Analyzing Modes of Entry for Beales Department Store

RESEARCH PROJECT

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
LITERATURE REVIEW................................................................................................................4
RESEARCH METHODOLOGY.....................................................................................................4
DATA ANALYSIS AND INTERPRETATION.............................................................................7
REFLECTION AND RECOMMENDATION..............................................................................17
Recommendation..................................................................................................................17
Reflection.............................................................................................................................18
CONCLUSION..............................................................................................................................19
REFERENCES..............................................................................................................................20
APPENDIX....................................................................................................................................21
Research Ethics Approval Form...........................................................................................21

Title: To analyse different modes of entry available with the local businesses for entering
international market. A study on Beales Department Store.
INTRODUCTION
Research background
The business in the current competitive and globalised business environment is very
difficult to run. This is because of the major reason that the consumers are limited and the
number of sellers is being increasing very much. Therefore, the competition among the sellers
are increasing to a great extent and to face this the companies are trying to trade at the
international level. With this trading at the international level the companies enter into the
concept of globalization. Globalization is defined as the buying and selling by the business all
over the world without any restrictions or difficulties (Hirst, Thompson and Bromley, 2015).
With help of globalization any company can enter into any other country. Therefore, for this
there are many different types of ways and modes through which the company can enter into the
international market.
Company overview
The present research is based on the company Beales Department Store. This company is
an English departmental store chains which was founded in the year 1881 by John Elmes Beale.
This company of the departmental store chain is headquartered in Bournemouth in United
Kingdom. This company was set up as a Fancy Fair by John but is now currently the biggest
departmental store in Dorset.
Aim: To analyse the expansion strategies available for Beales Department Store to enter USA
with special reference to FDI.
Research Objectives:
 To analyse various modes of entry in the international market available to local
businesses.
 To determine the advantages of globalization for Beales Department Store in context of
FDI.
 To identify the challenges that Beales Department Store will face during the expansion
process in USA. To recommend appropriate strategies that Beales should adopt in order to establish
themselves successfully in USA.

Significance of the study
The present study that is on the topic different modes of entry available for the local
business to enter into the international market. This is because of the reason that there are many
different types of modes and strategies through which the business can enter into the
international market (Doh, McGuire and Ozaki, 2015). Therefore, this research project is of
significance because of the reason that this will enhance the knowledge of the researcher relating
to the topic.
Also, this research is of significance to the company on which the research will be done.
This is due to the reason that they will come to know that what are the different strategies of
entering into the market and which of these strategies will be beneficial for the company if they
go for international market. Also, this research will be significant to the different competitors of
the department store. The underlying reason behind that is the competitor will know that what
strategies will be adopted by the store and the competitors will make the strategies according to
that.
Rationale
The main reason behind choosing the topic of different entry modes in the international market is
that this is the current topic going on within the market. This is because of the fact that
globalization is currently at boom therefore, many companies tries to enter into the new countries
but does not know that which method is best. Thus, to develop the knowledge about these
different methods this topic is being selected (Wu, Chen and Jiao, 2016). Another reason behind
selection of this topic is the personal interest of the researcher. This is due to the reason that the
researcher wants to upgrade its knowledge in respect of different options available for the local
business to enter into the international market.
LITERATURE REVIEW
Theme 1: Different Modes of entry in International markets.
As per the views of Hirst, Thompson and Bromley, (2015.) exporting have been a cross
border sale of domestically produced goods as international business or global marketing is
having the increase rate as per 180 nations in the world along with more different market and
potential of profitability. On the other hand, the organisation has to earn the sufficient level
of income in competitive global market. On the other hand () contradicts that each company
should have sufficient level of time to form correct mode of entry while having entrance over

international market. So it important to have proper understanding of international marketing
which refers to the marketing of particular goods and services from eon country to nay other
country. On the other hand, the Hanson and et.al., (2016) contradicts that international
marketing as be the business activity performance have focus and proper assessment in
having need identification over to uses the correct international market with flow companies
good and services. The .Hennart and Slangen, (2015) also argues that international have the
difference from domestic level market because of basic reason as it involves the business
with individuals, firms, organisation and other different business entities in different
countries. There are different types of area where can be entrance through the entering into
global market. As per the views of Hollender, Zapkau and Schwens, (2017)the type can be
through licencing which is term as cross border agreements which gives permits to
organisation in the market which is been rights to have use over property in licensor. It has
been used has it has less risk. Next can be franchising which makes the business semi
independent business owner to have pay fees and royalties’ to have use over company
trademark and sell the products over further basis. The next few modes can be through the
joint ventures and wholly owned subsidiary where the organisation can be used to enter into
foreign market and gain competitive market.
Theme 2: Globalisation through FDI in USA.
As per the views of Bende-Nabende, (2017) the economic and financial crisis that has bene
occurred in the late 2000 has been turning to growing level of populistic uprising raising
against the negative impacts over the globalisation especially in country of Europe and USA.
On the other hand Chen, (2017.) contradicts that there is widespread acknowledgment in
public perception with relation of academic and policy circles which is termed as noticeable
effects with cation of multinational enterprise along within global level of investment. The
author also added that these investments is raising day by day with their inequality within
country which has casted doubts. There are benefits related to openness which is among key
dominated veer pre crisis debate item regional development along with level of controversial
policy to counteract over its even impacts across different people and places. On the other
hand the Gilpin, (2018) contradicts that the investment policy making is turning out to be
complex day by day along with more divergent and uncertain. The author also stated that the

unprecedently technological fast change will have midst of shift in the revelation of
globalisation. There is the need to place the regional growth and the development of open
framework which in basically more independents. According to Hirst, Thompson and
Bromley, (2015) the primary’s homes and other host is majorly based knowledge and
identified as true beneficiaries in terms of globalisation. The author also stated that being the
centres in influence of politics and cooperated decision making have greater level of controls
over generation in knowledge and exchange . This also contributes as the development of
new skills an jobs and larger level of global connectivity in regions and industrial clusters
having the faces tougher international competition and lower level of protection.
Theme 3: Challenges experienced during international expansion.
As per the views Hirst, Thompson and Bromley, (2015.) expansion of business in the foreign
country means having the reach over new clients or the customer which is potentially benefit to
company in boosting the profits. The author also stated as the company have to grace the serious
number of challenges while have the embracing over different level of opportunity and
challenges in expansion of business at international level. On the other hand, the Gmeiner, Price
and Worley, (2015.) contradict that the globe marketplace becomes the level of interconnection
and accessible along with heavy involvement of risk in performing business as abroad level. The
author also added the segment that these challenges should be taken at easy level. The next few
modes can be through the joint ventures and wholly owned subsidiary where the organisation can
be used to enter into foreign market and gain competitive market. The challenges which been
faced at time of expansion. The risk that the company is facing day by day is the international
business structure. International have the difference from domestic level market because of basic
reason as it involves the business with individuals, firms, organisation and other different
business entities in different countries. The next can be in terms of views of Doh., McGuire and
Ozaki, (2015) that the company is facing the employment and labour requirement which is differ
by country the European country. With the complexity involved in foreign trade and employment
laws, investing in knowledgeable and experienced corporate counsel can prove invaluable. It has
been used has it has less risk. Next can be franchising which makes the business semi-
independent business owner to have pay fees and royalties’ to have use over company trademark
and sell the products over further basis.