Analysis of Arcadia Group's Global Business Strategy Report

This report provides an in-depth analysis of the Arcadia Group's global business strategy. It begins with an overview of the company and its key strategic decisions, particularly focusing on its internationalization process. The report then delves into globalization drivers, the changing nature of the global economy, and the role of global trade networks. It explores various internationalization strategies, including international, multi-domestic, global, and transnational approaches, and identifies the models used by Arcadia Group during its expansion. Furthermore, the report analyzes how the company has added value in a host market and critically assesses its competitive positioning. Finally, the report offers future recommendations for the company and concludes with a summary of the key findings.

Global Business
Strategy

Table of Contents
INTRODUCTION.......................................................................................................................................3
MAIN BODY..............................................................................................................................................3
Overview of company and key strategy decisions...................................................................................3
Identifying the key strategic decisions since the start of its internationalization process.........................3
Internationalization strategy....................................................................................................................7
Identifying the model/s used during the expansion strategy and the key capabilities used to support it. .8
Analyse how the company has added value in one host market and critically analyse the company’s
competitive positioning...........................................................................................................................9
Future Recommendations......................................................................................................................12
CONCLUSION.........................................................................................................................................13
REFERENCES..........................................................................................................................................14

INTRODUCTION
The term global business strategy defines that firm strategy guide to globalization when it
is connected world for allowing firms income are not to be restricted by margin. It is deciding
that it should be tradeoff between global integration and local approachable. This strategy is one
when it wants to compete their global market and extend. Chosen organization is Arcadia group
is a British retailing company which is based on London, England. It is a British retailer where
firm operate mid market also serves for adults or teenagers cloths. In this report, various topics
are to be covered such as overview of firm, key strategic decisions for internationalization
process, globalization, drivers, changing nature of global economy, analysis of strategy
internationalization, identify model using expansion strategy, how firm added value in market of
competitive positioning and recommendations will affect future performance of firm.
MAIN BODY
Overview of company and key strategy decisions
Arcadia group is a major multinational retailing firm which is based in London, England
and it was serving cloths for teenager or adults. This group has more than 2500 outlets in UK as
well as many departmental stores operated internationally. It is privately owned firm with seven
major high streets brands such as Burton, Dorothy Perkins, Evans, top man and Wallis. It has
various social media and over 680 locations and presence is felt all over world. It is leading
British apparel retailer that firm operates well known mid market brands that serve primarily
adults and teenagers. Arcadia group has around 2800 stores which include 1170 in global
locations and operates mainly 40 brand specific websites and nearly 30 mobile apps. Arcadia
group that has three distribution centers and Singapore and US has handled 130 million products
in a year. In 2019, it was reported that this firm has controlled over Green family and record
300m in pension fund (Alvi and et. al., 2020).
Identifying the key strategic decisions since the start of its internationalization process
Globalisation
Globalization is considered as the process that interact & integrate people , organisations

& government internationally. Basically globalisation accelerated in 18 th century due to the
advancement in transportation & communication technology. It can maintain the
interdependence of the economies, population , culture that brought by cross border trade om
products and services , technologies & investment (Berman and Dalzell-Payne, 2018).
Globalisation Drivers
There are four globalisation drivers underline in each and every industry that can create
potential for that particular industry and help to become more global and consider the global
approach and Strategies. The description of various globalisation drivers are given below -
 Market Drivers: This driver can consider the customers requirements and their behaviour
towards particular goods & services. Company can understand the distruption patters and
identify the customers need coverage all around the world. Cost Globalisation Drivers : This driver can analyse the opportunities for the global
scales and understand the scope of the economy. Company can estimate the cost of the
goods & services and experience it's effects and reflecting the differentiation in term of
cost between the countries and regions. With the help of technological advancements ,
company can shape the industry economy.
 Competitive Drivers : This driver mainly considered the import and export volume and
understand the diversity of the competitors in term of local and national and international
origin. High level of the trade, Competitive diversity and more interdependence can
increase the Competition.
 Government Drivers : It can include the presence and absence of the favourable trade
policies , regulations , technical standards can affect the global strategy and essential to
shaping the global Competitive atmosphere in the industry (Chatterjee, 2017).
Changing Nature of the Global Economy
On the basis of current scanerio, there are few changes can occur in term of globalisation.
Changes can occur slowly but surely changes can take place relation to the global economy.
Trade shares of global market are constantly moving from the developed countries to developing
countries. Now foreign direct investment can increase the global economy development &
welfare , since organisations in the developed countries are investing in the more optimal

