Expansion Plans of Commonwealth Bank of Australia in France, Brazil and Korea

Running head: INTERNATIONAL AND GLOBAL BUSINESS
INTERNATIONAL AND GLOBAL BUSINESS
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1INTERNATIONAL AND GLOBAL BUSINESS
Executive Summary
The report is based on the analysis is related to the expansion based plans that have
been made by a global or multinational bank. The bank which has been considered
for the analysis is the Commonwealth Bank of Australia. The countries which have
been considered by the bank for expansion are France, Korea and Brazil. The
different external aspects that are related to the country have been analysed in the
report in order to determine the suitability of the country. The analysis has been
concluded by stating that the Commonwealth Bank of Australia can consider the two
countries, namely, France and Korea for the expansion related plans. The suitability
of Brazil is considered to be quite low in the analysis.

2INTERNATIONAL AND GLOBAL BUSINESS
Table of Contents
Introduction.......................................................................................................3
About the company.......................................................................................... 3
Choice of the three countries............................................................................3
Understanding differences between the structure of the market in three
countries......................................................................................................................4
Estimating the size and the profitability of France............................................4
Analysing the potential issues which can be faced by the company in France 5
Analysing the future developments in France..................................................5
Considering the trade implications and foreign exchange in France................6
Considering of the cultural aspects impacts the entry in France......................6
Estimating the size and the profitability in Brazil..............................................6
Analysing the potential issues which can be faced by the company in Brazil. .7
Analysing the future developments in Brazil.....................................................7
Considering the trade implications and foreign exchange in Brazil..................7
Considering of the cultural aspects impacts the entry in Brazil........................8
Estimating the size and the profitability of Korea..............................................8
Analysing the potential issues which can be faced by the company in Korea..9
Analysing the future developments in Korea....................................................9
Considering the trade implications and foreign exchange in Korea..................9
Considering of the cultural aspects impacts the entry in Korea......................10
Conclusion and recommendations.................................................................10
References.....................................................................................................11

3INTERNATIONAL AND GLOBAL BUSINESS
Introduction
The expansion of business based activities of the organizations in different
countries are mainly related to the effective increase in revenues and profitability.
The companies further aim at increasing the levels of awareness in different parts of
the world. The expansion is not only based on the investments that are made by the
organizations in different countries. This is mainly based on proper development of
the presence of global organizations in different areas of the world (Alden & Aran,
2016). The global expansion is thereby based on the ways by which the
organizations are thereby able to attract different customers towards different
products and services that are offered by the company.
The analysis that will be made in the report is related to the expansion based
plans that have been made by a bank of Australia named Commonwealth Bank of
Australia. The expansion related plans are thereby based on three different countries
which include, France, Brazil and Korea.
About the company
The Commonwealth Bank of Australia is a multinational bank of the Australian
origin. The organization has its effective operations in many different areas of the
world which mainly include, Asia, New Zealand, the United Kingdom and the United
States. The different services which are thereby provided by the organization
include, financial services like, institutional, business and retail banking,
superannuation, broking and investment services (Commbank.com.au., 2018).
The Commonwealth Bank is thereby considered to be the biggest listed
organization in Australia. The different brands which are an important part of the
operations of Commonwealth Bank include, Colonial First State Investments,
Commonwealth Securities, Commonwealth Insurance. The organization was
established in the year 1911 under the Australian government and further privatised
in the year 1996. The headquarter of the organization is mainly located at the corner
of Pitt Street, Sydney (Commbank.com.au., 2018).
Choice of the three countries
The three countries that are being considered for the expansion based
operations of the organization in the international area are France, Brazil and Korea.