International investment report PDF

Running head: INTERNATIONAL INVESTMENT REPORT 1
International Business Law
Name
Institution

INTERNATIONAL INVESTMENT REPORT 2
Executive summary
Global International Limited is an international company from Australia. The owners of
the company have expanded the country up to international level. Currently, the company has
penetrated into several international markets. The company has not penetrated in the African
continent. The company has the intention to open a new branch in either Kenya or South Africa.
Before the company can decide the best to put up their new branch, they have to understand the
legal environment of the two countries. They also have to understand the business environment
of the two countries. This will help them in coming up with a proper decision.
Different countries have several variations in the law that regulate business activities.
This difference necessitates Global International to acquaint herself with the laws of the country
of operation. This will facilitate the smooth running of the company. From the comparison
conducted, it is recommended that the directors of Global International Limited should open a
branch in South Africa. This is because South Africa has a lot of growth opportunities for the
company.

INTERNATIONAL INVESTMENT REPORT 3
Table of Contents
Executive summary.........................................................................................................................2
Introduction......................................................................................................................................5
Australia legal system......................................................................................................................5
Comparison of the Australian legal system with Kenya and South Africa.................................6
Laws governing business operation in Australia.............................................................................6
Employment laws.........................................................................................................................6
Discrimination.........................................................................................................................7
Maternity and family leave rights............................................................................................7
Terms and Conditions of Employment....................................................................................7
Termination of Employment....................................................................................................8
Comparison of Australian employment law with Kenya and South Africa................................8
Intellectual Property Laws...............................................................................................................9
Patents..........................................................................................................................................9
Trademarks.................................................................................................................................10
Copyright...................................................................................................................................10
Design rights..............................................................................................................................10
Trade secrets and confidential information................................................................................11
Comparison of Australian intellectual property law with Kenya and South Africa..................11
Agency...........................................................................................................................................12
Comparison of Australian Agency law with Kenya and South Africa......................................12
 The agency relationship in the three countries are mostly governed by the contract
relationship formed between the principal and the agent. The laws related to agency in the three
countries are similar.......................................................................................................................12
Law of Tort....................................................................................................................................12
Comparison of Australian Tort law with Kenya and South Africa............................................13
Contract Law.................................................................................................................................13
Comparison of Australian Contract law with Kenya and South Africa.....................................13
Recommendation to the Board of Directors..................................................................................13
Conclusion.....................................................................................................................................14
References......................................................................................................................................16

INTERNATIONAL INVESTMENT REPORT 4
APPENDIX 1.................................................................................................................................17
APPENDIX 2.................................................................................................................................18
APPENDIX 3.................................................................................................................................19
PESTEL ANALYSIS OF BUSINESS ACTIVITIES IN THE REPUBLIC OF SOUTH AFRICA....19
APPENDIX 4.................................................................................................................................21
SWOT ANALYSIS OF BUSINESS ACTIVITIES IN THE REPUBLIC OF SOUTH AFRICA........21

INTERNATIONAL INVESTMENT REPORT 5
Introduction
Globe International Limited is an international company that was founded in 1985 in
Australia by three native brothers of Australia. They deal in production and distribution of
apparel meant for specific activities such as those used in workplace and sports, footwear and
skating board hard goods. The company’s products are divided into proprietary brands,
distributed brands and licensed brands (Singer, 2018). The company has several international
offices located in different countries. The company has operation activities in Australasia, North
and South America and Europe.
The company’s products are consumed in more than a hundred countries internationally.
Despite having an international presence, Globe International has not attempted to penetrate the
African market. A detailed analysis of Kenya and South Africa business environment will help
the company to decide which of the two countries to invest in. in this paper, the legal system of
Australia will be reviewed (Liu et al., 2018). It then is compared with the legal system of Kenya
and South Africa in relation to business operation. In this paper also, the SWOT and PESTEL of
South Africa will be discussed and finally, a recommendation is going to be given to the board of
directors of Globe International Limited on the country they should invest.
Australia legal system
The Australian legal system is derived from England which was her colonial power.
Australian constitution came into effect in 1901. This constitution led to the formation of a
federal system of governance (Murphy, Grant & Anthony, 2018). The constitution highlight

INTERNATIONAL INVESTMENT REPORT 6
exercise of power between the government at the national level and the states. It also highlights
the limits of law formulation between the government and the states. Three types of powers are
involved in the Australian legal system. They are the executive, the judiciary and the legislature.
Figure 1. Australian legal
structure. Page source:
http://libguides.anu.edu.au/
c.php?
g=634887&p=4547083
Comparison of the
Australian legal system
with Kenya and South Africa
The legal system of three countries varies slightly. The laws of Kenya and Australia are derived
from England while the law of South Africa is a mixture of civil law from Dutch, British laws
and customary laws.
Laws governing business operation in Australia
Employment laws
The company operating in Australia have to comply with the employment laws as
stipulated in the Fair Works Act 2009. The Act gives guideline in areas such as work, health and
safety matters and non-discrimination guidelines (Dawkins, Tian, Newman & Martin, 2017).