Global Business (Portfolio) - Study Material with Solved Assignments, Essays, Dissertation

The report provides study material on Global Business (Portfolio) with solved assignments, essays, dissertation, and more on Desklib. It analyzes the pros and cons of EEC, reasons for multinational companies to internationalize, challenges they face, and leadership qualities that support market entry. The report also includes an analysis of the domestic market, strategy to internationalize, mode of entry, challenges that TESCO will find in Russia, and possible solutions.

GLOBAL BUSINESS
(PORTFOLIO)

Table of Contents
INDIVIDUAL NOTE 1...................................................................................................................3
Conducting online research on EEC and their pros & cons.........................................................3
INDIVIDUAL NOTE 2...................................................................................................................4
Critically discuss the reasons why multinational companies internationalize and typical
challenges they encounter............................................................................................................4
INDIVIDUAL REPORT.................................................................................................................8
INTRODUCTION...........................................................................................................................8
MAIN BODY...................................................................................................................................8
Analysing domestic market..........................................................................................................8
Strategy to internationalize..........................................................................................................9
Mode of entry and challenges that TESCO will find in the Russia and possible solutions.........9
Leadership qualities that supports market entry........................................................................11
CONCLUSION..............................................................................................................................11
INDIVIDUAL REFLECTIVE ESSAY.........................................................................................12
REFERENCES................................................................................................................................1

INDIVIDUAL NOTE 1
Conducting online research on EEC and their pros & cons.
In the world of business, European economic community is considered as regional
company that aim is to bring about economic integration successfully among its member states
(Bruyndonckx and et.al., 2021). This organization is established in 1957 by Treaty of Rome, for
purpose of creating a common market among each member via reducing most trade challenges.
It will efforts to establish common external trade rule or policy that is quite essential for all the
member states to follow, in effective manner. It is fact that European Economic community deal
with all the governing and policies in common fashion, across each member region. Its main
motive is to foster trade policy effectively that will reduce trade barriers, thereby enhancing
economic situation for entire state.
Advantages-
The establishment of EEC in the world provide a lot of benefits to nations and its member
states, in term of removing barriers that will drive the attention of companies toward expanding
businesses across national boundaries (The Advantages of the EEC, 2022). It is one of those
advantages that pleasure will each member state will take in appropriate manner and for longer
time period. Another advantage of European Economic community is that its member regions
like UK, and other will share a single currency and that is Euro, which referred them as Euro
zone. This pattern of currency will boost trade within and across euro zone frontier as transaction
costs will eliminate and there are fewer unpredicted modification in the exchange rate exist.
Common pricing levels is another beneficial strategy that chosen company will plan to establish
in 1962, that in turn provide benefit to all member states. As it enable them to assure self-
sufficiency & food privacy by subsidizing production of local farm goods.
Disadvantages-
Along with positive, European Economic community encompasses some negative aspects
as well that will put adverse impact on members of states. For example, due to single currency
tactic, state members are unable to deal with other profitable and progressive nations where Euro
currency is not applicable. The cost of EEC membership is expensive, which means those states
who will do not pay that specific charges they are unable to take benefit of some effective
strategies planed by this organization. These two drawbacks will affect negatively upon growth
of certain regions that are included in unit of European economic community.

INDIVIDUAL NOTE 2
Critically discuss the reasons why multinational companies internationalize and typical
challenges they encounter.
Internationalization is defined as one of those strategic procedures that utilized to gain
further benefits by the companies, especially MNCs, who will exist in numbers and play vital
role in the context of economic growth (Ipsmiller and Dikova, 2021). This process enables
multinational organizations to obtain unpredictable benefits and also contribute to achieve their
set aims. There are different types of reasons exist behind the adopting of internationalization
procedure, by the MNCs and these are;
Increase profitability & sales-
The main reason behind adopting internationalize concept is current one, as firms tend to
increase profits more than now and from last few years (5 Reasons to Go International, 2022).
Just because of this reason, they will take approach to select a specific region or state, where
growth factors are accessible in bulk. It is fact that expansion on an international market place is
more likely to generate overall revenue sale and eliminate operational costs, via gaining attention
of potential customers. It is fact that global expansion process enable companies to gain the
attention of those buyers who are taking interest and are interested to purchase quality products
and utilize satisfactory services, exchange of money. In term of building strong and wide
customer base, firms will take pleasure of increasing profitability, which is quite beneficial for
their rapid and continuous growth in the world of business. For purpose of increasing profit
margin, in the new market, they will take initiative to utilize the best sources that exist in a
specific international platform such as technologies, which now become an important part of
individuals lives.
Building strong workforce-
Another reason for which MNCs conduct a specific practice such as global expansion is
to build skilled workforce. In the recent time, it is quite essential for each company, whether it is
public or private to build powerful team of employees, among which each candidate is able to
perform productively and effectively (Why companies internationalize, 2021).
Internationalization will provide multinational companies opportunity to achieve this term of
aim, in form of hiring and selecting people, who will have set of interpersonal and professional
skills, that they plan to utilize while playing their role in an organization, which will conduct

