Global Business Strategy: Arcadia Group Internationalization Process

Global Business
Strategy

Table of Contents
INTRODUCTION.......................................................................................................................................3
MAIN BODY..............................................................................................................................................3
Overview of company and key strategy decisions...................................................................................3
Identifying the key strategic decisions since the start of its internationalization process.........................3
Internationalization strategy....................................................................................................................7
Identifying the model/s used during the expansion strategy and the key capabilities used to support it. .8
Analyse how the company has added value in one host market and critically analyse the company’s
competitive positioning...........................................................................................................................9
Future Recommendations......................................................................................................................12
CONCLUSION.........................................................................................................................................13
REFERENCES..........................................................................................................................................14

INTRODUCTION
The term global business strategy defines that firm strategy guide to globalization when it
is connected world for allowing firms income are not to be restricted by margin. It is deciding
that it should be tradeoff between global integration and local approachable. This strategy is one
when it wants to compete their global market and extend. Chosen organization is Arcadia group
is a British retailing company which is based on London, England. It is a British retailer where
firm operate mid market also serves for adults or teenagers cloths. In this report, various topics
are to be covered such as overview of firm, key strategic decisions for internationalization
process, globalization, drivers, changing nature of global economy, analysis of strategy
internationalization, identify model using expansion strategy, how firm added value in market of
competitive positioning and recommendations will affect future performance of firm.
MAIN BODY
Overview of company and key strategy decisions
Arcadia group is a major multinational retailing firm which is based in London, England
and it was serving cloths for teenager or adults. This group has more than 2500 outlets in UK as
well as many departmental stores operated internationally. It is privately owned firm with seven
major high streets brands such as Burton, Dorothy Perkins, Evans, top man and Wallis. It has
various social media and over 680 locations and presence is felt all over world. It is leading
British apparel retailer that firm operates well known mid market brands that serve primarily
adults and teenagers. Arcadia group has around 2800 stores which include 1170 in global
locations and operates mainly 40 brand specific websites and nearly 30 mobile apps. Arcadia
group that has three distribution centers and Singapore and US has handled 130 million products
in a year. In 2019, it was reported that this firm has controlled over Green family and record
300m in pension fund (Alvi and et. al., 2020).
Identifying the key strategic decisions since the start of its internationalization process
Globalisation
Globalization is considered as the process that interact & integrate people , organisations

& government internationally. Basically globalisation accelerated in 18 th century due to the
advancement in transportation & communication technology. It can maintain the
interdependence of the economies, population , culture that brought by cross border trade om
products and services , technologies & investment (Berman and Dalzell-Payne, 2018).
Globalisation Drivers
There are four globalisation drivers underline in each and every industry that can create
potential for that particular industry and help to become more global and consider the global
approach and Strategies. The description of various globalisation drivers are given below -
 Market Drivers: This driver can consider the customers requirements and their behaviour
towards particular goods & services. Company can understand the distruption patters and
identify the customers need coverage all around the world. Cost Globalisation Drivers : This driver can analyse the opportunities for the global
scales and understand the scope of the economy. Company can estimate the cost of the
goods & services and experience it's effects and reflecting the differentiation in term of
cost between the countries and regions. With the help of technological advancements ,
company can shape the industry economy.
 Competitive Drivers : This driver mainly considered the import and export volume and
understand the diversity of the competitors in term of local and national and international
origin. High level of the trade, Competitive diversity and more interdependence can
increase the Competition.
 Government Drivers : It can include the presence and absence of the favourable trade
policies , regulations , technical standards can affect the global strategy and essential to
shaping the global Competitive atmosphere in the industry (Chatterjee, 2017).
Changing Nature of the Global Economy
On the basis of current scanerio, there are few changes can occur in term of globalisation.
Changes can occur slowly but surely changes can take place relation to the global economy.
Trade shares of global market are constantly moving from the developed countries to developing
countries. Now foreign direct investment can increase the global economy development &
welfare , since organisations in the developed countries are investing in the more optimal