International Business and Globalisation

This report covers the basics of international business and globalisation, including market-entry strategies, the impact of global trade, and an analysis of the pattern of internationalisation IB. It also includes a PESTLE analysis of the UK and Sweden, and a discussion on the difference in decision making between two international marketers/countries.

International Business
and Globalisation

Executive summary
International business is turned as any of the management that take place outside the edge of the
country. It deals with the sales of goods among the Nations. International management plays
very critical and significant role for the country as it supports in earning variable for an exchange
that enable the respective Nation to provide the export and as well as import services. It include
cereals out of entry modes such as exporting, licensing, foreign direct investment and as well as
franchising that can be utilised by the management of business to expand their organisation. In
respect to evaluate the internal, external and as well as competitive situation the respective
management suitable framework that have to be used by the management that support in
enhancing the productivity and profitability of the company. In the below report it include
discussion of international business and its globalisation. This report cover induction of selected
management which want s to expand. Then it cover rational of expanding in other Nation.
Furthermore it cover recommendation in which manager wants to expand and why. Then it
involve barriers in between and implementation section in a targeted field of thr nation.

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
The impact of global trade/ globalisation...............................................................................1
Difference of decision making between 2 international marketers/ countries.......................3
An analysis of the pattern of internationalisation IB..............................................................4
Critical application of theories used to formulate solution to practical problems when planning
for different international markets..........................................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
International business management might be termed as the organisation of several organising
function that provide their facilities in more than one Nation. By having wider term of
development of the international management, respective individual are in demand who have a
suitable term of knowledge and understanding of international market place. International
management is termed as a trade of products and services, capital, Technology as with National
border and with global term of scale with dealing. It covered transaction in cross borders of
products and facilities among two or more Nations. It relates to the international management
which is termed as globalization. While expanding any organisation of business could be certain
section that are to be evaluated by the manager of the business. The respective management
consider in this report is Computacenter plc. It’s headquarter is in Hatfield, Hertfordshire. It is
British multinational company who provide computer services to both public and private sector
clients as effectively and efficiently. The following project include the brief introduction of
chosen organisation and several entry modes that are utilised by them in respect to expand their
organisation in the field of global market place. Management do international sections of system
to increase their consumer base and attract foreign consumer. It will also support them in
maximizing profitability as effectively. The following project also valuate the choice of country
in which they are going to expand their company.
MAIN BODY
The impact of global trade/ globalisation
International networks and expertise of foreign markets also help SMEs expand
internationally. There are four different sorts of drivers for establishing a global strategy at the
industry level: the market driver, the cost driver, the government driver, and the competitive
driver. International business's driving forces Higher Profit Rate - Achieving profits is the
main goal of any firm. Businesses go for international markets where there is potential for higher
rates of profits when the home markets do not guarantee such a rate.
Companies with a global presence are more productive and competitively viable. There
are, nevertheless, a few prerequisites in this regard, including a consistent return on sales, free
cash flow, expertise, and experience. In addition, there is already a demand in the target market.
Drivers of international business
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 Greater Profit Rate - The main goal of any firm is to make money. Business firms look
for international markets where there is potential for a better rate of profits when the
domestic markets do not guarantee a higher rate of profits. As a result, the desire for
profit influences and spurs businesses to expand internationally.
 Production Capacity Expansion above Domestic Country Demand - Some domestic
businesses increase their production capacity above the level of domestic demand. These
businesses are compelled to export their excess production in industrialised nations
abroad in such circumstances.
 Limited Home Market - When the domestic market is too tiny, either because of the
populations smaller size, because everyone's purchasing power is lower, or both,
businesses expand internationally.
 Technology and Competent People Resources Availability - The presence of cutting-edge
technology and qualified human resources in some countries serves as a draw for
businesses from other nations.
 Market Share Growth - By extending and stepping up their activities in various foreign
nations, some significant commercial firms hope to increase their market share in the
worldwide market. The larger corporations expand to increase their market share,
whereas the smaller companies do so to ensure their survival.
International market-entry strategies
The most effective international market entry tactics used by multinational corporations are
mentioned below.
Exporting
Exporting is considered to be a low-risk approach that enables quick entry into a new
market, making it a strategy that is heavily favoured by the majority of SMEs and start-ups.
Companies can explore overseas markets with little effort and risk by exporting their products.