their business practices as a MNC. It is fact that by going international companies will feel
capable to have greater access to a broader talent pool, in which each candidate exist with
combination of skills, knowledge and appropriate behaviour that they will use in a workplace.
Employees who will speak different languages and are used to varied cultures are highly efficient
to amplify connections with a wide target audience. They will help to retain and acquire new
customers and also support to enhance their satisfactory level, which is not that easy for any firm
to do so appropriately.
Gain competitive advantages-
In biggest reason behind going internationalize is also current term, which enable
companies to gain a lot of benefits. As they will take pleasure of gaining competitive advantages
in bulk in term of establishing number of outlets, where customers will reach and purchase
products according to their needs or requirement, without compromising their demand. In
additional, MNCs gain other competitive benefit as well, while taking initiative to
internationalize. They will get access of using those useful resources and technologies that their
rivalry companies are not using recently (DeGhetto and et.al., 2021). Another benefit that
multinational companies obtain along with above benefits is highly talented employees and
profitable investors. They will attract those investors and other stakeholders who are taking
interest to work with a multinational company that have bunched of strengths and capability to
beat rivals. By using each strength MNC will gain competitive edge and move to expand
ventures in more profitable nations, where growth and business success forces exist more than
earlier market, which is essential and beneficial for companies to grab by developing appropriate
plan and strategies. All these advantages plays important role in competitive growth of firms.
Build global presence of business-
Another reason for which MNCs internationalize is to build their business presence and
existence in the international market. It is the biggest and most common reason behind the
process or decision to global expansion, which make enterprises capable to generate excellent
brand awareness that help to gain the attention of profitable and potential stakeholders, including
skilled employees, investors, suppliers, etc. In term of building greater brand image or reputation
in the new market, companies will conduct a lot of efforts and take initiative, which allow them
to reach desire outcome. It can be said that a good international reputation of MNCS will attract
new customers, who will conduct word of mouth promotion practices after obtaining appropriate

satisfaction by using services and purchasing products offered or provided by multinational
firms. It will also gain the attention of more target audience, who will provide the same or
additional benefits to brands that their stakeholders will do not predict. Just because of this
reason, after internalization process firms will gain benefit of increasing their rand reaches, brand
value and get chance to select the best funding source that they will utilize, when it is required.
Challenges-
MNCs internationalize for multiple reasons, but during this process they will encounter
varied challenges that put direct impact on their current practices, activities and entity functions.
Financial challenge-
The process of global expansion or internalization is challenging, because of come
specific reasons (9 Biggest Business Expansion Problems Faced By Entrepreneurs, 2020). For
example, while conducting this practice companies might be faced issue and that is related to
financial term. As a venture take decision to grow or expand into particular market, it will need
more money to fund the overall process. In some cases, the money requirement acceded more
than the budgetary plan, which create challenge for multinational companies to obtain desire
result. They will need additional amount to design new infrastructure, hire people and conduct
other practices that will beyond budget plan of a MNC. Just because of financial challenges,
most of the companies will take funds from different funding sources, but this process will take
time, which every firm will do not have. As it will lead to decrease their operational efficiency
and also eliminate the effectiveness of growth factors. It is quite difficult for organizations to
manage finances appropriate as they will also need expert, who can do this function successful
and able to manage everything according to budget.
Foreign regulatory change-
Another adverse challenge that MNC with internationalize process will face is
developing understanding about abroad laws and predicting change that will put direct impact on
their new business growth plan (Ghauri, Strange and Cooke, 2021). It is fact that organizations
encounter the current issue in term of developing comprehending about both terms, which is
important for them to do so because of entering into profitable market. It is a key to succeed,
obtain success and take pleasure of increasing growth level. From tax implications via trading
policies, navigation of legal requirements is the main function for any successful multinational
venture. It is quite important for them to note that labour and employment requirement also differ

