nbn:se:uu:diva-7684OAI: oai:DiVA.org:uu-7684DiVA: diva2:131325