locations and lead the decrease prices of the goods in the home country , but also increase the
profit in the host country. Now multinational enterprises are taking more places and come up
both small and large form. More countries can work in free market economy & democracy. In
the baiss of current free flow of products, services & capital, it can be determined that global
economic system is more favorable for the international business.
Network of Global Trade
Global trade network is considered as new business network which can mainly design to
aid the international trading companies so that they can improve their business and performances
through networking with the help of minded individuals. This network can maintain one to one
communication and face to face online communication in various groups and individuals who
can share their views, knowledge, experience and opportunities. There are various benefits of
global trade network such as the membership of the network is free, quick international
development, join collaborative network, uncover existing opportunities and solve problems with
like minded business (Chen and et. al., 2018).
Social, network territorial embeddedness
Basically is embeddedness considered as the social science that maintains the
dependency of the phenomenon that sphere of the activities like economy and market. It can set
the relationship between the individual and organisation and also consider the environment. It is
necessary to maintain the social networking system which can helpful in the internationalisation.
Territorial embeddedness consider as enmeshing of the cultural & economic relations with the
broad territorial placed specific social & institutional structure that can mainly facilitate the
social relations.
Processes associated with Global Retailing
Global retailing is considered as a concept of selling products across the geographical
boundaries of outside country and seeks the availability of the customer the various part of the
word which can attend the global presence and identification and also capture the opportunity for
the potential market. Global retailing can maintain the various processes which can help in the
development and expension of the business in an effective manner.

DEBATE Global Retail Example: start applying theoretical concepts
Global business retailing mainly uses global business strategy which can helpful to mainatin
the global business process. There are four main global Strategies which are given below -
 Organic: Those companies who are planning for the global retailing then they can opt
organic strategy. This strategy can help full to open up business and stores in various
countries. This is strategy is very effective for those companies which market is culturally
close & easy to entre (Chi and et. al., 2018).
 Chain Acquisition: This global retail strategy can consider those organisation which may
purchase the existing firms which contain multiple stores in the various market and
countries. Organisation can target that type of market which is complex and very difficult
to enter but considered close culture presence.
 Franchise: This is strategy is very common for global retailing. Companies can take the
franchise of the famous business brand and take their copyright and establish the
franchise and its outlet in various countries.
 Joint Venture: Sometimes Company can collaborate already with the existing company’s
accross the world to enter into the market which maintain high level of entrance
complexity & culturally distance (Enos, Kalabokes and Zamora, 2019).
Key strategic decisions in term of the internationalisation process
Key Strategic decision is considered the decision that mainly concerned with the entire
atmosphere in which business can be operated. Internationalisation process can determine the
various stages which can helpful to operate a business at international and global level. There are
various features can identified in term of the Arcadia group internationalisation process which
are given below -
 Strategic decisions can maintain the huge source of proposition for the business. Strategic
decisions mainly focused with the new resources, executing and reallocating the others.
 Strategic decisions can deal with the harmonizing the company resources capabilities and
maintain the threats & opportunities (Goodman, 2019).
 This decision that considered by the internationalisation process can manage the range of
business activities. This decision all about what the company wants and like.

