Blightly Coffee Cafe: Analyzing Global Strategy and Market Entry

This report assesses Blightly Coffee's potential global expansion, considering intellectual property rights, key business functions, and the influence of national culture. It evaluates various market entry strategies, including joint ventures, exporting, franchising, licensing, and direct investment, ultimately recommending a joint venture approach. The report also explores global strategies such as multi-domestic, transnational, standardization, and export strategies, advocating for a transnational strategy due to its centralized approach and utilization of local knowledge. The analysis provides a comprehensive overview of the factors Blightly Coffee should consider when venturing into international markets, highlighting the importance of cultural sensitivity and strategic decision-making. Desklib offers a variety of solved assignments and past papers for students.

Table of Contents
TASK TWO REPORT .........................................................................................................................2
Protection of Intellectual property rights in Global economy:.............................................................2
Business Functions:..............................................................................................................................2
The Influence of National culture Internationally:...............................................................................3
Evaluation of Entry strategy Globally:.................................................................................................4
Global strategy:....................................................................................................................................5
-Multi domestic strategy: .....................................................................................................................5
CONCLUSION:...................................................................................................................................6
REFERENCES.....................................................................................................................................7

TASK TWO REPORT
INTRODUCTION:
For the purpose of this report Blightly a coffee cafe is being considered for global expansion
it has two branches one in Tottenham and another in Black stock both of which are operated in
London by the founder Chris Evans. Its unique blend of coffee is sourced from many different parts
of the globe to make the perfect cup according to its founders. This company has yet to expand
beyond united kingdom and from the two chains in London that it operated already.
Protection of Intellectual property rights in Global economy:
-Patents
They are granted by the authorities of a nation to a company in exclusion to all other
companies which invents a process of work which had never been attempted or resolves technical
aspects or invents a product. The disclosure regarding technical aspects must be done before
authorities so that they can grant the patent. (Mody, 2019)
-Copyrights:
These are called the rights of the creator who creates literature or work of artistic nature. It
encompasses musical creations, sculpting or painted works, motion picture , codes of software, or
drawing which are technical.(Mansfield, 2019)
Trade secrets:
Discrete Information regarding a business which has a value if sold in the market are trade
secrets it may relate to technology, recipes of food or proprietary information about accounts of a
company. (Evenson, 2019)
-Trademarks:
The specific phrases or words or symbology or badges which connote specific association
of that product with a company are called trademarks (Correa, 2020)
Trade secrets and trademark would be considered for protection for Blightly.
Business Functions:
-Manufacturing: its the operations which is undertaken by a company to in which inputs used by a
company such as various raw materials which are then are converted into outputs or finished goods
through machines or process of manufacturing which involves using manpower or machines for
example an assembly plant uses aluminium and engine and various other parts to create a finished
car. Or a coffee brewing outlet uses coffee water and other ingredients with machines to provide
coffee( Carlo, 2019.)

-Sales and marketing: They are functional aspects of a business which have consequences for
generating leads related to customers and revenue vis a vis profit earning of a company. Sales
refers to encompassing of all ancillary activities which lead sale of goods or service. Where as the
process of marketing involves making people know about the goods or service in conjunction with
getting the people curious and engaged enough to actually buy the goods and services.(Rahmi, and
Rufaidah, 2018,)
-Accounting an Finance: Accounting connotes the operation's undertaken by a business related for
daily activities of a business how the money flows from to an fro in a business whereas financing
connotes a the larger aspects of administration regarding liabilities and assets keeping in mind the
prospects of growing in the future.
-Human Resources: Its an essential part of any business which is responsible for searching, short-
listing, recruiting and providing training to potential candidates so that they can be hired as
employees further they are also charged with managing the tasks which are for the benefit of
employees. (Solntseva, 2019. )
The Influence of National culture Internationally:
-Communications:
The company will undertake various training programmes and teach the to use language
with clarity an concise manner and to avoid slang terms so that international clientele or employees
can better comprehend the data that been presented to them. Also they will need to keep their body
language in check since different cultures have different cues while communicating non verbally,
and making the employees realize how it can be beneficial to build relationship with people who
may not necessarily belong to their own culture because it would have to be adverse group
operations and for smooth functioning of operation's and for the betterment of employees who can
gain a lot by learning about new cultures.(Stadler, 2019.)
-Attitude:
Difference in culture means difference in attitude towards activities of business. Cultures
tend reflect how the business is conducted for example in Japanese countries a certain hierarchy
needs to be maintained which stems from their past values of status and seniority practices since
ages. However the countries like Finland or Norway have a certain element of equality embedded
within themselves which tends to flatten the hierarchy of an organisation which means they
communicate in a way that is informal compared to the Japanese which is incredibly formal way of
communication between senior and junior members. These differences make it essential for the
business to keep in mind or the culture or the market they want to get into.(Srivastava, Singh, and
Dhir, 2020.)

