Tapping into New and International Markets

Tapping into New and
International Markets

Table of Contents
INTRODUCTION...........................................................................................................................4
TASK 1............................................................................................................................................4
P1 Explain the global business environment in which small and entrepreneurial businesses
operate.........................................................................................................................................4
P2 Analyse the threats and opportunities that face SMEs in an increasingly competitive global
environment.................................................................................................................................5
M1 Provide evidence based analysis of the global business environment in which small and
entrepreneurial businesses operate using specific examples.......................................................6
M2 Critically analyse the implications of threats and opportunities that face SMEs in an
increasingly competitive global environment.............................................................................6
TASK 2............................................................................................................................................7
P3 Determine and analyse the advantages of international trading blocs and agreements.........7
P4 Explain the various tariff and non-tariff barriers that exist in the international trading
environment.................................................................................................................................7
M3 Evaluate the advantages of international trading blocs and agreements and their
implications for SMEs.................................................................................................................8
TASK 3............................................................................................................................................8
P5 Determine the advantages and disadvantages of importing and exporting and how to secure
a deal...........................................................................................................................................8
P6 Explain the differences between merchandise and service imports and exports...................9
M4 Apply the appropriate import and export process to an organisation and make
recommendations on how they could be applied in an international context...........................10
TASK 4..........................................................................................................................................10
P7 Evaluate the various methods in which SMEs can tap into international markets..............10
P8 Compare and contrast the various ways SMEs can tap into international markets, assessing
the pros and cons of each method.............................................................................................11
M5 Evaluate different methods SMEs can use to tap into various markets with application to a
small business or entrepreneurial venture, making valid recommendations.............................11
CONCLUSION..............................................................................................................................12

REFRENCES.................................................................................................................................13
Books and Journal.....................................................................................................................13

INTRODUCTION
SME's are the small and medium sector enterprises that are small and their rate of growth
in market is low. Many a times, the founders only consists of managerial team. The rate at which
they cater market is very low and as compared to large companies their turnover is very low.
They lack behind in catering reach of high investors and large projects which can increase the
productivity of respective organisation. Such organisations are undoubtedly small but the
policies they frame for proceeding operations is very effective and can engage all the workers to
perform in a proper manner. The following report is proceeded in relation to Arden Construction.
It is a medium sector construction company and is recognised as an organisation providing best
quality services in constructing buildings, furnishing houses, maintenance of projects built and
renovation of the same. More than a decade it is providing services to clients and fulfilling their
requirements. The employees are highly competent and can meet the requirements of clients.
They have been also providing services like plumbing, heating, repairs and engineering. Their
are many challenges which the small and medium sector enterprises would face while expanding
their reach in global as well as in domestic markets can be monopoly of large competitors,
inadequate capital, hurdles in procuring raw materials. The whole report based on Arden
Construction is based on the hurdles and challenges which the small and medium sector
enterprises face in expanding their reach in both domestic as well as global markets.
TASK 1
P1 Explain the global business environment in which small and entrepreneurial businesses
operate.
Global business environment means the international environment in which the different
business organisations operates. There is requirement of various resources and effective deciosn
making to compete in the global market. When organisations wish to expand their reach,
managers have to perform several analysis which can help them in getting a wider knowledge of
market. The best analysis which can be performed to develop knowledge of market is PESTLE
analysis(Bembom and Schwens 2018). It will help in evaluating what factors would hamper the
growth when Arden Construction would expand in other markets. Such factors can be: Political: Government of UK is very supportive for SME to expand in global markets and
time to time motivate such organisation by reducing the taxes and maintaining stability.