by the nation. This form of difference will create challenge for them that they will face and take
action to overcome its adverse impact in appropriate manner. It will lead to decrease the
operational effectiveness and increase work pressure on management which drive their attention
toward developing strategic plans and tactics that help to deal with complex situation
appropriately.
Currency rate-
Any type of change in the context of nations currency rate will directly put adverse
impact on MNCs global expansion plan success, which is not suitable for their further planning
and strategic operational management practices. It can be said that price setting and payment
model section are the main considerations that multinational companies will consider, but current
rate change is one of the biggest challenging international venture issue that it will encounter. It
is not possible for management of MNCs to exactly monitor the exchange rate after expansion
process as this form of decision is taken by the governmental bodies that is impossible to predict
appropriately. While, monitoring the same activity must therefore be a main part of tactic for all
in global ventures. It is fact that major changes in the context of any external factor will majorly
impact balance of venture profitability, expenses and budgetary plans, which make success of
global expansion plan and strategy much complicated and challenging.
Intense competition-
It is the biggest challenge that MNC encounter to grow rapidly and in profitable manner.
This challenge will affect the way a multinational company take decision, related to expansion
and also influence their strategic plans. The market where they will plan to enter, is full of
competition, between companies that already exist and tend to gain competitive benefits. Due to
this challenge, multinational firms will conduct different practices in term of adopting key
methods and developing useful tactics that in turn provide desire outcomes to them. Each firm
whether it is operating into retail or other industry always expect to become a top brand, for
which they will adopt and use different technique. It will lead to increase competition level and
then create the worst situation for firms, especially those who will plan to enter in global
business market. While dealing with the current challenge, MNC will take approach to consider
key factors such as competitors growth tactic and other plans that will make them a rival, which
is quite essential for them to know that.

INDIVIDUAL REPORT
INTRODUCTION
Global business term drive the attention of individuals towards thinking about those
companies that are operating and running their ventures in the international market. Each
organization in this market, obtain a lot of advantages, in term of increasing profitability, and
more. The current assignment will be based on TESCO, which plan to enter into Russia as new
business market. The study will specify analysis of domestic market, strategy to internationalize,
and mode of entry. It will explain the challenges company will find in the nation and possible
solutions. Furthermore, lastly the report will justify leadership qualities that support market
entry.
MAIN BODY
Analysing domestic market.
Political factor-
It is important for TESCO to consider this factor while entering to Russian market, as it
will put impact on its current planning and other procedures. It will provide firm chance to reach
desire outcomes in form of global expansion plan success, because of political stability, and
other terms that included in list of current concept.
Economic factor-
Better economic growth, disposable income, increasing employment ration, etc. terms
included in economic factor will put positive impact on TESCO. As it allow supermarket to take
pleasure of increasing profitability and productivity level, which is quite challenging for varied
companies because of certain things.
Social factor-
Along with above, the current factor will also affect internalization plan in similar
manner, in term of making TESCO able to gain the attention of new consumers in Russia, where
it will plan to enter.
Technology factor-
Technology advancement will affect positively upon expansion decision of chosen
supermarket, in term of increasing marketing operation efficiency and effectiveness, that will
lead to generate excellent brand image within new nation.
Legal factor-

Regulatory frameworks and laws in the Russian market is quite different from home
boundaries where TESCO came from. It will put negative impact on its success, which is
important for company.
Environmental factor-
The current force will put positive impact on chosen supermarket or MNC in term of
building sustainable brand reputation that aid to gain the attention of key stakeholders, who are
taking interest to work with progressive companies like selected one.
Strategy to internationalize.
Brand expansion is the best example of tactic that TESCO will utilize in term of
internalization. It provides a lot of benefits to supermarket which pleasure its stakeholders will
take for longer time period (Harchaoui, Maseland and Watkinson, 2021). It will tend to expand
its venture into Russia, which falls under the category of progressive countries in the world. It
will enable company to build wide customer base in the new market as each person is able to
spend money for taking pleasure of using products and services, according to their need. It aids
to attract those people who will help to promote venture influencing and have power to drive
individuals attention toward purchasing products from TESCO outlet, where they will find
variety of goods. With selective market entry model, firm may expand its venture which play
significant role in its unpredictable success and growth in the retail sector, from national to
international level. The success of internationalization process is depended on action that
management is accountable to taken with approval of other stakeholders. It is important for them
to take their concern & need as well as expectations into consideration, that help to succeed and
obtain success in the new market, where different types of multinational companies plan to enter,
because of varied reasons.
Mode of entry and challenges that TESCO will find in the Russia and possible solutions.
Licensing-
The current entry mode, will drive the attention of companies toward granting permission
or approval by licensor to licensee, for purpose of using intellectual property rights, such as
patent, organizational name, technology and other resources (Pereira and et.al., 2021).
Joint venture-

