International Business: Business Expansion in Global Markets

INTERNATIONAL
BUSINESS

EXECUTIVE SUMMARY
The project report will define the concepts of international business and how a business can
successfully operate in international market. The project highlights all necessary information
which defines the internalization approaches which can be followed by an organisation to expand
their business in international markets. The study defines the purpose of companies behind their
global expansion and how this global expansion can be helpful in attracting business growth
opportunities and meeting organisational objectives. The report will also outline various barriers
and obstacles which can be faced by an organisation in the business expansion into global
markets and the approaches of internationalisation which will be followed by an organisation to
function and run a business in global industry.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION ..........................................................................................................................4
ANALYSIS AND DISCUSSION...................................................................................................4
Company overview and rationale for going international...........................................................4
Recommendation for place for business expansion and justification..........................................5
Define the barriers which will be faced while expanding internationally...................................8
Critically evaluate an implementation approach for internationalization process for specified
target market................................................................................................................................9
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................13

INTRODUCTION
International business refers to the trading of good, services, technology and knowledge
across national borders of two or more countries. The mediums through which an organisation
can operate internationally are exporting, licensing, franchising and Foreign Direct Investments
(FDI). The business operating at international level are large in size and creates more
employment opportunities through which unemployment rates can be reduced. International
business is the opportunity for an organization for their business expansion across different
borders and global markets which also helps in increasing the revenues, ensure effective risk
management strategies, disposal of surplus goods and supports in decreasing the competition.
Next Plc formerly known as J Hepworth & Sons is a public limited multinational company
which offers clothing, footwear and home products. The company was founded by Joseph
Hepworth in the year 1864 in Enderby, England, UK. Next Plc is current operating as one of the
largest clothing retail companies which is operating in UK (Apetrei, Kureshi and Horodnic,
2015). The study will revolve around business expansion in international markets and
identification of such obstacles which are faced while business expansion and how these
approaches can be implemented for internalization process.
ANALYSIS AND DISCUSSION
Company overview and rationale for going international
Next Plc is a British retail brand which was established in the year 1864 in England, UK.
The retail company offers wide variety of products range and their product line involves
clothing, home decor products and footwear. Next Plc was established by Joseph Hepworth and
is operating in different regions such as UK, Europe, Asia and Middle East. In the year 1864, the
company was established and operated under the name of Joseph Hepworth & Sons which was a
partnership with James Rhodes and this partnership agreement further dissolved in the year 1872.
Next Plc is a public limited company and the owner is Next Holdings Limited. In the year 1986,
the parent company Joseph Hepworth & Sons changed its name to Next Plc (Buckley and
Ghauri, 2015). Due to rapid incline in technology and digitalization, the company has also
expanded their business through incline platforms in the year 2018. the operations of Next Plc
can be broadly classified under three channels which involves more than 550 branches in UK,
Next International with more than 180 stores and Next Directory with more than 3 million active