 This decision can include some changes of the business operations in the changing
business environment.
 Strategic decisions are for long time period and very complex in nature.
 Strategic decisions can maintain the top level and deal with the future uncertainty which
involves high risk.
Internationalization strategy
Internationalization strategy is that strategy which firm sells its products or services
outside the national marketplace. These markets has a plenty of new opportunities that business
should be grow and with an internationalization strategy such as increased in return on
investment, greater will be ROI, global location, reward and recognition and more satisfaction of
customers. When there is internationalization strategy there are also some risks which determine
or include costs should be increased, trade barriers and lack of sensitivity. Key strategies which
identified internationalization of business are as follows:
 International strategy: This strategy is based on mainly focus on products or services to
international markets and maintains their production headquarters. It means firms are
avoiding investing in any staff and facilities to accomplish their overall business
objectives and goals but also some relating challenges to global market. This strategy
consists to achieve business objectives and totally achieve competitive advantage.
Products should be offered or produced in their home nation so that sent to customers all
over the world (Hacioglu and Sevgilioglu, 2019).
 Multi domestic strategy: This strategy determines that they should invest for establishing
business in international market and determine their own products in domestic market.
Firms adapt their more goods to engage their international customers and it include
customs, norms and traditional attributes.
 Global strategy: When firms adopt new business strategy so that they treat world as one
market and economies of scale to boost their income and sales. Global firms have a little
variation among goods and services so that they should decreased costs in nation or
region. It has an integrated approach across different nations and same products are
should be minimized cost and reach their target audience.

 Transnational: This strategy combines both global and multinational strategies and mean
that firm as still operating so that firm will allow business to expand their strategy with
full of operations in international markets. They can sell their products or services across
the globe level and determine how goods are marketed in each and every country
(Ibidunni, Ogunnaike and Abiodun, 2017).
Identifying the model/s used during the expansion strategy and the key capabilities used to
support it
Basically international expansion strategy are considered as the formal and multi level
strategic planning framework that mainly utilised by the business to enter in an overseas market
and create a growing presence which can provide quick profitability. Expansion strategies and
other foreign expansion strategies can make growth in a more structured and suitable form.
These strategies can maintain the the expansion risk & encourage efficient uses of all the
resources as per the timeline, capital for the global expansion. To expand business globally,
Arcadia group can consider various expension strategeis internationally which are discussed
below -
 Internal business audit : To expand the business it is necessary to maintain the the
international business audit for each and every organisation. It can ensure the internal
variables such as product offering, various services & brands. Internal audits can
maintain the multifaceted & tailored to the parents companies. It can mainly involved the
SWOT analysis and identify the gap at the marketplace sonthat company can do
segmentation analysis and aiding the companies to understand the current strength,
weakness and appropriate opportunities (Khan, Lew and Rao-Nicholson, 2020). Competitive analysis: It is necessary to conduct the competitive analysis which can help
full to understand the the current position of their competitor. Arcadia Group can analyse
their competiors position so that company identify their rivals situation. Business can
offer various discount which can helpful to take more Competitive advantages. Market analysis: Company can conduct market analysis with the help of market research
which can help to identify the requirement of the domestic and international customers.
Arcadia Group can research the specific heath & landscape of new target market. Market

analysis mainly involved market size, growth potential, customer’s attitudes, market
investment analysis and customer bases, state of economy. Marketing strategies : It is also considered the part of the expension strategy which
mainly include the brand positioning , products & services delivery, marketing
programs , pricing evaluation , marketing channels that are mainly depend upon the new
market and economic environment (Kong and et. al., 2020).
 Infrastructure plan: To expand the business successfully it is necessary localised
infrastructure plan, maintain the outline the need and requirements and building the local
& regional presences. Mainly infrastructure plan involved hiring the international
employees & executive, searching the local vendors that determines the legal,
legislation , tax , positioning the company.
 Top down budget: The main purpose of the expension strategy is to prepare the top
down budget that started with the six to twelve months of the launch the resources that
aligned with the specific business plan. Arcadia Group an expand the budget to the
account that can helpful to expansion support. KPIs is helpful to tracked the financial
performance of the company. Timelines: For the business expansion it is necessary to set the timeline in a feasible
form. It is considered the commitment data and maintains the map the whole expansion
process (Leonidou and et. al., 2017).
Analyse how the company has added value in one host market and critically analyse the
company’s competitive positioning
It is necessary for the business to analyse the market position which can helpful to create
more value in host market and also identified the competitive positions. Company need to
maintain the value of their products and services which can helpful to provide the effectiveness
to the business. Competitive positioning is mainly about to mainatin the market which can
helpful to differentiate the company from their products and services which can create the more
value for the market. An effective competitive positioning mainly strategy include the market
profile , market size, competiors , various stages of the development.company can segment their
market into groups which can understand the requirement of the customers.
Improtance of competitive positioning