By choosing this market entry mode, firm may take pleasure of conducting collaborative
and effective practices with those companies that able to retain customers and in turn provide
varied benefits to business partners (Jin and Wang, 2021).
Acquisition-
This term refers to process of acquiring other venture and running in productive manner,
which in turn lead to increase profitability, productivity and improve performance level, which
each company expect to obtain.
Partnership-
Another term that define as market entry mode is current one, which enable firms to take
benefit of making business profitable.
From above modes of market entry, TESCO will select acquisition, which is beneficial
and essential for its rapid growth.
Challenges-
Meet customers needs-
It is quite challenging to appropriately determine customers need and satisfy them at
initial level of business expansion process effectively and successful. As it may require a lot of
time and consumer the same resource.
Complying new regulatory terms and conditions-
Another challenge that TESCO will face while internalize is current one, which mean that
it will comply with new legal terms that put impact on management in form of understanding the
same thing.
Possible solutions-
Market research-
In the context of first challenge, management will take approach to conduct appropriate
market research to collect basic information about customers needs and major data about trend
that they follow or plan to do so.
Team formation-
Legal team formation in the Russia by choosing local people are the best solution that
organization will take into its consideration.

Leadership qualities that supports market entry.
The success of market entry rely on certain factors and leadership qualities is one of those
forces. As it will enable leaders in the TESCO to support the entire process of
internationalization in term of driving the attention of existing and new employees toward
making achievable commitment that help supermarket to become a successful multinational
company in the world that almost cover whole world in form of established venture existence
into different nations (Abu-Rumman, 2021). Effective communication is the best example of
leadership quality that is important for a leader to have and utilize the same in appropriate
manner. As it enable them to make essential discussion with employees about strategies that
management will plan to implement into practical manner. Active listening is another quality of
leaders that allow them to support market entry strategy in effective manner in form of listening
ideas of other people or their colleagues, who also tend to make business profitable. Innovative
term also included in list of leadership quality that most of the leaders may have and utilize in
systematic manner, in order to provide and obtain desire result. It will give TESCO leader
chance to support in regard to expansion process in form of providing innovative ideas, that
management will take into their consideration and then approve to gain competitive benefits in
bulk.
CONCLUSION
From above analysis, it has been concluded that organization had taken pleasure of
expanding business into Russian market, by developing the best strategies and using the same. It
has achieved its strategic aims and objectives, in term of conducting appropriate domestic market
analysis practice. Furthermore, by summing up above discussion, it has been summarized that by
selecting specific entry mode, management had successfully entered into new market. They had
applied and developed the best solutions that helped to overcome adverse impact of major
challenges related with global expansion term. The utilization of appropriate leadership quality
support to make internationalize plan successful.

INDIVIDUAL REFLECTIVE ESSAY
I have learned the various information from the module that helped me in understanding
the various aspects of the global business that can make impact on the organizations and its
operations. I have learned the various new aspects and factors that can play an important role in
making the global business of a company to be successful. It made me familiar with the various
communities that can make influence on the organizations that are looking to expand their
business on the global levels. I have learnt about The European Economic Community (EEC)
that operates for integrating the economic factors that the member states are required to follow
for successfully operating their business in the European Union. The community provides the
states with the various information and the guidelines that are required to be followed by the
states so that they can trade with each other without facing any problems (European economic
community, 2019). I have learned that the community was created with the view to reduce the
trade barriers amongst the states so that the states are able to achieve effective trade performance
in the European nation. I have also come to know that the community has the various pros and
cons.
The module helped me in understanding that there are a lot of reasons that makes the
multinational companies (MNCs) to internationalize their business and promote their business to
the various countries of the world. I have learnt that the companies can achieve the success in
internationalizing their business to the global levels of operations when the companies are
applying the correct methods and techniques that can help the organizations to expand their
business to the global levels. I have learned that there can be various types of reasons behind the
internationalization of the companies that can make the organizations to achieve the global
success in the business so that the organization is recognized on the global levels of business and
operations (Gaur, Ma and Ge, 2019). I have learned from the module that the multinational
companies (MNCs) are obligated to understand the reason behind the expansion and develop the
strategies that can help the organizations in expanding the business to the international business
environment. The module made me to understand that there can be various types of challenges
that the organizations can face when the multinational companies (MNCs) are preparing to
internationalize the business of the organization.
The module helped me in understanding that for entering the international markets and
operating the business into the global business environment the multinational companies

(MNCs) are required to perform the various types of activities and apply the various strategies
that can help the companies in successfully entering the global market. I have understood that the
organizations for taking their business to the international market are required to analyse the
domestic market that they are operating in or preparing to operate. I have learned from the
module that the analysis can help the company in achieving the various information about the
process of internationalization and the factors of the global market that can influence the
business of the company on the global level. I have learned that the companies are required to
create the various strategies that can help the organization to expand their business to the global
levels of business so that the company can successfully operate their business in the international
market (Islam and et.al., 2019). The module helped in understanding that the organizations for
expanding their business to the global market chooses the various types of mode of entry that can
help the companies in effectively entering the market. I have learned from the module that there
can be various challenges that the companies can face while choosing the mode of entry into the
global markets. The module helped me in understanding that the multinational companies
(MNCs) that are looking to expand their business are required to have the effective leadership
qualities that can help the organizations in leading the expansion of the business into the global
market (Brondoni, 2018). The module helped me in understanding that the organizations are
required to come up with the effective solution that can help the companies to overcome the
challenges that the organization can face while choosing the mode of entry while preparing to
enter global market.
I can review my own entrepreneurial qualities with the help of understanding the various
factors that can influence my qualities.
Strengths, I have the strength that I can effectively communicate with my colleagues. I also have
the strength that high quality presentation skills.
Weakness, I have the weaknesses that I lack the quality of effective time management, and I am
unable to perform better with the team.
Opportunities, There are various opportunities for me such as there are a lot of technologies in
the market that can provide me with better and effective entrepreneurial skills.
Threats, The changing policies of employment can be a threat can affect my entrepreneurial
skills.

REFERENCES
Books and journals
Abu-Rumman, A., 2021. Transformational leadership and human capital within the disruptive
business environment of academia. World Journal on Educational Technology: Current
Issues. 13(2). pp.178-187.
Brondoni, S.M., 2018. Competitive Business Management and Global Competition. An
Introduction. In Competitive Business Management (pp. 21-42). Routledge.
Bruyndonckx, R and et.al., 2021. Consumption of antibiotics in the community, European
Union/European Economic Area, 1997–2017. Journal of Antimicrobial Chemotherapy.
76(Supplement_2). pp.ii7-ii13.
DeGhetto, K and et.al., 2021. New ventures going global: Cognition and context. Journal of
Small Business Management. pp.1-30.
Gaur, A.S., Ma, H. and Ge, B., 2019. MNC strategy, knowledge transfer context, and knowledge
flow in MNEs. Journal of Knowledge Management.
Ghauri, P., Strange, R. and Cooke, F. L., 2021. Research on international business: The new
realities. International Business Review. 30(2). p.101794.
Harchaoui, T. M., Maseland, R. K. and Watkinson, J. A., 2021. Carving Out an Empire? How
China Strategically Uses Aid to Facilitate Chinese Business Expansion in Africa.
Journal of African Economies. 30(2). pp.183-205.
Ipsmiller, E. and Dikova, D., 2021. Internationalization from Central and Eastern Europe: A
systematic literature review. Journal of International Management. 27(4). p.100862.
Islam, R. and et.al., 2019. Impact of global leadership behaviors on performance of multinational
companies. Humanities & Social Sciences Reviews. 7(3). pp.661-670.
Jin, J. L. and Wang, L., 2021. Resource complementarity, partner differences, and international
joint venture performance. Journal of Business Research. 130. pp.232-246.
Pereira, C. I and et.al., 2021. Challenges at the early stages of the environmental licensing
procedure and potential contributions from geomorphology. Geoscience Frontiers.
12(6). p.101228.
Wagner, A and et.al., 2021. Representations of Political Leadership Qualities in News Coverage
of Australian and Canadian Government Leaders. Politics & Gender, pp.1-32.
Online
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<https://kelmer.com/blog/item/40-5-reasons-to-go-international.html>
9 Biggest Business Expansion Problems Faced By Entrepreneurs. 2020. [Online]. Available
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by-entrepreneurs/>
The Advantages of the EEC. 2022. [Online]. Available Through:
<https://www.theclassroom.com/the-advantages-of-the-eec-13660008.html>
Why companies internationalize. 2021. [Online]. Available Through:
<https://www.bi.edu/research/business-review/articles/2021/05/why-companies-
internationalize/>

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