Assignment: Recommending an Overseas Market
The purpose of this assignment is to provide an opportunity to utilise your skills and knowledge of international business to undertake an analysis of a new overseas market or an existing overseas market where significant expansion should be implemented. You are required to develop a report proposing a new overseas market which an organisation should enter or alternatively an existing overseas market where significant expansion should be implemented.
This assignment firstly requires you to decide whether you will base your module assignments on an organisation where you are employed, or have been employed in the past, an organisation in a sector of industry in which you have an especial interest, a local company who you are aware are seeking to expand their overseas activities or a public sector/not-for-profit organisation such as a college where you are currently studying or have studied in the past or a major charity. You are required to undertake an analysis of this overseas market and macro-environment factors surrounding the overseas market you have selected for the organisation as the basis for justifying your market selection.
Home Country Organisation:
You must decide whether you will base this assignment on an organisation where you are employed, or have been employed in the past, an organisation in a sector of industry in which you have a special interest, a local company who you are aware of that may be seeking to expand their overseas activities or a public sector/not-for-profit organisation such as a college where you are currently studying or have studied in the past or a major charity.
Please ensure you have access to adequate and reliable information on the organization of your choice.
Potential Host Country:
To address the assignment question, you may undertake an analysis of an overseas market and macro-environment factors surrounding the overseas market you have selected for market expansion. It requires you to assess the key environmental factors that support or justify its attractiveness. Your discussion of the recommended target market should be based on facts obtained from research. You may choose any country as a potential host market for overseas expansion. To better appreciate the justifications of the potential overseas market, it will be helpful that you provide some information about the ogranisation, its current operations and product mix.
It may be useful also to consider the macro environment of the home country to assess the attractiveness of the proposed overseas market.
Any assumptions made in writing the assignment must be clearly specified.
Suggested structure:
1) Introduction:
Describe the organization and products/services they offer.
Identify the country you propose to export to and give a brief overview of the market opportunity in that country.
2) The Market:
Incorporates macroeconomic stability, the middle class, consumer market size and growth and openness. Questions to consider:
- Is the country sizeable and stable enough to do business in?
- Are consumers well-off enough to buy my products and services?
- Are the potential growth rates of the market attractive enough to offset any risk?
- Are the conditions for foreign businesses right?
3) Population:
Understanding and being able to harness population trends enables new market entrants to maximize their profitability by targeting the right people in the right place at the right time. Consider:
• Where do my target consumers live?
• Where will they live in the future?
• Which age segment offers most opportunities?
• What are the opportunities and challenges that lie ahead?
• Is my target audience growing and will it continue to do so?
• Is it geographically dispersed or concentrated?
4) Access:
The practicalities of market entry are also key. How accessible is the country? This should be considered in terms of infrastructure, Internet, partners and the retail landscape.
• Will it be difficult to get your products to market?
• Are consumers easily accessible for both direct sales and marketing
• and promotional activities?
• Would a local partner facilitate market entry? Or is a local partner even
• a prerequisite?
• Is the retail landscape modern or traditional?
5) Business Environment:
The friendliness of the business environment is also a crucial factor. The practicalities of doing business, the regulatory environment, corruption levels and the skills available in the workforce, which can all make or break a business. Businesses can thrive in countries where these factors are not favourable but a carefully thought-out strategy is a must.
• Is there a level playing field between domestic and foreign investors?
• Is the rule of law sufficient?
• How can the business beat corruption?
• How can the business recruit and retain talent?
6) Conclusion:
Sum up each of the elements of the macro-environment described above in terms of their positive or negative impact on your market entry.
Assignment Format:
The assignment must not exceed 2500 words, typed at a minimum of 1.5 or double space, preferably employing Arial point 12 type face. You can attach appendices to the report to give coverage of information that, as the report length constraint, couldn't be comprised in the main report.
The source of all materials comprised in the report must be precisely referenced by employing Harvard referencing format (that is termed as the Harvard System).