Strategic Management in Global Context for Meadow Foods entering Chinese Market

Strategic Management
in Global Context

Table of Contents
Executive summary..........................................................................................................................3
INTRODUCTION...........................................................................................................................4
Internal and external analysis.................................................................................................4
Three modes of market-entry and recommendation with justification..................................6
To what extent should the chosen business unit be standardised or adapted.........................8
Porter’s generic strategy to gain competitive advantage by adopting one of the generic
strategies.................................................................................................................................9
Strategic business plan.........................................................................................................11
CONCLUSION..............................................................................................................................12
REFERENCE.................................................................................................................................13
Executive summary
The aim of this report is to identify an organisation and plan to enter to a country which
would be suitable for the business. The organisation is Meadow Foods which is a supplier of

milk and dairy products and they are entering into Chinese markets. In this report, it includes
internal and external analysis of Chinese market. Also, different modes of market entry is also
highlighted. The organisation should select business unit as standardised or adapted for the
Chinese market with justification. Porter's generic strategy is mentioned for gaining competitive
advantage and strategic business plan is included for measuring its success.

INTRODUCTION
Strategic management is the ongoing planning, monitoring, analysis and evaluation of all
the essentials which is required by a firm to meet their goals and objectives. This needs ongoing
evaluation of procedures in a firm and external factors which create impact on functions of an
organisation. In this report, Meadow Foods is taken as base company which will enter in the
markets of China. Meadow Foods is the manufacturer and supplies dairy products and
ingredients. The organisation specialises in selling of dairy products such as sweetened
condensed milk products, chocolate crumb, milk, butter and cream. This organisation was
established by Lewis Brothers in 1992 in UK. This report highlights the internal and external
analysis of China and modes of entry method. Also, standardised or adopted strategy used by the
organisation with Porter's generic strategic is mentioned. A business plan is also included which
will measure its success in Chinese market.
Internal and external analysis
SWOT analysis
SWOT analysis is tool which is used by an organisation to analyse the competitive
position as well as for developing strategic planning.
Strength: One of the major strength is that, China has huge population and they provide
cheap labour which the selected organisation could easily hire them for setting up their business
in Chinese market. China has good dairy cows which is in large number (Alnoaimi, 2019).
Weakness: Despite China is providing cheap labour, much of the population is still
unemployed. The rural areas of China are getting fade which is creating impact on the
employability of people. Another weakness is that, people of China specially children are lactose
intolerance which means that milk product doesn't suit them.
Opportunities: One of the key opportunity for China is that, agriculture is the prime
source of income for rural China. People are migrating towards cities which results in declining
of their area.
Threats: The closed nature of Chinese government and growing economic with high
population rate has created a negative image of China across the globe (Badaoui and Chettih,
2017).
PESTLE analysis