Grain Corporation: Strategic Management for Expansion in Chinese Market

Running head: Strategic management
Grain Corporation
Strategic
management

Strategic management
Executive summary
The main object of this report is to discuss about the role and significance of agri-business sector
in the global market. Grain Corporation has been chosen in the report as an example to explain
and outline the role of agribusiness in Chinese market. International strategies and entry modes
are also presented in the task that helps the firm in implementing the business activities in China.
At the end, some recommendations for improvement and expansion in Chinese market also have
been discussed briefly.
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Strategic management
Table of Contents
Executive summary.....................................................................................................................................2
Introduction.................................................................................................................................................4
International opportunities for Grain Corporation Limited in China...........................................................5
International strategies for expansion business in China.............................................................................5
Transnational strategy.............................................................................................................................6
International strategy..............................................................................................................................6
Multi-domestic strategy..........................................................................................................................6
Entry modes to the international market......................................................................................................7
Appropriate entry modes.........................................................................................................................7
Foreign direct investment....................................................................................................................7
Strategic alliance.....................................................................................................................................7
Inappropriate entry mode.............................................................................................................................8
Joint venture........................................................................................................................................8
Franchising..........................................................................................................................................8
Recommendations for future strategic direction of Grain Corporation........................................................8
Conclusion...................................................................................................................................................9
References.................................................................................................................................................10
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Strategic management
Introduction
Agribusiness sector is significant and play a vital role in every country to uplift profitability and
maximize GDP. Growth opportunities and employment are created through agribusiness sector.
Grain Corporation has been taken in the task to explain and outline the significance of agrifood
business sector in the global market. It is an Australian food company who renders innovative
grain services for the customers internationally. Various planning are done by the company to
enter into the foreign market. The paper portrays that how the Grain Corporation uses
international strategies to enter into the Chinese market. Chinese market will help the company
in providing various innovative opportunities in the marketplace. Along with this, appropriate
and inappropriate entry modes that can be implemented by the firm have been discussed in the
paper. More detail of the task is elucidated below.
Grain corporation limited is a public company listed on the Australia securities exchange in
Australia. The main business of the firm is the storage and receivable of grain and related other
communities. Also, it renders logistics and markets these commodities. The company was
incorporated in 1917as a New South Wales public sector agency (Graincorp, 2018). The unique
businesses, integrated and unique mix of assets permit people to render high quality of assurance,
scale, competitive prices and confidence of supply. The vision of the company is to be a leader in
agribusiness sector. The firm is responsible for actions, decisions and results. The aim of the
company is to achieve high outcomes, celebrate progress and learn from ample of mistakes. The
organization establishes good and strong relationship with producers and buyers in the
competitive market. In today’s competitive world, the company is proud to be a leading and
growing international agribusiness with diversified and effective operations and activities that
span four continents and international food supply chain. Grain marketing and handling services
are being rendered by the firm in today’s globalization world. Grain Corp. was listed on the
Australian stock exchange in 1998 which shows strong and dynamic growth of the firm through
acquisition. Safety, security, dignity, respect, customer satisfaction and accountability are
included in the core values of Grain Corp (Graincorp, 2018).
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