Franchises and licences
It will be possible for foreign businesses to sell the brand or represent it in those markets
by signing licencing or franchising agreements. Considerations include achieving uniformity in
the products or services, messaging, positioning, and intellectual property. Contracts must be
written in a way that is sufficient to be legally binding.
Strategic relationships and partnering
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Utilizing local knowledge and contacts is possible using this well-liked technique.
Typically, partnerships are created in win-win situations. Compared to licencing or exporting,
this calls for a bigger commitment. It is preferable to select a business partner who has a strong
"corporate fit" with their own company and who has comparable goals and beliefs.
By purchase, a wholly owned subsidiary
Compared to organic growth, this kind of market entry is quick. Usually, the acquired
company's management team and infrastructure are kept. When it comes to integration,
international acquisitions can be challenging, so bigger, cashier firms are more likely to employ
this tactic.
Greenfield project using a wholly owned subsidiary
The company will join the new worldwide market by establishing a wholly new operation
and legal entity, and this entry technique means that the company owns 100% of the overseas
entity. This technique involves greater degrees of risk and expenditure, as well as longer start-up
times, despite the fact that customers nonetheless have complete control.
Difference of decision making between 2 international marketers/ countries.
PESTLE analysis of UK
 Political Factor – This factor basically involves various kinds of the policies of the
government regarding the policies of taxation as well as rules and regulations and various
other. This element ha The influence or the growth as well as success of the United
Kingdom for the long period of time in the market area. In addition to this there are
various kind of political features that are known to be the stability of the government,
democracy, imposed laws of the United Kingdom and many other (IGWE, and
RAHMAN, 2022).
 Economic Factor – This component has the important influence on the entire growth as
well as success of the economy of the United Kingdom. This can also be considered to be
the reason for the failure and decline of the nation because of there operations for the
long time. In addition to this if there is any type of changes as well as alteration in the
components like inflation, foreign exchange rates rate of interest and various other
components then it might impact the smooth flow of functioning of the economy of the
respective nation..
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 Social Factor – This component refers to the social bound status which influence the
attribute as well as behaviour of the citizens of the respective nation. Moreover to this the
social culture condition of the United Kingdom is mainly influenced by the economy of
the businesses and country..
 Technological Factor – This component also includes the adaptation of the latest tech
that can be useful for the respective country United Kingdom. As now a days this will
provide support to the commercial businesses in enhancing their effectiveness and also
the efficiency of the nation as well as of the businesses (Epede, and Wang, 2022).
Moreover to this latest technology and organization are working in collaboration among
each other because the innovation of technology might influence the operations of the
business optimistically and gives the result in enhancement in the profitability and
sustainability of the organization in the United Kingdom..
 Legal Factor – Every of the commercial business has to face various of problem stater
imposed by the legal authorities of a particular nation. In addition to this element means
to various type of the imposed laws as well as regulation which r imposed by the
government of United Kingdom that majorly is associated to the well being and safety as
well as health of the employee and consumer and also the betterment of the environment
and various other period several condition of legal may have the impact on the
functioning of the businesses in the particular nation..
 Environmental Factor - This component in todays time is having major of the
importance and it is very crucial for the respective nation United Kingdom in order to
impose the policies as well as draws that restrict the commercial businesses 2 enhance the
level of industrial waste which can lead to enhancing the plastic and carbon emission in
the environment. As this can assist the nation in minimising the global warming and it is
beneficial for the environment for long period of time. (EL Sherif, Adjasi, and Graham,
2022)
PESTLE analysis of Sweden
 Political Factor - Sweden is known to be the one of the world class nation across the
globe. In addition to this the country is possessing appropriate as well as fair and also the
peaceful welfare and it has also accomplished a specific standard of living. As the
respective nations Sweden is known to be one of the suitable nation in order to scale the
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operations of the businesses in one of the most effective as well as efficient way. This
also brings optimistic results in context with any kind of commercial business.
 Economic Factor - As government of the sweden is known to be very helpful as well as
supportive any commercial organization are planning to scale their operation in the
market area of Sweden then the legal authorities of the respective nation will focus on
supporting them appropriately. Moreover to this as the Sweden per capita income is
known to be one of the highest across the globe but the taxes of the country is also hi.
The nation is known to be majorly relying on the global free trade in accordance to
manage its long term standard of living in an effective as well as efficient way (Ding,
2022).
