Evaluating Internationalization Strategy Essay Example | Topics and Well Written Essays - 1750 words

Evaluating Internationalization Strategy - Essay Example Technological 7 3.1.5. Environmental factors 7 3.1.6. Legal factors 8 3.2. SWOT Analysis 8 3.3. Market Entry Strategies 8 4. Conclusion 10 5. Recommendations 10 Bibliography 10 Au, K., Suen, B., Shen, N. and Tang, J. 2011. Internationalization of Koyo Jeans from Hong Kong. Â  Richard Ivey School of Business Foundation Pp. 11Â   10 Bardhan, p. 2003. International Trade, Growth, and Development. Wiley-Blackwell. pp.296 11 Brigham, E.F and Ehrhardt, M. 2010. Financial Management: Theory & Practice (with Thomson ONE - Business School Edition 1-Year Printed Access Card) South-Western College Pub 1184 11 Bomann-Larsen, L. and Wiggen, O. 2004. Responsibility in World Business: Managing Harmful Side-Effects of Corporate Activity. Tokyo, United Nations University Press, Pp.305 11 Blenkhorn, D.L. and Fleisher, C.S.2005. Competitive Intelligence and Global Business. Westport, CT, Praeger Pp.308 11 Cullen, J.B. and Parboteeah, K.P. 2010. International Business: Strategy and the Multinational C ompany. Routledge. pp.528 11 Kline, J.M. 2005. Ethics for International Business: Decision Making in a Global Political Economy. London, Routledge. Pp.285 11 Matthew, H. 2012. Demands of Supply: The Illicit Pathways of Global Supply Chains: Journal of International Affairs, Vol. 66 (1). 11 Magretta, J. 2011. Creating Value: The Core--Staking Out Your Company's Unique Competitive Position Using Michael Porter's Elements of Strategy. Harvard Business Press Chapters. Pp.29 12 Magretta, J. 2011. Understanding Michael Porter: The Essential Guide to Competition and Strategy. Harvard Business Press. Pp.2008 12 Montgomery, C.A and Porter M E. 1991. Strategy: Seeking and Securing Competitive Advantage Harvard Business Press. Pp.350 12 Porter M. E. 2008. On Competition, Updated and Expanded Edition. Harvard Business Press. Pp. 576. 12 Wettstein, F. 2009. Multinational Corporations and Global Justice: Human Rights Obligations of a Quasi-Governmental Institution. Stanford, CA, Stanford Business Books. Pp.425. 12 1. Introduction Koyo Jeans’ business was started by William Cheung in 2003 in Hong Kong. Though he had started a small business targeting the local clients in Hong Kong, today the business has spread to China and Spain. The management is targeting to explore other parts of the globe; specifically Singapore and Brazil (Cavusgil.et.al, 2011, p. 457). Technological advancement, political climate, socio-cultural, environmental and legal factors relating to specific nation affects the performance of trading activities in that country (Au.et. al, 2011, p.3). The expansion of Koyo Jeans’ business to other countries like Singapore and Brazil will require thorough understanding of prevailing conditions in the target market and a strategic approach to enable them overcome those. 2. Environment Audit of the Current Market 2.1. Industry Life-cycle When Koyo Jeans sets up business, sales are normally low since clients are not familiar with the business. The owner is not able to enjoy economies of scale hence high overhead cost. With time, the production efficiency and the number of customer increases, hence the owner starts enjoying benefits due to large scale production resulting to low overhead cost. Later on, other producers join the market, the total sales volume of individual investor declines resulting to decline in business growth (Cavusgil.et.al, 2011, p. 463). When the market becomes oversaturated with investors, revenue of the individuals starts declining due to increasing operation cost (Au.et. al,