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2021/2022  KAN-CCBLV1800U  Financial Analysis of Investment Projects in Emerging Markets and Developing Countries - A Practical Approach

English Title
Financial Analysis of Investment Projects in Emerging Markets and Developing Countries - A Practical Approach

Course information

Language English
Course ECTS 7.5 ECTS
Type Elective
Level Full Degree Master
Duration One Semester
Start time of the course Autumn
Timetable Course schedule will be posted at calendar.cbs.dk
Min. participants 40
Max. participants 60
Study board
Study Board for BSc and MSc in Business, Language and Culture, MSc
Course coordinator
  • MSC
    Michael Wendelboe Hansen - Department of Management, Society and Communication (MSC)
Main academic disciplines
  • Finance
  • Globalisation and international business
  • Project and change management
Teaching methods
  • Blended learning
Last updated on 21-12-2021

Relevant links

Learning objectives
  • Understand the specific challenges of conducting financial analysis of investment projects in emerging markets and developing country contexts;
  • Understand and critically assess methods and tools related to financial analysis of investment projects in emerging market and developing country contexts;
  • Know and critically assess main modes of structuring finance of investment projects in emerging markets and developing countries;
  • Conduct a financial analysis of concrete investment projects in emerging markets and developing countries, i.e. by assessing how the context influences financial aspects of the investment, by conducting financial appraisals, and by proposing optimal financial structure
Course prerequisites
The course is based on the premise that students have limited experience with corporate financial analysis. It is specifically designed to provide non-finance students with a basic understanding of financial analysis and with skills to conduct practice oriented financial analysis of concrete projects on emerging markets and developing countries.
Prerequisites for registering for the exam (activities during the teaching period)
Number of compulsory activities which must be approved (see section 13 of the Programme Regulations): 1
Compulsory home assignments
Group presentation of Novo Nordisk business case in class must be approved by faculty before students can take the exam.
Students who due to illness or other excused absence cannot participate shall instead individually hand in a three page assignment.
Financial Analysis of Investment Projects in Emerging Markets and Developing Countries: A practical approach:
Exam ECTS 7,5
Examination form Home assignment - written product
Individual or group exam Individual exam
Size of written product Max. 10 pages
Assignment type Case based assignment
Duration Written product to be submitted on specified date and time.
Grading scale 7-point grading scale
Examiner(s) One internal examiner
Exam period Winter
Make-up exam/re-exam
Same examination form as the ordinary exam
Course content, structure and pedagogical approach

This course is specifically designed to understand financial analysis of investment projects in emerging markets and developing countries. The course will provide students with a deep understanding of the specific challenges of financial analysis in emerging markets and developing countries. At the end of the course, students are able to understand and critically assess financial analysis theories, methods and tools and to conduct financial analysis of concrete investment projects in emerging markets and developing countries. 


Foreign Direct Investments into developing countries and emerging markets are steadily increasing and now make up about half of global FDI´s. This is where much of market growth takes place and where abundant, often low cost, resources can be accessed. It is essential for firms and organizations to have a solid understanding of the market, institutional and cultural specificities of emerging markets and developing countries and that they understand how to factor these specificities into th  financial analysis.

A highlight of this course is that students will work with a practical approach on real life business cases in close collaboration with the global pharmaceutical company Novo Nordisk A/S. This will end up with a group presentation of work done in class with representatives of Novo Nordisk participating and giving feed-back. This will give a unique opportunity to work hand-on with real-life cases and gain insight into real business life in a globally operating company more and more oriented towards emerging markets.


While a thorough financial analysis is important to all investment projects, it is particularly important to investment projects in emerging markets and developing countries. This is due to for instance the market and currency volatility, weak or non-existent financial intermediaries, lack of market intelligence, and unstable and unpredictable institutions and taxation regimes. Hence, compared to financial analysis in developed markets, financial analysis in emerging markets and developing countries needs to a much larger extent to emphasize and take into account the specificities of these types of contexts, for example;


  • Country risk
  • Institutional frameworks (legislation, institutions, government bodies etc.)
  • The resource base (human resources, skills etc.)
  • Cultural and language barriers
  • Infrastructure (transportation, power etc.)
  • International project management
  • Currency risks and restrictions
  • Sustainability and governance 


A main aim of the course is to understand these challenges and risks and provide students with instruments to understand and analyze them.


The course will work with strategic investment and finance theory in order to come up with qualified investment analysis and financing plans that can be actually used for project planning, investor pitches and negotiations with financing institutions working with and in emerging markets and developing countries. A particularly interesting and valuable tool in this connection is the relatively new area around real options which specifically takes into account uncertainty and risks in projects.



Description of the teaching methods
The course is taught through a mix of lectures based on required course literature and real life business cases in close collaboration with the multinational pharmaceutical company Novo Nordisk A/S. Exercises will be based on an innovative excel workbook software for investment and financial analysis developed by course faculty (see Hedegaard and Hedegaard (2015)).

You will actively work on Novo Nordisk investment projects, analyze business cases and the financials, and make recommendations on financing structure and project implementation. Your work will result in a group presentation in class of your project. The aim is to make the course practical, and real-life and have open and relevant discussions. Discussant groups will be set up to facilitate an in-depth discussion around your results and representatives from Novo Nordisk will provide valuable feed-back.
Feedback during the teaching period
Individual and group feed back and guidance will be provided in connection with exercises and presentations. Representatives from Novo Nordisk will participate in the final presentation and will together with faculty give valuable feed-back.
Student workload
Lectures 30 hours
Preparation 106 hours
Exam 70 hours
In total 206 hours
Expected literature
  • Global Competitiveness Index
  • Hedegaard, Ove and Michael Hedegaard, Strategic Investment and Finance, DJOF Publishing, 2015
  • Hedegaard, Michael, Globalisation and the International Economy, DJOF Publishing, 2018.
  • IMF, Financial Development Index Database 2018.
  • Moffett, Michael H., Arthur I. Stonehill, and David K. Eiteman. Fundamentals of multinational finance. Pearson, 2012.
  • Novo Nordisk Case, 2021.
  • World Bank, Doing Business: Measuring Business Regulations, http:/​/​www.doingbusiness.org/​
  • Sustainable Development Goals
  • Damodoran, Stern NYU
Last updated on 21-12-2021