PSG INSTITUTE OF MANAGEMENT

INTERNATIONAL BUSINESS

Trimester IV - 2012

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INTERNATIONAL BUSINESS

TITLE: STATUS: VALUE: WORD LIMIT: DUE DATE:

Purpose of the Task

Company Case Report (written document) Individual Work 50 marks (weightage 20%) 2,500 words (+/-10%) will be informed in the class

You are required to conduct a detailed research on the chosen organisation on your own. Assume that you are an International Manager of the chosen organisation and you are asked to set up a business in the given host country. Prepare a report based on your answers to the following questions: 1. Introduction of the company, provide description of its business (products and markets) (5 marks) Provide reasons for the company going internationalisation. Explain in details two (2) reasons. (5 marks) There are several trade theories that seek to explain firms internationalisation process. The main trade theories are; International product lifecycle, New Trade Theory and Porters Four Diamonds theory. Identify and analyse any two (2) of the above theories that applies to the company internationalisation process. In addition, provide two (2) relevant examples for each of the theories that the company used. (5 marks) 4. Discuss and evaluate the key environmental forces faced by the company in the chosen host country. The key environmental forces are: Economic, Political, Legal and Cultural. For Economic, Political and Legal environment factors, discuss two (2) subenvironment forces each. For Cultural environment, discuss two (2) sub-cultural elements. (10 marks)

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5.

Hofstedes five cultural dimensions have been used widely to explain cross cultural behaviour of people in different countries. Explain each of the five cultural dimensions. Students may refer the textbook. In your research on the company, show how does two (2) such dimensions affect the company and the host country market. Provide a relevant example for each of the two dimensions. (5 marks)

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There are five main types of market entry strategies companies could implement. Explain the five (5) main types of market entry strategies with an example each. (5 marks) Analyse two (2) of the market entry strategies used by the company in the host country. Provide a relevant example for each strategy. (5 marks)

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Conclusion

(5 marks) (5 marks)

Harvard style of referencing

Your report must demonstrate your understanding of not only international business concepts but also your ability to do research and apply factual information to the host country according to the market environment conditions.

Host country Selecting an international company that has presence in several markets, you have to do research and analyse in greater details its presence in either one of these three (3) countries. a) The United States of America b) The United Kingdom c) South Africa

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REPORT STRUCTURE GUIDELINES

TITLE PAGE TABLE OF CONTENTS LIST OF FIGURES (if any) LIST OF TABLES (if any) EXECUTIVE SUMMARY Proposed Format of Report: 1. Introduction including description of the company Provide a brief description of the chosen company background and brand. The main products, brands, target customers and key markets. Provide also a brief description of the organizational structure, revenue and growth rate. 2. Reasons for going Internationalization Provide possible reasons for the company going international. The reasons could be proactive or reactive. 3. Trade theories Discuss the given trade theories and relate the theories that explains the company internationalisation process. The trade theories are; - International product Lifecycle - New Product Theory - Porters Four Diamonds 4. External Environmental Analysis The main external environment faced by the company in the host country is; - Economic (Exchange rate, host country growth rate, inflation rate) - Political/ legal (Political risk, openness of host government, legal systems similarity) - Cultural (language, religion, attitudes/ values, social structure, communication) Identify, in each of the environment, the main forces that affect the company as required. 5. Culture elements Describe Hofstedes 5 dimensions of culture. In your research of the chosen company, analyse how two (2) of such dimension affects the company and evaluate how the company can overcome the challengers.

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6. Market Entry strategies Market entry strategies include: Export Franchising Licensing Management contract Joint ventures Foreign Direct Investment Identify and analyse the company entry strategies used. 7. Conclusion Outline your major findings and a summary of the recommendation for your organization. Reference list (Not included in the word count) References cited in the report only should be included. Marks are awarded based on depth and scope of research. To be based on Harvard referencing format. Appendices (Not included in the word count) Appendices should include supporting evidence only. Tables and graphs which are important to the discussion should be placed in the body of the report. If you use appendices please ensure they are numbered and referred to within the report. NOTE:
1. It is important to note that the structure above is just an example. You do not need to follow it precisely. If you have other ideas to write the report, please do so. Just remember that you must include each point mentioned above. 2. Each student should select a different organisation. Prior to assignment submission, you have to ensure that you produce a report with a CORRECT format. 3. Please use the Spelling & Grammar function in Microsoft Word to ensure there is no spelling or grammar error. Use simple sentences, as they are easy to read and to understand. 4. The word count does not cover the executive summary, appendices and reference list. You are required to provide the word count of your assignment on your title page. Marks will be deducted if the maximum length is exceeded. 5. Staple the assignment sheet on the top left hand corner. Please do not use any folders. 6. All pages of your assignment must be numbered appropriately and justify your text.

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7. Please type in 1 spacing using Times New Roman 12 point for your assignment. 8. You MUST use in-text citations and an end-text reference list based on Harvard style of referencing format. Please note that some marks will be deducted for incorrect referencing. 9. Avoid using unauthorised materials/information such as wikipedia, yahoo, google, etc. Plagiarised reports will be awarded zero mark. 10. Submit your assignment in hard-copy in the class and softcopy through email to your faculty.

- End of the assignment

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