 Social Factor - This has basically recommended to the businesses in order to scale the
operations of their organization in the respective nation Sweden because the country is
possessing several strength such as they are possessing very skillful as well as talented
workers and they are also updated with the latest technologies and they also focus in
investing more and more capital in their department of research and development.
 Technological Factor - The respective nation Sweden involves of various skillful and
talented workers that can provide several services regarding the advancement of
technology with broader term of hard work in achieving long term objectives as well as
goal of the business. In addition to this it will give the outcome in carrying out various of
the innovative as well as creative content and other techniques in accordance to enhance
the opportunities of growth in the market area of Sweden.
 Legal Factor - Sweden is involving of several of the legal policies and laws for the
production and manufacturing strategies that provide assistance to the commercial
businesses in creating the new offering as well as selling it in the market area to the
consumers. (Davoine, and Schmid, 2022)
 Environmental Factor - The respective nation Sweden is majorly focus in the betterment
of the environment so that they have imposed various of the legal policies which are
needed to be followed by the commercial businesses in order to smoothly function their
operations in the market area of the Sweden..
An analysis of the pattern of internationalisation IB.
SWOT analysis -
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 Strength - The supply chain management of both the respective nation is known to be
very strong and it act as the major strength of the nations for long period of time period in
addition to this over the various of the years appropriate network of distribution has been
developed by the organization that are functioning in the nation's that provide support to
them in tapping to the various of the potential market area of the United Kingdom as well
as Sweden in effectual as well as efficient way (Chimakonam, and Enyimba, 2022).
 Weakness - The nations are not focused investing more in the analysis of the behaviour
as well as trend of the consumer that is known to be one of the major weaknesses that is
encountered by the commercial businesses in these nations. Moreover to this because of
the lack of research and development can give the outcome in dad the organization is not
capable to Expand their operations in an effective as well as efficient way in the market
area of United Kingdom as well as in the Sweden.
 Opportunity - The nations are possessing the potential opportunity in accordance to
scale their strategies in the global market area with the support of the methods of digital
marketing as well as several different platforms of social media such as Instagram,
Facebook and various other period these methods are known to be very very cost
effective and provide support in creating appropriate reputation of the nation in the
mindset of the people as well as organization that are planning to scale their operations in
the respective nations(Calabrò, Chrisman, and Kano, 2022).
 Threat - Enhancement in the price of the raw material as well as enhancement in the
level of rivalry is known to be one of the major threat that are encountered by the both the
nations United Kingdom as well as Sweden. In addition to this over the various of the
years rivalry has been enhanced in the market area because of that the nation are required
to minimise there taxes and also the other policies are need to be convenient in according
to make the businesses scale their operations in the market area of both the organisations
and countries.
Discuss advantages for focussing on the country that you think best (to expand into)
The Computacenter plans to grow its clientele in Sweden. Both business atmosphere and
climate of Sweden making it among the greatest countries for business operations. This country
is also referred to as the "country of both the Svea." In accordance with the WEF Global
Competitiveness, that nation has an economic growth and is among the top places in the world
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for investment spending. The selected nation, with such a gross domestic product of 708 billion
and an Economic output of USD 57.334 in 2020, is among the most advanced nations on the
planet. Additionally, Sweden's rate of inflation rises from 6% to 6.2 % in November 2021, which
is still relatively low in comparison to other nations.
Critical application of theories used to formulate solution to practical problems when planning
for different international markets.
Current international strategy
Bartlett & Ghoshal's model -.
 International strategy - This technique is utilised by the commercial businesses at the
time when there are similarity among the few income and markets from the international
integrating. In the technique commercial businesses are functioning internationally but
the offices of the organization are in the Home nation (Bhatt, and Sharma, 2022).
 Multi-domestic strategy - This method is basically focused into the understanding at the
time when there are low differences among the demand of the market as well as some of
the advantages from international integrating.
 Global strategy - This method is utilised only at the time when there is essential
economy as well as demand of the market is similar. In addition to this subsidies
organization are positioned in the respective nation but entire range of practices are
conducted in the home Country.
 Transnational strategy - This technique is utilised at the time when there are stress as
well as pressure of addressing the requirements domestically and also get advantages
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from the integrated internationally and in this type of the technique management of the
new team as well as of the members of them organization are needed that will support in
constructing the knowledge as well as shared values (Bergquist, and David, 2022).