-Etiquette:
The company would also need to account for the etiquette of the targeted market the way in
which colleges can be addressed or the client's need to addressed and the degree of formality which
is required for example in some cultures working long hours means dedication to work while in
others it may reflect neglect of family.(Bonnett, 2018)
Evaluation of Entry strategy Globally:
-Joint Ventures:
This type of approach allows for greater control of business function when compared to
licensing or merely exporting but this also means some obstacles exists such as making sure that the
companies which are being in business together have similar interests and vision regrading the
future as if they are not they will bear the risks and fallout together whereas if they have the same
vision towards strategy they will share in the profits together. Joint ventures are used as a tool to
gain entry into markets in which the partnering company has pre-existing infrastructural assets,
goodwill, and knowledge.(Chilese, 2020)
-Exporting:
this method connote either selling directly to customers or indirectly selling through an middleman
or agency while selling directly may mean retention of affinity with customers the indirect route is
making use of the know how of the middleman. However certain obstacle like barriers to trade,
duties imposed and fluctuation of currency is still present with this method.(Mukhammadsidiqov,
and Turaev,2020.)
-Franchising:
its basically like entering into a contract with an organisation who wants to use the name and
goodwill of a foreign company in their region this requires reactively small resources and
minimization of attributable risks. The company granting the franchisee receives a royalty payment.
(Stone, Cox, and Gavin, 2020)
-Licensing:
This type of setup requires grant of permission by a company who is currently
manufacturing a product to another company who wants to manufacture that product for a
consideration. Its essentially the transfer of rights related to intellectual property such as any patents
granted, Name of the company, or technology possessed by a company. It may involve putting
certain conditions on the transfer such as the period of time for which such licensing of intangible
property is granted, the payment in lieu of such transfer imposed on each unit sold etc. this type of

method is risk free as the company doest have to put in significant costs associated to gaining entry
in the market however this also means no ownership would exists and no share in ensuing profits.
But this also means if the license is granted for a specific time period than the company can test out
the market and upon lapse of the license invest there on their own. (Sunny, Patrick, and Rob, 2019)
-Direct Investment:
this method involves as the name suggests investing directly into a foreign business so that
they can upgrade their existing infrastructure or create new ones this also entails investment which
can grant controlling interest in a foreign company
Blightly would be choosing the joint venture route since it can expand the profits of buisness
and have shared form of risks.
Global strategy:
-Multi domestic strategy:
This type of strategy connotes technique of marketing which are geared towards satiation of
local market ignoring an approach which is universal in nature. The companies that want to make
use of this strategy will need to comprehend the cultural aspects of the regional markets it wants to
target in addition to creating a cocktail of strategy for the particular demographics of the market
that it wants to enter. An extensive research is needed to grasp how to best market the commodity
by understanding various cultures of the locales they want to target. This type of strategy proves to
be very effective if the research is very solid.
-Transnational strategy:
In this type of framework the company is dependent on it headquarters. Its more of a
centralised approach to business related activities in conjunction with being aware of business
related aspects which are relevant at regional level. In simple terms when a business wants to
expand its horizon to international realms and doesn't want to incur significant costs related to
research it may provide standards of global nature to achieve efficiency and through centralization
of assets or resources it can reduce input costs.(Sloman, J. & Jones, E., 2017 )

-Standardization strategy:
This type of an approach ensures that quality and consistency of the product or services is
kept the same. This strategy assumes that the whole world needs the same standards of goods and
services with little to no variation.
-Export strategy :
This type of approach opens up possibility newer markets and heightened sales but assumes
that their products or services need no modification therefore no research is conducted and no
significant cost need to be incurred for setting up infrastructure since the companies existing
facilities are used and sold through distributors.(Pearson. Et. al. (2018)
Blightly would be considering transnational strategy for its obvious benefits related to
centralised approach and local knowledge.
CONCLUSION:
In this report Blightly cafe was chosen to be the business considered for its foray into
international markets. There were considerations made for what kind of intellectual property rights.
It has together with its business functions and what it needed to do be culturally appropriate in a
foreign country after which how it would gain entry into foreign markets were discussed followed
by strategy on conducting global operations.

Appendix

REFERENCES
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Global Perspective, 8th Edition, Pearson
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Carlo, A., 2019. Business Functions Involved In Complaints Management. Banca Impresa Società,
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Chilese, M.T., 2020. An Interpretive Study on Achieving Leadership Equity for Families in the
Children's Behavioral Health System of Care (Doctoral dissertation, The Chicago School
of Professional Psychology).
Correa, C., 2020. Trade related aspects of intellectual property rights: a commentary on the TRIPS
agreement. Oxford University Press.
Evenson, R.E., 2019. Intellectual property rights, R&D, inventions, technology purchase, and
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Technology (pp. 325-355). Routledge.
Mansfield, E., 2019. Intellectual property, technology and economic growth. In Intellectual
Property Rights in Science, Technology, and Economic Performance (pp. 17-30).
Routledge.
Mody, A., 2019. New international environment for intellectual property rights. In Intellectual
property rights in science, technology, and economic performance (pp. 203-239).
Routledge.
Mukhammadsidiqov, M. and Turaev, A., 2020. Influence of us neoconservatism on formation of
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Rahmi, A.U. and Rufaidah, P., 2018, December. The Effect of Key Success Factors Based on
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Sloman, J. & Jones, E., 2017 Essential Economics for Business (formerly Economics and the
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Determinants of Success. Psychology. Journal of Higher School of Economics, 16(4),
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Srivastava, S., Singh, S. and Dhir, S., 2020. Culture and International business research: A review
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Stadler, S., 2019. Laughter and its functions in Japanese business communication. Journal of
Pragmatics, 141, pp.16-27.
Stone, R.J., Cox, A. and Gavin, M., 2020. Human resource management. John Wiley & Sons.
Sunny, S., Patrick, L. and Rob, L., 2019. Impact of cultural values on technology acceptance and
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