Strategy in the Global Market

This presentation explores the strategy in the global market and its impact on businesses. It covers topics such as PESTEL analysis, areas of potential competitive advantage, Porter Value Chain, analysis findings, challenges, potential opportunities, and recommendations. The focus is on understanding the external environment, identifying competitive advantages, and making strategic decisions for success.

strategy in the global market
place

Table of content
 PESTEL Analysis
 Areas of potential competitive advantage
 Porter Value Chain
 analysis findings and identify challenges and
potential opportunities that exist for the
organization
 Recommendations
 Conclusion

INTRODUCTION
In business, strategy play important role in development of
business goals and objectives. Strategy is defined as set of
tactics which are used by entity to achieve both short and long
term goals (Inge, 2019). A business chooses not to extend
internationally, can face domestic competition from
international companies that are extending their international
presence. The presence of this competition almost makes it a
requirement for many businesses to have an international
presence. Main purpose of this report is to carry out the
strategy in market and globally with business perspectives.

Analyze external environment using appropriate strategic
frameworks
External environment are defined as environment which
comprises of external elements that affects the overall
organisational structure, functions and operations. So, to
examine these impact it is important to use strategic
frameworks so that analysis is done properly. In relevance with
Nandos, they have a diversified and large scale business
globally, which have impact on there strategy & tactics as well.

PESTEL Analysis
It is a strategic framework which is used by organisation to identify
the factors affecting business externally (Björkman, 2019. It is most
used tools as it helps in examining of elements through which
decision making is being affected. By proper use of this tool, firm is
able to take decisions effectively.

Political factor-
These factor reflects the involvement of government within the
economy. It includes political stability, environmental law, foreign
trade policy, tax policy etc. In relation with Nandos,they also get
affected by these elements as they are have entered into China's
market they can be get impacted by corporate tax, business rate,
trade restrictions etc. (deMatos, 2020).

Economic-
This is another element in which it includes exchange rates, inflation
and deflation, interest rates etc. It has effect on Nando's because
GDP OF China is increasing & catering business of country has
improved from 2013 (Thomas, 2016). Thus, this is favourable
conditions which impact upon Nando's firm.

Social factor-
It involves taste, choice of preference, behaviour, attitude, affecting
the business. With changing interval of time, social factors are
necessary to get focused. This is also seen that these are flexible in
nature which affects hospitality/ food industry at deeper level. These
also have deep impact on business operations as in reference with
Nando's they have been operating China, it is seen that that people
behaviour of China prefer quality life and like to go out in fancy
restaurant.

Technological factors-
It is being considered as most crucial element because technology is
necessary for business to run their activities for longer period of
time. In context of chosen firm, they have been using technology but
are rigid and adopts new change in technologies such as raw
material supply system, quality monitoring & food production
system where restaurant is still lagging behind & using old methods.

Environmental factors-
It is an component in which it focuses on green agenda, waste
management, recycling etc. This element too impact upon firms
operations because they China have rules and regulations towards
their environment according to which foreign businesses need to
operate their functions or activities. Also, there are many other
countries such as U.S, U.K, Portugal which focuses on their
environment protection. This element assures that businesses are
operated under environmental laws or regulations so that
surroundings does not get affected.

Legal element
In this factor, it comprises of contracts, agreements, laws which are
enacted by government. These also affects the entity activities
because many foreign countries have different laws & regulations
which are to be followed by international organisation. In reference
with given firm, laws and legislations of China such as Food Safety
Laws of PRC, Food Safety act etc. are required to be followed by
enterprise (Ortega, 2019).

areas of potential competitive advantage
VRIO Analysis
It is framework which is used by entity to identfy the internal capabilities and
comeptitve advnatage in market. This is framework which is adopted to examine
company inetrnal analysis propelry. With help of this, it is easy to identify the
competitve advantage which can be gained by entity in markety at both national
as well as international level.
Value-
It is first componenet of framework in which it foscuses on importance of ra
materials and its value in market whether it is expensive or not. It is crucial for
company to aware about these resources so that they can be used at optimum
leveland in most efficient manner. In relevance withe selected corporqation, they
valuable resouerce is their world's employees who are located at different parts of
world because they are loyal towards their work, well trained with new skills &
retenetion periopd is also longer (Neven, 2017).

