Tapping into New and International Markets

TAPPING INTO NEW AND
INTERNATIONAL
MARKETS

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
LO1..................................................................................................................................................3
P1: Global business environment in which entrepreneurial and small business operate............3
P2: Opportunities and threats in an increasingly competitive international environment...........4
LO2..................................................................................................................................................6
P3: Advantages of international trading blocs and agreements...................................................6
P4: Tariff and non-tariff barriers of international trading environment......................................7
LO3..................................................................................................................................................8
P5: Advantages and disadvantages of exporting and importing and ways to secure a deal........8
P6: Differences between merchandise and service exports and imports...................................10
LO4................................................................................................................................................10
P7: Methods for SMEs to tap into global markets.....................................................................10
P8: Compare and contrast the different ways SMEs can tap into global markets.....................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Tapping into new and international markets is not an easy task for a small business or
company. Currently only large-sized businesses are only able to do this. Basically, a business
requires a lot of funds for effectively running its business operations in different international
market (Kisanga and Mohammad, 2019). However, currently top-level management within most
companies or businesses puts their huge efforts for systematically tapping into new and different
international markets. When any business operates business operations internationally, then it
gains high growth opportunities. That’s why tapping into new and global markets step is
beneficial to a business. This report discusses different aspects and factors of new and global
markets in the context of Root Coffee house. This business which has chosen for this report is
basically a small coffee café business in Liverpool, England which offers different quality range
of coffee flavours. This report discusses how the management of this small coffee business can
take different productive actions towards expanding its business at the wide scale in international
markets.
LO1
P1: Global business environment in which entrepreneurial and small business operate
Global business environment also known as the international business environment,
where many companies from different countries come together for conducting venture activities,
and this is the main concept of global business environment. The main advantage of global
business environment is to enable different countries to get access for running venture operations
in another country. Currently each venture wants to run its daily operations in the international
market. With the support of global market place, any company simply adopt and use new and
latest technology within its workplace (Camilleri, 2018). In this situation, top-level management
at root coffee café have to take steps towards entering in the international market for achieving
better opportunities of growth. When this small venture will enter in this market place, then it
can adopt various new technologies within is daily operations. However, competition within each
sector is continuously increasing just because of globalisation, but this factor provides different
growth opportunities also to different companies and venture in market place (Vasileva and

et.al., 2020). An entrepreneurial and small venture require to put its huge efforts for entering in
the global market. Reason is, currently only highly reputed and well-developed companies are
able to simply expand their venture operations in global market place.
The global business environment impacts to top-level management at Root coffee need to
make some proper strategies for properly entering in the international markets. This global
market affects to company in both ways, positively and negatively. Globalisation is a big aspect
of global market, in which due to this factor there are many MNCs that has entered in the United
Kingdom’s entrepreneurial environment. For example; American giant coffee house company
called Starbucks has successfully expanded its daily operations in the UK, so that this company
currently gives tough competition to Root coffee in market. In this situation, this is negative
impact of the international market place (Sartor and Beamish, 2018). So that, this is very positive
impact of this market. Existing market competition will expand in the future, but root coffee café
business has to be ready for highly competitive market by making different creative and
productive business strategies. This is the main way to business for overcoming barriers There
are governance and technology are two of globalisation in the current time, in which the
management of small venture need to take advantages through these trends.
P2: Opportunities and threats in an increasingly competitive international environment
Currently competitive international market place has different threats and opportunities as
well, in which top management at Root coffee always needs to systematically deal with them.
There are some key opportunities and threats of competitive environment has been discussed
below;
THREATS
High competition: This is one of key threats to this small venture for which it will be faced
while entering in other countries. Currently due to globalisation, many new entrants enter in the
international market, in which this factor can badly affect to business operations of Root coffee,
because many existing global coffee café companies currently gives tough competition to this
small business (Klier and et.al., 2017). This small venture is not able to invest large fund in its
marketing operations, just because of its small size. That’s why other MNCs gives tough
competition to this company in market place.