Proper positioning mainly includes various professional services of the companies probability to
attain success. Competitive positioning is considered as the powerful Strategic tools which can
help to identify the market segment, competitive frame and brand identity. Competitive
positioning is always maintained the branding. Competitive positioning of the company can
helpful to analyse the current market situation (Madhushree, Kumar and Aithal, 2018).
How company can add value and develop Competitive Position
There are various component are involved which can help ful to add more value and Milton
be effective brand strategy. This component is helpful to develop the competitive position and
maintain the competitive market position at the marketplace.
 Differentiation: Company can create a differentiation of their products and services from
their rivals. It can determine that what separates the company from the others. Arcadia
Group can focus on the innovativeness and creativeness of their goods and services
which can helpful to create the massive difference in their goods and services from their
competitors which can helpful to add more value and improve the competitive position at
the marketplace (Moktadir and et. al., 2020). Value proposition: This also also considered the main component which can determine
the value proposition of the company. Basically it generalized that why should customers
buy their products. What is the difference between Company products to the others.
Arcadia Group can create the effective value in their products which can helpful to attract
the customers internationally. Brand promise: This component mainly concerned about the brand promise which
specifically tell the customers and clients about to receive the process service of the
company. Brand image of the company maintain the more value of the business
(Murawski and et. al., 2018).
 Singularity Concept: This component helpful to identify the importance of market
distinction. People can know the value of their products and services that offered by the
company which can help to add more value of the company and gain more Competitive
advantages. It can maintain the value in the host market and also analysed the

Competitive position globally.
Localisation, Internationalisation
 Localisation - localisation is a process which can adapt the product that meet th cultural,
legal, linguistic and data format and also full fill other requirements as per the local
region. Localisation can help to sell the products into the new market or the world.
 Internationalisation - It is considered as the methodology & best practices which can
follow by the companies to design and develop the products as per the requirement of the
internationalisation. Products can be more efficiently localised and consider the
fundamental thought which involves the specific practices.
Three key issues in global operations:
 Integration: This is contained as the main issues of the global operations which can
affect in add more value on the companies operations so that company can face more
Competitive situation. Company can perform their task in the integrated form which can
help to mainatin the integration system and resolve this issue effectively (Sánchez-
Herrera and Donate, 2019). Responsiveness: Company need the pay more attention in to frame the global strategy
which can help to gain more value. Arcadia Group can focus on the responsiveness of
their goods and services which can gain more value and take more Competitive
advantages. Company need to eliminate this issue which can useful to create more
effectiveness.
 Competition: Competition is taking more places in term of global organisation. It is
necessary for the Arcadia Group to follow appropriate global strategy which can help the
gain more profitability.Company can adopt the global expension strategy which are
beneficial to gain more Competitive advantages.
Discuss and analyse the impact of the Global Value / Production Network / Supply /
Commodity Chain on your Retail example /s.

 Impact of global value: Global value can helpful to improve the productivity & income
in both countries including developed and developing. Global value provides the positive
impact on the brand image of the company. Arcadia Group can apply global strategy to
create the global value in the organisation. Impact of Production network: Production network can develop the manufacturing
process of the company. This network can provide the positive impact on the Arcadia
Group because it is a retail organisation that mainly provides the fashionable goods.
Company can conduct market research which can helpful to analyse the requirements of
the customers so that company can do some modification in their production of goods
and services and establish a good production network (Zhu and Chertow, 2017). Impact of supply : Company can pay more attention in the supply chain management
and distribution channels which can helpful to balance the distribution and supply of
goods and services.
 Impact of commodity chain : It is also mandatory for the company to concentrate on the
commodity chain of the company which can helpful to determine the supply chain
management of each and every commodity.
Future Recommendations
On the basis of above discussion it can be recommended that Company should pay more
attention in the global strategy which can help to maintain the global retailing process as per the
current market situation. Arcadia Group is the retailer British organisation which deals in various
locations. It is important for the company to prepare a list that which products driven globally
and which products managed locally so that company can effectively manage their future
performance. This is also recommended that Company need to understand the local market need
& develop the collaborative approach which can helpful to enhance the understanding about the
local market & established with the close relation with the local marketing team.Company can
develop & socialise the global marketing plan and seek the feedback which can helpful to
maintain the global market position. Company should appoint the global champion manager
which can helpful to improve the market value of the frim which can improve the revenue and
market share. Company need to adopt the clear product strategy and company need to be
proactive not reactive. Company need the apply the strategic analysis which can help to gain

