Review and apply Porter’s Five Forces Model to your analysis. Tailor the Porter model to the industry and integrate the complete figure of the model within the narrative of the report. What is the competitive structure of the industry?.
industry.
8. Review and apply Porter’s Five Forces Model to your analysis. Tailor the Porter model to the industry and integrate the complete figure of the model within the narrative of the report. What is the competitive structure of the industry? Describe the following:
- Entry barriers—How difficult is it to enter this industry? Are there several players competing for profitability? Are there significant threats of new entrants?
- Intensity of rivalry—Identify your organization’s top three competitors. Discuss industry rivalry. Is competition intense?
- Bargaining power of buyers—Who are the buyers in this industry? What kind of influence do buyers have on the competitors in the industry? Globalization makes it easier for buyers to source products worldwide. Is this the case in this industry?
- Bargaining power of suppliers—Provide a profile of the suppliers. Suppliers with significant industry influence can play a major role in the marketplace. For instance, DeBeers, the world’s leading supplier of diamonds, has enormous bargaining power in the diamond industry.
- Threat of substitutes—Carefully distinguish between similar products in the same industry. A substitute product for eye glasses would be contact lenses. Train travel is a substitute for travelling by car.
9. You may recall from your meeting with Gustavo that he wants your expert analysis of the external business environment in which your organization is likely to operate in the future.
As you prepare to select a new market for your organization to expand into, remember that you will need to accomplish one of the following options:
- offer your organization’s products in that country
- establish value-chain activities in that country
- some combination of the first two options
If you work for an organization that already operates in more than one country, for the purpose of this report, you will select a new country (i.e., a country in which your organization does not currently operate and that has zero to minimal revenue). A list of candidate countries is given below.
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Algeria |
Argentina |
Austria |
Chile |
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Angola |
Australia |
Belgium |
Colombia |
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Czech Republic |
Israel |
Peru |
Tanzania |
|
Denmark |
Kazakhstan |
Poland |
Turkey |
|
Egypt |
Kenya |
Portugal |
Ukraine |
|
Ethiopia |
Malaysia |
Qatar |
United Arab |
|
Finland |
Netherlands |
Romania |
Emirates |
|
Ghana |
New Zealand |
Saudi Arabia |
|
|
Greece |
Nigeria |
South Africa |
|
|
Indonesia |
Norway |
South Korea |
|
|
Ireland |
Pakistan |
Sweden |
10. Gustavo is seeking your advice regarding the international expansion and global market opportunity assessment. Review the blueprint for international expansion in the business journal article, Going International.
You should also consider principles of international strategy for doing business in your selected country. What products are good candidates for generating additional revenue for your organization from expansion into the selected country? Please provide a detailed analysis as per final report format guidelines.
11. As part of your country assessment, Gustavo also expects a PESTEL Analysis of your selected country in relation to the industry in which your organization operates. In other words, you are looking at the country through the prism of the industry in which your organization conducts business.
12. What activities, if any, in your organization’s value chain are candidates for relocation to the country selected in Step 9? If there are no activities that can be relocated, please explain why. If there are activities that can be relocated, provide a brief justification and examine the challenges you see in coordination of the global value chain after the proposed value-chain activities of the organization are set up in this country.
13. Include information about the following cultural issues in your analysis:
·
What cultural differences are likely to influence your organization’s operations (e.g., marketing, human resources, etc.) in this country?
·
Would your organization’s products need to be localized or marketed differently in this country? Explain why or why not.
·
Are there any issues that your organization’s corporate social responsibility or compliance program may need to address while operating in this country?
14. Final report should include an executive summary followed by the main body of the report. Each section should clearly support your analysis. As you begin your executive summary, you might use this template for the first sentence, representing the outcome of your three-week analysis: