NORTHCENTRALUNIVERSITYASSIGNMENTCOVER SHEET Student: Chada, Jeremy THIS FORM MUST BE COMPLETELY FILLED IN Follow these procedures: If requested by your instructor, please include an assignment coversheet. This will become the first page of your assignment. In addition, yourassignment header should include your last name, first initial, course code,dash, and assignment number. This should be left justified, with the pagenumber right justified.
For example: ChadaJSKS-5001 Save a copy of your assignments: You may need tore-submit an assignment at your instructor’s request. Make sure you save yourfiles in accessible location. Academic integrity: All work submitted in each coursemust be your own original work. This includes all assignments, exams, termpapers, and other projects required by your instructor.Knowingly submitting another person’s work as your own, without properly citingthe source of the work, is considered plagiarism. This will result in anunsatisfactory grade for the work submitted or for the entire course.
It may alsoresult in academic dismissal from the University.
Cultural Issue Considerations It goeswithout saying that there are going to be cultural issues. All must beconsidered before bringing our American products to the internationalmarketplace. Topics to explore include,but not limited to, the values, social attitudes, aesthetics, organizations andcommunication styles. A great examplefor comparison of the cultural differences between two countries is America andChina. The overall social atmospheresamongst American and Chinese cultures for example, differ a great deal. For example, American females value a careeroriented women, while women in China value nurturing women. The Chinese traditional family dynamic isvery important to its people, and in the United States, many put careers beforeeverything to include family. Fashion andacceptable dress codes, in America, lean more towards sex appeal rather thanthe ‘cute’ styles of China.
Aesthetics in the UnitedStates are bolder and more daring, with bright colors. China consists of warmer,softer and gentler pallets. The Chinesefemale wants to look sweet and natural, in contrast to the United Statesfemales seeking to look more desirable and sexy. It is extremely important to understand thisparticular difference before bringing an American product into any country. The importance of emotion is quite different betweenthe culture in the United States and the culture in China. In China, the culture does not express theiremotions outwardly like the United States. The marketing of a product should be direct and to the point in Chinawhile in the United Stated advertisements should try to connect with a humanemotion.
Social organizations have a big influence on thesuccess of a product in various cultures. In America consumers are purchasing products in a wider range of pricepoints and in China they tend to purchase either the most expensive item toshow status or the least expensive item depending on the type of product(Voigt, 2012). Communication styles are different between the culturein the United States and China.
In Chinaconsumers rely heavily on social media and word of mouth before purchasing aproduct. The consumer in China willgenerally write an online review of a purchase while in the United Statesconsumers are not likely to do so. Inthe United States consumers rely on advertising of a product when makingpurchases (Spelich, 2014 ). Canada Canadahas low entry barriers, banking stability, a highly skilled workforce andcompetitive corporate taxes. Canada isalso in a position where future endeavors into Asian countries make thelocation ideal for expansion. Culture inCanada is like the culture in America. While these are all positives there arealso some issues to consider. XYZ shouldtake into careful consideration that manufacturing in Canada is quitecostly.
Labor costs for employees ishigher than the United Sates. Purchaseprices in Canada are also higher than in theUnited Sates and many Canadians will travel to theUnited States to make their purchases. This could cause low profits for XYZ. Poland ExpandingXYZ into the Polish market may be easier than most would think. The Act of Freedom of Economic Activities hasreduced the number of permits and other required documents to set up businessin Poland (Glinkowska, B. & Kaczmarek, B.
, 2016). This act allows for a smoother transitioninto the country. There is less government involvement with lower entrybarriers.
In addition to the act, Polandhas lower labor costs, legal security and access to an abundance of specialists. A large disadvantage; however is that theeconomy in Poland is, in actuality, developing. There is a potential foreconomic growth. Realistically, we need to understand it may be a slowerprocess than we are used to before we see profits.Great Britain GreatBritain has highly skilled, educated workers as well as advanced technologiesthat make expansion into the country ideal. Great Britain has recently voted to withdraw from the European Unionwhich will affect a variety of international businesses wanting to move intoGreat Britain. The United States howeveris not affected by this recent decision (Cumming, D.J.
, & Zahra, S.A.,2016). Given the establishedrelationship that the United States and Great Britain already has achieved,entry into the country would be a fairly smooth process for XYZ. Recommended Country ConsideringCanada, Poland and Great Britain as three possible countries, I recommend thatXYZ move business into Great Britain. The economy, location and availability of the workforce needed make thecountry the best choice for expansion.
Low entry barriers and the relationship already in place makes GreatBritain a good choice.Globalization Strategy XYZ’sglobalization strategy should focus on looking at the competition in GreatBritain of other successful clothing companies. Determining the cultural issues discussed earlier will greatly help the company to position itself as astrong business. XYZ needs to market tothe emotions, aesthetics, values and attitudes of the culture.
Along with these cultural issues,understanding the communication styles, various social groups, and dress codesthe country may have will allow XYZ to position itself within the population. Carefulconsideration as to the pricing of products, product liability laws and thecorporate responsibility of the company should be addressed and reviewed beforeexpansion. XYZ will also need tocommunicate effectively with all employees and understand how business isconducted in Great Britain to ensure success. Comparing successful companies within the industry in the country andthen tailoring XYZ’s efforts to position the company will greatly benefit andcontribute to our success.Global Competitive Dynamics XYZshould consider how to reduce competition amongst competing industry leaders byeffectively offering valuable resources and a unique product.
We need to look at the competition and decidewhat is unique or rare about our company and the products that we offer. Learning from the success of competitors andconsidering some of the tactics used may be beneficial when creating ourmarketing plan. Employing personal whomare knowledgeable in the industry can provide a competitive edge that will helpwith institutional barriers that the company may encounter.Recommended Entrance Process Creatingan entrance process to succeed in Great Britain should not be too complicatedas the United States has already established a strong presence within thecountry. However not everyone may bekeen on buying from an American company. XYZ, as mentioned before will need to direct its focus on appealing towhat the people of Great Britain want. Utilizing the strengths of local laborers and employing knowledgeableworkers will help with the company’s transition into the country. The strategy needs to be organized and wellput together to ensure the success of entrance into the country.
Conclusion We exploredthe possibility of expansion into Canada, Poland and Great Britain. Poland andCanada have the advantages of low entry barriers and competent employees.However, relationships with Great Britain have previously been establishedalong with other positives previously discussed. This makes Great Britain our leadingchoice for expansion and the path of least resistance. There are various factors to consider andresearch further before committing to a final decision of an international expansionlocation. XYZ should continue theresearch the other countries discussed for future expansion.
ReferencesCumming, D.J., & Zahra, S.
A. (2016). InternationalBusiness and Entrepreneurship Implications OfBrexit. British Journal of Management, 27(4), 687-692.
doi: 10.1111/1467- 855.12192.Glinkowska, B. & Kaczmarek, B.
(2016).International enterprise in Poland – benefits and risks. Management(1429-9321), 20(1), 310-320. doi: 10.1515/manment-2015-0041Spelich, J. (October 28, 2014).
7 Key DifferencesBetween Chinese and Western Consumers. Retrievedfrom http://multichannelmerchant.com/blog/7-key-differences-chinese- western-consumers-28102014/Voigt, K. (November 21, 2012). What do Chineseconsumers want? Not Barbie. Retrieved from http://edition.
cnn.com/2012/11/21/business/china-consumers-barbie/Ward, S. (November 7, 2016). Setting Up and DoingBusiness in Canada. Retrieved from https://www.thebalance.com/do-business-in-canada-2947118
