Opportunities and Risks for Ausmed in Expanding Business Operations in China and South Africa

Global Business
8/30/2018

Global Business 1
Executive summary
The report is prepared by the operational manager of the Ausmed, an Australia Pharma company
who is willing to be considered as a global corporation. A global corporation is a corporation
who operates their business operations in two or more countries. This shows that the company is
willing to expand its business operations in other countries. The major operation of the company
is manufacturing drugs which are growing in the last 10 years. Considering the same, the
company has decided to expand its business operations in South Africa and China. The
operational manager conducts the analysis in which they evaluate the risk and opportunities for
the country where they are willing to expand the business. The country has been selected for
expanding the business in China with the licensing strategy.

Global Business 2
Contents
Introduction......................................................................................................................................3
Analysis of risks and opportunities..................................................................................................4
China............................................................................................................................................4
Opportunities...........................................................................................................................4
Risks........................................................................................................................................5
South Africa.................................................................................................................................7
Opportunities...........................................................................................................................7
Risks........................................................................................................................................8
Selection of the country...................................................................................................................9
Proposing and selecting Market entry strategy................................................................................9
Conclusion.....................................................................................................................................12
References......................................................................................................................................13

Global Business 3
Introduction
The aim of the report is to explore the opportunity for the company so that they can meet their
objective of expanding the business and achieving the profit. This report is prepared for the case
study in which the case of Ausmed, Pharma company is explained who is now willing to expand
their business operations. The company is manufacturing drugs for the medicines from the past
10 years with this the company is able to achieve the success in the Australian market. The
company has approx. 60 employees on their staff with the turnover of AUD 30 million. This
shows that the company is able to achieve the success and growth. Considering this growth, now
the company is willing to expand their business operations in South Africa and China. The
manager of the company is performing the analysis of the market so that the company can select
one company where they can expand the business operations. In the end, the proposed market
entry strategy is discussed with the justification of the same.