Suitable International Entry Option and Their Impact on Organisational Factors

International Trade

Table of Contents
Introduction......................................................................................................................................3
Main Body.......................................................................................................................................3
Suitable international entry option and their impact upon organisational factors.......................3
Reflection on market entry plan..................................................................................................5
The opportunity and involve risk for Australian high-tech medical equipment company in
expanding its business to Manounya...........................................................................................6
Conclusion.......................................................................................................................................9
References......................................................................................................................................10

Introduction
Every company aims to expand their business internationally to gain more profit and to
get more popularized. There are many entry modes for a company like export, franchising,
piggybacking, joint venture and many others. Companies are required to compare all entry
modes and identify which one will suit their business best to maximise their earnings (Schwens
and et. al., 2018). Here, they are required to analyse some pros and cons of each entry mode and
then opt that international entry mode strategy which has more advantages then their drawbacks
on business. Wesfarmers Limited is founded in 1914 and it is headquartered in Perth, Western
Australia. It is operating in retail, fertilizer, chemical and industrial and safety products. The
following report covers international entry system and their impacts upon organisational
structure, resources, and many others and how the manager will manage all factors for efficiency
of company. It also covers reflection on strategic global market plan and their learning.
Main Body
Suitable international entry option and their impact upon organisational factors
Every country aims to expand their market and grow well in their sector. Wesfarmers is
the company which provide its farming and industrial tools in 3-4 countries and they are required
to expand their market in more countries.
Hence, they can adopt Joint Venture option as an international entry option. Here,
two or more companies come together to form a single company and sell their products and
services to other countries. Wesfarmers company are recommended to form a joint venture with
those companies only who are popular in their country and have more customers. This will help
them to grow faster. Therefore, investigation is required and it is compulsory that they will invest
more in their marketing department and research and development department to analyse
marketing conditions and requirements of different countries and wherever they found scope for
their business they must plan to form joint venture with other famous companies in market after
proper research (Schellenberg, Harker and Jafari, 2018). When two companies come together to
jointly owned a business then it is called joint venture. Here two companies of different countries
come together for the benefits of using each other’s resources and to analysing market conditions
of both countries. This also helps to reduce the overall cost of internationalization of business.