Tapping into New and International Markets

UNIT 43 TAPPING INTO
NEW AND
INTERNATIONAL
MARKETS

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
P 1 Global business environment in which small and entrepreneurial businesses operate.........3
P 2 Threats and opportunities that face SMEs in an increasingly competitive global
environment.................................................................................................................................4
P 3 Analysis the advantage of international trading blocs and agreement..................................5
P 4 Tariff and non- tariff barriers in international trading environment......................................6
P 5 Advantages and disadvantages of importing and exporting..................................................7
P 6 Difference between merchandise and service imports & exports.........................................8
P 7 Methods through which SMEs can tap into international market.........................................9
P 8 Pros and cons of each method and comparison...................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
All businesses have to make sure that there is effective working and performance so that
the business will be able to expand themselves in the international market. There is a lot of
threats and opportunities which are present in international market which have to be analysed
and effective measures must be taken. Oak Cash and Carry is located in United Kingdom which
is trading in the British market since 2000 and the total asset of the organization is £321,395. The
report is going to consist of measures, methods and techniques so that there are going to be
higher investment which the firm can have in the international market as well which is going to
be a great factor for the overall performance.
MAIN BODY
P 1 Global business environment in which small and entrepreneurial businesses operate
Global business environment is going to have a huge impact on the operations of a small
and entrepreneurial business which is going to be discussed with the help of a model so that there
is going to be higher understanding that is going to be present.
 Political Factors
There are a lot of laws and regulations which are present in the market which have to be
considered by SMEs and entrepreneurial so that there is going to be higher achievement which is
going to be present. The operations are going to be dependent on this factor because the trade
laws would differ from place to place which has to be understood and worked upon accordingly
(Lam and et.al., 2019).
 Economic Factors
There is a lot of investment which is going to be required for the business to be able to
expand themselves in the market so that there would be higher operations. The company will
have to invest a lot in making sure that they are globalizing themselves effectively so that there is
going to be higher consequences that are present.
 Social Factors
Oak Cash and Carry which is a small business operating in United Kingdom has plans to
expand, and they have to be well considered which is going to be a great factor for the overall
operations and stability in the market. Trends and demands of the customers is shifting, that can

be a great opportunity for Oak Cash and Carry to be able to make sure that they are fulfilling this
factor.
 Technological Factors
Technological aspect takes a lot of investment which is required so that there is going to
be higher productivity and performance can be increased which is going to be a good factor
(Gebauer, Haldimann and Saul, 2017). Technology is going to help in making sure that there is
going to be effective functioning and processing which is going to take place. New markets have
to be involved which is going to make the company be able to have higher stability in the
market.
P 2 Threats and opportunities that face SMEs in an increasingly competitive global environment
There are a lot of threats and opportunity which SMEs have in the market to be able to
compete in the global environment which has to be well analysed and worked upon. The
following report is going to discuss the threats and opportunities which are present so that there
are effective measures which can be taken.
Threats
 Culture differences
It is due to the differences between the people who have migrated and the people who
stay in the country are going to be different which has to be well analysed so that there are higher
consequences which would be present (Verougstraete and Aras, 2019).
 Inexperience
SMEs are not very experienced and do not have the right knowledge of the international
factor which is going to be a great factor. Business has to be make sure that they are taking the
right actions in order to make sure that the portfolio and branding is not getting affected
negatively but positively only.
 Investment
There is a use of a lot of technological aspect in the company which has to be invested
within so that there are higher outcomes which is going to be present. The economic factor is
going to be invested in globalization of an organization which has to be well maintained so that
there is good working.
Opportunities