Business, Economic and Social Environments of Brazil, France and South Korea for the Westpac Bank of Australia

Running head: INTERNATIONAL BUSINESS
International business
Name of the business
Name of the university
Author note

1INTERNATIONAL BUSINESS
Executive summary
The aim of this report is to discuss about the business, economic and social
environments of Brazil, France and South Korea in order to determine their market
potentiality for the Westpac bank of Australia. Various dimensions are being used in this
report in order to identify the issues to be faced by Westpac in entering in these
countries. Information regarding these three countries is being gathered from various
global indexes. This report concludes that, France will be the ideal foreign country to
enter for Westpac. In addition, this report also recommends that, Westpac should
initiate strategic partnership in order enter in the foreign countries.

2INTERNATIONAL BUSINESS
Table of Contents
Introduction........................................................................................................................3
Country overview of France...............................................................................................3
Business environment....................................................................................................4
Market scenario..............................................................................................................6
Macroeconomic environment.........................................................................................7
Socio-cultural environment............................................................................................8
Identification of the issues in operating in France.........................................................9
Country overview of South Korea......................................................................................9
Business environment....................................................................................................9
Market scenario............................................................................................................11
Macroeconomic environment.......................................................................................13
Socio-cultural environment..........................................................................................13
Identification of the issues in operating in South Korea..................................................14
Country overview of Brazil...............................................................................................14
Business environment..................................................................................................15
Market scenario............................................................................................................17
Macroeconomic environment.......................................................................................19
Socio-cultural environment..........................................................................................20
Identification of the issues in operating in Brazil.............................................................20
Recommendations...........................................................................................................21
Conclusion.......................................................................................................................22
Reference........................................................................................................................23

3INTERNATIONAL BUSINESS

4INTERNATIONAL BUSINESS
Introduction
Globalization is the latest trend in the current business scenario being practiced
by the contemporary business organizations. This is due to the reason that, in the
current business scenario, competition is higher in the market and thus it is important for
the contemporary business organizations to increase the market presence beyond their
home country (Lane 2013). However, there are various modes being involved by the
contemporary business organizations in entering in the foreign markets. Few of the
suitable entering modes for the business organizations are the strategic relationship,
merger and acquisitions and import and export (Brondoni 2014). Effectiveness of the
modes is being determined by the business and social environment of the host
countries.
Westpac is the first and oldest bank of Australia. Currently, they are being
considered as one of the top four banking institutions of Australia (Westpac.com.au
2018). They are having their global presence in different countries in Asian region along
with having their presence in New Zealand, Fiji and United Kingdom. However, due to
the increase in the competition in the market, they are facing the issue with their
profitability. Thus, they are looking for entering in new markets in France, South Korea
and Brazil. This will help them to enhance their global presence along with increasing
the market share. However, it is also important for them to determine various factors in
relation to the business and social environment of these countries.
This report will discuss about the market opportunity, government regulations in
relation to the investment of these countries. Moreover, the cultural aspects, foreign
exchange rates along with other issues to be faced in entering in these countries will
also be discussed in their report. In accordance to the identified issues, various
recommendations will be discussed in this report along with discussing the effective
market entry strategies.
Country overview of France
France is one of the leading economies in the European regions with having
favorable market and business opportunities. They are also having favorable

5INTERNATIONAL BUSINESS
infrastructure for the business operation (Singh and Bourgouin 2013). The following
sections will discuss about the different elements of business environment of France.
Business environment
Figure: 1 Corruption index
Source: (e.V. 2018)
As per the corruption index, 2016 of Transparency international, France is having
the score of 69, which portrays less impact of the corruption in the country. Thus, it will
be favorable factor for Westpac to have their operation in France due to the reason that,
they will face less charge of corruption in the country.