Rare
Then, in this element it shows how rare or limted is the resource of company. In relevance with
selected enteprise, they have financial resources which are rare because not all food companies have
financial resources. Whereas local food products are being not viewed as rare because they are easily
available & this can increase the competion level in market. Higher rare resources/ products leads to
higher value of resource (Indartono, 2017).
Imitable-
Imitable refers to what degree the resources can be copied by competitors. The financial resource of
restaurant are costly to imitiate because to acuire them long term profit & stable business is needed to
be required. Whereas local products are easily imitable which can disruopts the business environment
at deeper scale (Eling, 2018). The degree of imitable reflects how rare the resource is in market. The
less imitable resource or product is used in efficient way by firm so that it is easy to accomplish
objectives.
Organisation-
This fouces on how well the organisation is bieng organised or how they manages their resources,
management structure etc. So, in contexct of selected firm their financial rsources organsed which are
used by them in systametic manner so that wastage is not done. Whereas patenets used by company
are not completly utilised by them which shoiws that unused competitve advanatge exist. It is
necessary to carry out all the activities in well organised manner so that they can be accessed in future
period of time.

Porter Value Chain
This is another framework which is adopted by Nandos for idenfying the
competitive advantage. In this Porter Value Chain Model, it is system
which depicts the subsytems that are being used to develop a product or
services (Kawharu, 2019).
Primary activities
These are activities in which it is mainly concerned with production &
selling of product. D This includes five activities which are ionbound
logistics, outbound logistics, operations, marketing and sales & service.
All these activities are crucial different from industry to industry. (Sarsby,
2016).
Inbound logistics-
This is an activity in which purchasing and managing of raw materials is
done. In reference with Nandos, they recieve, store, inputs to product in
most efficient manner.

Operations
After properly all resources have been collected within the firm,
thenext process is to convert process into final product. It is most
crictical process because care has to be maintained of production
processes. In context of chosen firm, they run their operations by
managing packaging, assembly, tools or equipments, etc. Through
focusing on these operations are carried out in respetive entity.
Outbound logistics-
Then next phase is outbound logistics which comes after final
conversion of product. In this, it focuses on how distribution of
process is needed to be carried put so that they have access to
customers. Various activities are present which are finished goods
warehousing, delivery vehicle operations etc.

Marketing and sales -
It is activity which is mainly focused on trigger custoemer to
purchase the products. In context of selected enerprise, they focuses
on marketing funnel process which is benficial for company (Inge,
2019). Marketing and sales of firm is maintained by managaer who
is responsible for overall functioning and operations.
Service-
It is also an important activity in which entity focuses on delivering
total satisfaction to customers by roviding them effective after sale
service. In relation with given corporation, they pay attention on
giving customers with meaningful knolwedge regarding product
such as good table service, disocunts and offers, coupans, advance
booking, VIP's treatment etc.

Support activities
In this, main focus is on coordintaing and supporting the functions
of a activities. It involves puchased input, technology development,
procurement, human resoure management. These are somehow
associated with primary activities. These are important because they
are responsble for achiving the final results. So, these are explained
below-
Procurement-
It is process by which obtaining of goods and products is being
focused mainly with business purpose. Procurement assists both
primary & support activities at all aspects which is beneficial. In
reference with given firm, they obtain raw materials by properly
analysis of market reserach.

Technology development-
It is also an support activity in which it focuses on deisigning and developing of
manufacturing techniques. This includes hardware, software, procedures & many more. In
reference with Nando's, they pay attention on development technology such as they uses
effcetive supply chain management system which does not affect overall cost of entity.
Also, they have been using new updated software for security & safe transactions
(Björkman, 2019). To achieve higher growth & development, it is necessary to use
advanced technology with changing period of time. s
Human resource management-
In this activity, it carry out the activioties such as hiring & recruiting talented workforce.
It is important to manage or hire deserved subordinates so that both primary as well as
support activities are managed effectively. HRM is base of organisation which is needed
to be carried out with proper considerations. In viewpoint of respective entity, they have
well skilled HR who recruit talented candidates have the ability to deliver positive output at
workplace. The HRM of Nando's uses advanced tools/ software to hire people for getting
the work done in efficient way.

