Tapping into New and International Venture

TAPPING INTO NEW
AND
INTERNATIONAL
VENTURE

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY ..................................................................................................................................3
Global business environment within which small and entrepreneurial business work...............3
Threats and opportunities faced by SME due to increasing competition....................................4
Analyse the advantages of international trading blocs and agreements......................................5
Various tariff and non-tariff barriers that exist in the international trading environment..........7
Consideration and Process of Sealing a deal...............................................................................7
Differences between merchandise and service import and export .............................................9
Differences between merchandise and service import and export..............................................9
Ways of entering into global market.........................................................................................10
Compare and Contrast variant way through which organization can enter new market...........11
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
The current business world is very competitive and global and for business to be
successful the most essential thing is tapping of new opportunities. This is necessary because of
the reason that if the small business will not adapt to the latest trends and opportunities going on
at marketplace then they will not be successful in running and operating the business. The
current study is based over the company Guildford tyre which is a tyre manufacturer. The report
will outline the global business environment along with the threat and opportunities within the
highly competitive global business environment.
Also, it will further discuss about the advantage of variant international trading bloc
including the non- tariff and tariff barriers. Further the variant advantages and disadvantages of
importing and exporting will be demonstrated along with the difference between merchandising
and import and export. In the end variant methods of tapping the international market will be
discussed along with comparing the variant market along with its pros and cons .
MAIN BODY
Global business environment within which small and entrepreneurial business work
For the SME to operate in successful manner it is very essential for the company to first
analyse the global business environment. This is necessary because of the reason that when the
company operates in global market then they have to keep an eye over all the changes taking
place withat marketplace (Wadhwa, McCormick and Musteen, 2017). Thus, for analysing the
business environment for SME, PESTLE model is applied in following manner-
Political- this environment is favourable for the existence of SMEs as if a person is
starting the SME then the government of the company provides for many of the relaxations to the
company. This is majorly because of the reason that SME are good for the country and if people
with get relaxation while operating SME then the number of SME companies will increase.
Economic- this environment is also very positive for the SME companies because when
the SME operates then the national income of the country increases. This in turn will increase the
GDP and the growth of that particular country. Hence, because of this reason the economy of the
country increases the this also result in increase in the working of SME.
Social- the society and the people living in the society also like the concept of SME and
they are also promoting the SME in many variant ways like buying the products which the SME

is producing and not using the branded products. Also, the latest trend among the society and the
people is to use the local products only and this will increase the popularity of the SME withat
marketplace.
Technological- this environment is also favourable for the SME as there are many good
and innovative development within the technological field. Thus, this is beneficial for the SME
as if they will use the latest and innovative technology then this will increase the working
capacity and efficiency of the company. For example, using latest technology like digital
marketing, artificial intelligence and others.
Legal- this is the most important environment for the SME as this make sure that the
working of company is in accordance with all the laws and regulations. Thus, all these rules and
laws guide the SME that how they have to operate and run the business. Also, if all the laws and
regulation will be followed by the SME then the trust of the consumer will also increase for the
company.
Environmental- in this modern and global world the consumer and society has become
more conscious relating to the protection of the environment and the society. Thus, for the SME
to operate in good and effective manner it is essential for the SME to maintain the environment
and divert all the strategies in the protection of the environment. For example, not using plastic
in the operations of SME (Melén Hånell, Rovira Nordman and Tolstoy, 2017).
Threats and opportunities faced by SME due to increasing competition
Also for the success of the company or the SME it is very essential for the company to
analyse all the threats and opportunities within the external environment.
Threat- the major threat for the SME is the high competition because of the fact that
there is a trend of increasing the local business. Thus, because of this the company might face
high competition as all the SME are trying to gain more of the market share. This includes the
rise of the ‘born global’ which states that there is high competition within the global market.
Opportunity- the major opportunity for the SME for growing and developing is to for
online working. This is the major opportunity for the SME as the latest trend among the large
business and consumer is to go for online working whether be it purchasing of goods, payment,
marketing of product and many others options. The major examples of the online system and
technological advancement is like using online payment modes, digital and social media
marketing, artificial intelligence and many others.