Analysis of the Business Environment

Running Head: ANALYSIS OF THE BUSINESS ENVIRONEMENT
Analysis of the business environment
Name of the Student
Name of the University
Author’s Note

1ANALYSIS OF THE BUSINESS ENVIRONEMENT
1.1. Company background and international operations
According to the official website of AGRIFresh (Agrifresh.com.au, 2019), it was
inaugurated within the year of 2005; it is a family owned business that is being carried out within
the region of Western Australia. The firm by making use of the latest innovative technology has
resulted in improvement within the business activities. Previously the economy was famous for
operating within the sheep and wheat country. The company has been one of the biggest Citrus
players within the region of WA; it is committed and is operating on the 15 years plan. This plan
aims for a fully integrated business that will undertake activities such as growing, marketing, and
packaging of WA citrus.
2.1. With reference and application of theory, the operational impact of 2 key risks in
international business to your company’s international operation (i.e. commercial risk,
currency risk, country risk and cross-cultural risk).
The operational activities of the concerning firm are exposed to a number of threats such
as that of the commercial risk. Since the business operated on an international scale threat
regarding commercial activities, and liquidity always exists. This threat is concerned with that of
the ability of the individual to pay back the credit that has been taken (Cavusgil et al., 2014).
There is also a risk for the fluctuations in the currency rate that keeps on changing with a
certain period of time. On the other contrary, the value of currency differs from one region to
another such that these currency fluctuations can bring about a huge loss for the concerning firm
(Jacque et al., 2014).
Cross-cultural risk takes place in terms of the local business practices such that cultural
barriers do not exist within the consumer interface. The international success of the concerning