more Competitive advantages as compared to their rivals so that company can maintain their
position at the global market.
CONCLUSION
As per this report it can be concluded that every organisation need to pay more attention
to expand their business into the various areas which can helpful to boost the productivity level
of the company. The main motive of this report is to follow specific international strategeis
which can useful to establish the effective market position. This report also determined the key
Strategic decision related to the internationalisation process that. An helpful to maintain the
whole operations. This report also identified the expension strategy which can useful to expand
the business internationally. This report can discuss the Competitive position that can add the
more value in their products and services.

REFERENCES
Books and Journals
Alvi, A.K. and et. al., 2020. Relationship of Career Success and Organizational Performance
Through the Path of Business Strategy. International Journal of Economics, Management
and Accounting, 28(1), pp.1-33.
Berman, S. and Dalzell-Payne, P., 2018. The interaction of strategy and technology in an era of
business re-invention. Strategy & Leadership.
Chatterjee, J., 2017. Strategy, human capital investments, business‐domain capabilities, and
performance: a study in the global software services industry. Strategic Management
Journal, 38(3), pp.588-608.
Chen, C.J. and et. al., 2018. How business strategy in non-financial firms moderates the
curvilinear effects of corporate social responsibility and irresponsibility on corporate
financial performance. Journal of Business Research, 92, pp.154-167.
Chi, M. and et. al., 2018. The impacts of digital business strategy on firm performance: The
mediation analysis of e-collaboration capability. International Journal of Information
Systems and Change Management, 10(2), pp.123-139.
Enos, L., Kalabokes, M. and Zamora, J., 2019. Business Strategy Game (BSG).
Goodman, M.B., 2019. Introduction to the special issue: corporate communication–
transformation of strategy. Journal of Business Strategy.
Hacioglu, U. and Sevgilioglu, G., 2019. The evolving role of automated systems and its cyber-
security issue for global business operations in Industry 4.0. International Journal of
Business Ecosystem & Strategy (2687-2293), 1(1), pp.01-11.
Ibidunni, A.S., Ogunnaike, O.O. and Abiodun, A.J., 2017. Extending the knowledge strategy
concept: Linking organizational knowledge with strategic orientations. Academy of
strategic management journal, 16(3).
Khan, Z., Lew, Y.K. and Rao-Nicholson, R., 2020. The role of dynamic capabilities in global
strategy of emerging economies’ multinationals. International Studies of Management &
Organization, 50(1), pp.1-4.
Kong, D., and et. al., 2020. Business strategy and firm efforts on environmental protection:
Evidence from China. Business Strategy and the Environment, 29(2), pp.445-464.
Leonidou, L.C. and et. al., 2017. Internal drivers and performance consequences of small firm
green business strategy: The moderating role of external forces. Journal of business
ethics, 140(3), pp.585-606.

Madhushree, R.R., Kumar, A. and Aithal, P.S., 2018. Business strategy of top Indian IT
company: Mindtree. International Journal of Case Studies in Business, IT and
Education(IJCSBE), 2(1), pp.22-36.
Moktadir, M.A., and et. al., 2020. Critical success factors for a circular economy: Implications
for business strategy and the environment. Business strategy and the environment, 29(8),
pp.3611-3635.
Murawski, M. and et. al., 2018. How Digital Business Strategy Affects Profitability: Opening
the ‘ Black Box’ of Performance.
Sánchez-Herrera, I.S. and Donate, M.J., 2019. Occupational safety and health (OSH) and
business strategy: The role of the OSH professional in Spain. Safety Science, 120,
pp.206-225.
Zhu, J. and Chertow, M.R., 2017. Business strategy under institutional constraints: evidence
from China's energy efficiency regulations. Ecological economics, 135, pp.10-21.