Challenges in Cross Border Trading

Business Project

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY ..................................................................................................................................2
PART 1............................................................................................................................................2
A) Competitive analysis of company competitive position in various market and various
activities which helps in achieving competitive advantage. ......................................................2
B) Explain various challenges which a company needs to consider at the time of trading
across borders. ............................................................................................................................5
PART 2 ...........................................................................................................................................8
Explain various points which company needs to considered for enhancing their business........8
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Main objective of this report is to understand the concept of competitive advantage and
various challenges faced by an organisation at the time of trading across borders. An
organisation includes a group of people who all are working together for the achievement of
common goal. For success of any organisation its very important that all departments of an
organisation are working together with their full efficiency. An organisation can achieve higher
growth by expanding their business throughout various countries. Expanding business area helps
an organisation in increasing their sales of product and services and enhancing their business
revenue. Companies use various strategies and tools which helps in achieving competitive
advantage in market. This is because when an organisation operates its business activities in
different countries the competition is also increased (Afzal and et. al. 2019). An organisation
faced many problems at the time of operating its business outside the countries. This is because
there is a big difference between one country culture, language, religion, taste and preferences,
market trends, values and so on to another countries. These differences between countries create
a problem for company to successfully operates its business in other countries. For success of
any organisation its very important that they achieve competitive advantage in market.
Competitive advantage means attracting customers by offering something different from other
competitors so that customers are prefer to buy their product as compare to its competitors.
Competitors are the external factors which influence the growth of an organisation because of
which an organisation face a big loss. For this report Tesla is taking into consideration. It is an
American electric vehicle and clean energy company. Which is founded in 2003 and its
headquarter is in Palo Alto, California, United State. It has around 35 numbers of location and
around 70,757 numbers of employees are working with it. Its product list includes electric cars,
battery energy storage from home to grid scale, solar panels and solar roof titles. The name of
Tesla is consider in one of the world best selling plug in and battery electrics passengers car
manufacturer. The vision of Tesla to provide a pollution free car to the society. This report
includes competitive analysis of selected company in various market and various tools with the
help of which a company can achieve competitive advantage in market. Other that this it includes
various challenges considers by company when trading across countries.
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MAIN BODY
PART 1
A) Competitive analysis of company competitive position in various market and various
activities which helps in achieving competitive advantage.
Competitive analysis refers to a process of categorizing and evaluating competitors for
better understanding the strength and weakness in comparison of company (Arner and et. al.
2019). Competitive analysis helps a company by providing offensive and defensive strategic in
context to identify available opportunities and threats for an organisation. This analysis helps
company to better understand their competitors in market and make effective strategies which
helps in effectively facing competition in market. In context of selected firm they innovate a
unique product in market which is protect environment from pollution. This will create a good
image of company in society and earn higher profit. Their vision helps them in achieving higher
growth but their new technology will attract more competition in market. In current scenario
selected company face a huge amount of competition in market which will effect its future
growth. For effectively facing competition in market selected company needs to analysis
competitors. For better analysing competitors selected company use porter five forces model
which is discuss below:
Porter five forces model- This model is developed by Michael E Porter in 1979 in
Harvard business review. The publication of this model will change the understanding of
strategies among enterprises, organisations or even in various countries (Wellner and Lakotta,
2020). These five forces of this model helps an organisation in analysing the industry
attractiveness, the affect of market trends on industry competition, for which type of industry a
company needs to compete, how a company can achieve higher success through positioning
itself in market. This porter five forces model is a strategic tool which is developed to give a
global overview to organisation rather than providing a detail business analysing technique. This
model helps selected company in analysis its strength in market position based on the five forces
of this model. This model is better work when a company looking at the entire market sector
rather than its individual business or on a few competitors. The main objective of this model is
that an organisation can obtain higher competitive advantage through profitability of the industry
in which the organisation is located and relative competitive position of company in the industry.
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