You are planning to expand your business internationally through FDI. Research, analyze and prepare a report on any one country that you find feasible to enter and invest in.
Use the following outline to analyze the different host environments that impact your business operations. Briefly explain what market entry strategy you think will work in this country and would you standardize or adapt your product mix in this country.
I. Summary:
Brief overview of the country – location, history, interesting places, people, events etc. What macro-segmentation criteria did you use to choose your country?
II. Environmental Analysis:
a) Political – What type of government? Are there any signs of political risks? Are there any political signs or activities that favor your business? Is the country part of a trading bloc? Membership in WTO?
b) Economic – What is the economic system of your country? (capitalist, socialist, communist, mixed) What is the GDP of your country? Write about inflation, unemployment rates, currency and exchange rate against USD. Any trade barriers? How developed is the support infrastructure (example media, transportation, logistics, etc.)
c) Legal – What legal system does the country follow? Are there any legal issues that concern you? For example treatment of IPR violations.
d) Sociocultural – Briefly explain religion, language, values/ norms, and also demographic variables that would either favor or hinder your business operations.
e) Natural and technological environment – How does this favor or hinder your business operations?
f) Competitive analysis – Does competition exist in this country? Do they have first mover’s advantage? Have they blocked distribution channels? Any other competitive barriers?
III. Product Mix:
Based on your research, would you standardize or adapt the product? Give your reasons.
IV. Market Entry:
Based on your research, what market entry strategy is the best option for your country? Give your reasons.
V. Conclusion:
What is the rationale for FDI or launching your product in this country?
VI. Bibliography of Sources/ References:
Instructions for Report
1. The paper must be typed. Organize each part of the paper exactly as it is outlined above. Use fonts Times New Roman 12 or Arial 11 with 1.5 spacing and 1 inch margins.