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International Business Environment : Essay

   

Added on  2020-01-23

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International Business Environment
International Business Environment : Essay_1
TABLE OF CONTENTSINTRODUCTION................................................................................................................................1ESSAY.................................................................................................................................................1Market Analysis for India............................................................................................................1Market analysis of Brazil.............................................................................................................5Porter’s five forces analysis of Brazil..........................................................................................8SWOT analysis for India.............................................................................................................9SWOT analysis for Brazil..........................................................................................................11Potential impact of risk for opening and entering into new market...........................................12Investment decision...................................................................................................................13References..........................................................................................................................................16APPENDIX 1.....................................................................................................................................19Appendix 2.........................................................................................................................................20
International Business Environment : Essay_2
ILLUSTRATION INDEXFigure 1: PESTLE analysis..............................................................................................................2Figure 2: Porter's five forces model.................................................................................................4Figure 3: PESTLE analysis..............................................................................................................6Figure 4: Porter’s five forces model................................................................................................9Figure 5: SWOT analysis...............................................................................................................10Figure 6: SWOT analysis...............................................................................................................12
International Business Environment : Essay_3
INDEX OF TABLESTable 1: PEST for India...................................................................................................................3Table 2: PEST analysis for Brazil...................................................................................................8
International Business Environment : Essay_4
INTRODUCTIONInternational business environment is defined as exchange of goods and services betweentwo or more countries[ CITATION Ham15 \l 1033 ]. In this process buying and selling of goodsis done in the global market of countries EU manufacturing company of UK is planning to set upa new organization in India and Brazil. In the present report relevant analysis models, theoriesand their critical evaluation has been done. In this report PESTLE, Porter’s five forces model andSWOT analysis has been done for India and Brazil. In addition to this, potential risk for businessto enter into new market has been explained in the report.ESSAYGlobalisation has provided opportunities to organizations to expand their existingbusiness in other countries[ CITATION Coo14 \l 1033 ]. Different risks and challenges areassociated while expanding business in other countries. EU manufacturing company is planningto open its new organization in India and Brazil[ CITATION Bea13 \l 1033 ]. There are somechallenges for company to expand the scope of business in both countries which are as follows:Market Analysis for IndiaPESTLE analysis: PESTLE analysis helps in identifying the factors of particular countrythat affects the business, that is, political, economic, social, technological, legal and ethicalenvironment[ CITATION Fer14 \l 1033 ]. It provides detailed analysis of external factors thatmight affect company to increase the scope of business by operating in India. Political factorsIndia is one of the largest democratic countries in the world. Political environment ofIndia gets affected by policies made by government, interest of politicians and various opinionsof political parties[ CITATION Agu16 \l 1033 ]. Political factors put a huge impact on thebusiness environment of firm operating in India. Various other taxes are also imposed by thegovernment of India that put a direct impact on business organization[ CITATION Ver13 \l 1033]. On the other hand, government is also influencing privatization and motivating free businessesby scheming variety of programs[ CITATION Cam17 \l 1033 ].1
International Business Environment : Essay_5
Economic FactorsSince the policies for industrial reformation came into force in India economy of India isgrowing steadily[ CITATION Ish14 \l 1033 ]. This policy has decreased industrial licensing andrestriction has been removed from foreign capital. Industrial formation policy has alsointroduced FIBP in India. Economic environment of India has been improving due to this policy.India has reported GDP of $5 trillion in the year 2013. In the year 2014, GDP has increased by5% in comparison to the previous year[ CITATION Che17 \l 1033 ].Social factorsSocial factors are defined as change of trends in particular country that may adverselyimpact the business environment[ CITATION Cam17 \l 1033 ]. Continuous rise in population ofIndia is resulting in the rise of cost of pension and enhancement of employment[ CITATIONChk14 \l 1033 ]. So government of the country is following structure which providesemployment according to age. Criteria of these structures are described according to education,background, distribution of income, working attitudes, etc.[ CITATION PES171 \l 1033 ].Figure 1: PESTLE analysis(Source: PESTLE, 2017)2
International Business Environment : Essay_6

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