Infrastructure-
This is also an crucial one because it depicts the structure such as
legal, government, finance, accounting, planning, quality
management etc. The infrastucture of Nando's unpin overall
activities of value chain instead of being supporting indvidual
activity. Company's manager is entitled to form an effective
infrstructure so that decision making process id done properly.
(deMatos, 2020).

analysis findings and identify challenges and potential opportunities that exist
for the organisation
SWOT Analysis
It is tool which is used by comanies to identify the inner capabilities of firm be
accessing strength, weakness, opportunities and threat. It is time consuming tool
because to carry out this appropriate credetnail is needed. It focuses on several
elements which are explained as follows-
STRENGTH
Main strength of Nandos is that they located globally which strengthen their
customer base at larger scale.
They have large distribution channel network which impact upon their work
flow in positive way (Thomas, 2016).

WEAKNESS
It is popular in South Africa Britain, but cannot be said in other parts of
countries because they are not much accepted in some of foreign countries which
limit their popularity.
The company has limited dishes due to which they are less accepted by Asian
countries because their have their own taste of references (Lin, 2020).
OPPORTUNITY
Nandos have opportunity of accessing to Eastern countries as taste of people in
many countries is changing which is huge benefit for firm.
THREAT
The biggest threat in catering or food industry is that many people are leaving
jobs and starting their own business this leads of threat of new entry at higher
level.
Due to global existence, they have been targeted by many competitors like
Hard Rock cafe, California Pizza kitchen, TGIF and many more (Ortega, 2019).

Challenges
It is analysed that in most of country where Nando's is operating employees
leave job without even security and this leads to affecting organisational structure.
Then, another challenge is that due there are many other different rules as well
as regulations which are to be followed by entity to run which is diffcult task
(Nurmi, 2018).
 Other challenges is that in many coutries local marketers have grabbed the
market, and it has become diffcult for entity to change decisions of custoemers for
their own business.
Potential Oportunity-
Nando's have potential oppotunities of accessing to Asian countries which can
enhnace their margin or profit scale.
 Also, hositality industry is developing which is beneficial for them because
they can recruit new taleneted workforce globally which will improve their
working flow level.
 With development of new technologies, entity can update or use new systems
which will results in using of resources with better efficiency (Neven, 2017).

Recommendations
From explained report, it is examined that it is necessary for corporation to use
strategies/ tactics for business so that decisions are made in proper manner.
Moreover, it is stated that in foreign market place, there are ample number of
opportunities which are available & from ideitfied one opportunity which can be
used as competitive edge by enteprise is that they can access to Asian countries
because of changing taste and preferences of people. This opportunity is most
beneficial as in this firm has the advantage of expansion of business at wider
scale.
It is recommended that Nando's can establish franchisee in Asian countries
which will assist them in accesing of more new opportunities.
Further recommendation is that they they can hire new talented employees for
business which will enhnace their work effectiveness & will results in increaseed
productivity at highr scale.

CONCLUSION
After a brief analysis of above report, it has been concluded that
strategy at global market place is crucial to be used by company
for accomplishing goals at all aspects. Without using strategy, it
is not possible to use carry our activities in proper manner. So,
discussions have been made about macro environment,
identification of competitive advantage. Then, challenges/
analysis, recommendations are being explained. So, it is
examined that to achieve goals effective strategies are needed to
be adopted by firm. Moreover, selection of strategies depends
upon company's deicions or requirements. Therefore, to use
teffective tactics are required to be adopted.

REFERENCES
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deMatos, 2020. Systematic Literature Review on Global Strategy: Mapping Trends and
Gaps.Dynamic Strategic Thinking for Improved Competitiveness and Performance, pp.243-
270.
Thomas, 2016, May. A prediction study of path loss models from 2-73.5 GHz in an urban-
macro environment. In2016 IEEE 83rd Vehicular Technology Conference (VTC Spring)
(pp. 1-5). IEEE.
Lin, 2020. Formal and informal SME financing in the restaurant industry: The impact of
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Ortega, 2019.Pestel analysis based on neutrosophic cognitive maps and neutrosophic
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