. The existing strategy of global marketing that is basically utilised by the both the nations is
known to be the Computacenter is transnational strategy, In addition to this respective nations
focus on implementing several policies which provide assistance sugar commercial businesses in
order to make them scale their operations of the business into their market area ineffective as
well as efficient way without any type of barrier and problems.
CONCLUSION
From the above report it has been concluded that the Global Management of business is
commonly known to be the scaling of the practices of the organization in another nation.
Moreover to this in accordance to scale the operations of the organization in the different nation
is very crucial for the commercial businesses to evaluate the specific atmosphere and
environment of that particular country. In addition to this evaluation of the environment of the
country has been done with the assistance of the appropriate methods and framework which are
SWOT analysis as well as pestle analysis. There are few recommendation which are also be
provided to the nation that will assist the organization inconveniently expanding the operations in
to the Newmarket area.
Recommendation:-
 If the commercial business requires to overcome from the weakness as well as threat of
enhanced level of bargaining power off the consumer then this has been recommended to
the commercial business that they need to focus on building a team of appropriate
supplier who's the operations of the business are entirely rely on the Computacenter
(Ahamad, 2022)
 In accordance to overcome from the issue of enhance level of rivalry in the market area
so this has been recommended to the commercial businesses that they are required to
construct few of the sustainable as well as long term successful modification in their
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product as well as services together with through enhancing the scale of economy which
they can appropriately compete in the existing market area.
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REFERENCES
Books and Journals
Ahamad, S.F., 2022 Leadership Amidst Culture Crisis: How to Manage the Impacts of
Globalisation.
Bergquist, A.K. and David, T., 2022. Beyond Limits to Growth!: Collaboration Between the
International Business and United Nations in Shaping Global Environmental
Governance.
Bhatt, V.K. and Sharma, B.K., 2022. Determinants of customer experience management and its
impact on experience quality in the tourism industry in India. International Journal of
Business and Globalisation, 30(1), pp.14-25.
Calabrò, A., Chrisman, J.J. and Kano, L., 2022. Family-owned multinational enterprises in the
post-pandemic global economy. Journal of International Business Studies, pp.1-16.
Chimakonam, J.O. and Enyimba, M., 2022. Globalisation and the challenge of coloniality of
power. South African Journal of International Affairs, pp.1-20.
Davoine, E. and Schmid, S., 2022. Career patterns of top managers in Europe: Signs of further
globalisation?. European Management Journal.
Ding, X., 2022, March. Is Industrial Policy Still Applicable Today under Globalisation?. In 2022
7th International Conference on Financial Innovation and Economic Development
(ICFIED 2022) (pp. 2380-2383). Atlantis Press.
EL Sherif, R., Adjasi, C.K.D. and Graham, M., 2022. Gender spillovers in foreign direct
investments: An analysis of Namibia. Thunderbird International Business Review.
Epede, M.B. and Wang, D., 2022. Global value chain linkages: An integrative review of the
opportunities and challenges for SMEs in developing countries. International Business
Review, p.101993.
IGWE, P.A. and RAHMAN, M., 2022 GLOBALISATION PARADOX AND ECONOMIC
COMPETITIVENESS OF EMERGING ECONOMIES.
Lee, M.H., 2022. Coping with Globalisation and Disruption: The Making of Higher Education
Reforms in Singapore. In Discourses of Globalisation, Ideology, Education and Policy
Reforms (pp. 83-97). Springer, Cham.
Masrani, S.K., Morelli, C.J. and Bagchi, A.K. eds., 2022. Indian Business in the Twentieth
Century: Development within an Era of Globalisation. Taylor & Francis.
Nilavan, C., and et.al., 2022. Factors affecting consumers' intention to purchase smart
condominiums in the Bangkok metropolitan area. International Journal of Business and
Globalisation, 30(3-4), pp.382-395.
Schirm, S.A., 2022. Globalisation, Divided Societies and Nation-Centred Economic Policies in
America and Britain. European Review of International Studies, 9(2), pp.240-269.
Sharif, A., and et.al., 2022. Nexus between green technology innovation, green financing, and
CO2 emissions in the G7 countries: the moderating role of social
globalisation. Sustainable Development.
Sharma, S., 2022. Globalisation and Dispute Settlement Mechanism in International Trade
Law. Issue 1 Int'l JL Mgmt. & Human., 5, p.101.
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