Analysis of External Environment for Business Expansion in EU Nation

ASSESSMENT

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAINBODY ...................................................................................................................................3
Overview of selected company...................................................................................................3
External environment of SME company, UK.............................................................................4
Detail external analysis of European nation where selected firm which to expands its business.
.....................................................................................................................................................5
Entry mode analysis....................................................................................................................8
Recommendation.........................................................................................................................9
CONCLUSION .............................................................................................................................10
REFERENCE.................................................................................................................................11

INTRODUCTION
Global business refers to company which operates its facilities across the world. This is
different from an international business as these units sell product worldwide but has facilities &
operates only in their home nation. A company operates it business in various modes, types and
offers different products on the basis of respective industry & business environment. In which
these companies varies on certain nodes such as on the bases of size, purpose etc. (Manning,
Kannothra and Wissman‐Weber, 2017). The following report is based on British Millerain
company, it is a British manufacturer and deals with outwear of waxed cotton fabrics. It is
located at Lancashire, UK and was founded in 1880. This firm wish to expand its business in EU
nation for which this report covers the analysis of external environment of EU nation as chosen
firm is planning to expand. Further, entry mode of company in EU nation is assessed. At the end
recommendation on the basis of analysed for operational strategy as well as foe expansion is
suggested.
MAINBODY
Overview of selected company
British millerain is leading firm in text tile industry related to outwear of waxed cotton as
this was originates in 1880. This is very innovative and offers various trendy fabrics to
consumers for enhancing the sales and profitability of company. By this they effectively matins
their position at marketplace of UK. This is because of their hard work, dedication and efforts
that they made for gaining success.
British millenarin deals with various range of fabric and designer outfits in order to meet
the demand of consumers including workwear and medical application (Tallman, Luo and
Buckley, 2018). This is a 1800s company and expanded further with the purchase of JT Inglis in
2005. now they wish to expand their business in European nation for enhancing the growth and
sales of company as well as to expand its business at large scale. For this they adopted various
strategies along with it made many partnership with other leading brands within same industry.
Entities of chosen firm is carried out for long sustainability as well as for supplying
commitments and qualitative product to suppliers.
Selected firm is known for outerwear clothe made up with cotton waxed fabric. This company
have a great strength as their wax fabric enable them to gain huge market shares and maintain

image of company. Reason behind this is their investments on research and development sector
in order to maintain the position of leader within Heritage textile industry. British millerian
operates its business in UK since very longer. Now they wish to expand in EU nation, Sweden
by the end of 2022. Sweden is beautiful place exist in northern Europe. As in chosen nation there
is no firm which offers such types of product that British millerain offers. So they have
opportunities to grab Sweden peoples by operates their business at Sweden.
External environment of SME company, UK
External environment includes all macro and micro factors which possess power to
influence overall performance along with operation of company. In which British millerain deals
with textile industry and popular for their offering of best quality products as well as fabric made
up of waxed cotton (Ductor and Leiva-Leon, 2016). Therefore, there are several factors which
may affects their business function at hosted nation so it is vital for them to analyses all factor
before expansion. Some of the factors are as follows:
Social culture: This component mainly emphasis on demographic characteristics and
trends that are flourish in industry within specific market. Social environment of UK is dynamic
in nature , this reflects that company needs to continuously focuses on changing trends within
textile industry. So this creates a little trouble for company to create strategies accordingly.
Whereas one positive impact of this factors is consumer loyalty with relation to respective brands
that are being obtained by company by full filling the needs and d3eamnsd of consumers.
Economic: This is related with the inflation rate, GDP of nation, growth rate and many
more others factors related to economic aspects. United Kingdom is a country which is famous
for economic support in context of different industries and business. Therefore, British Millerian,
have not concerned with this factors as country has stable and supportive environment.
Currently Brexit is also take place which affects a little on operation of company as well as
creates uncertainties in economic surroundings.
Political: This factor represent governmental influences along with interferences in
business operations and functioning. In UK, it has been found that there is political stability is
high for business in order to attain a values which adds support and operates business
successfully (Oyedele, 2016). In context of British millerain, they operates their business at UK
since last few decades and that renders company towards stability and growth. That reflect
positive impacts on its operation.