English for Professional Practice: Analyzing Risks in Global Markets

This paper discusses the risks and challenges associated with companies entering foreign markets, emphasizing legal, political, language, and cultural issues. It highlights the importance of understanding local laws, regulations, and cultural nuances to avoid unethical practices and communication barriers. The paper suggests strategies to overcome these challenges, including seeking legal advice, implementing effective communication systems, conducting thorough market research, and establishing robust training programs. It underscores the need for companies to adapt to different cultures, address language barriers, and maintain ethical practices to ensure sustainability and success in the global market. The analysis concludes with recommendations for mitigating risks through clear marketing strategies, audit committees, and a focus on technology and customer communication. Desklib provides access to this document and many other solved assignments to help students in their academic journey.

Running head: English for professional practice
English for professional contexts

English for professional practice
The primary motive of this paper is to outline the risks and challenges that are associated
with companies. The paper discusses that how various risks and challenges that could affect the
business operations and functioning. Apart from this, some suggestions have been given to
overcome the issues and obstacles which are related to the foreign market. More detail of the
paper has been explained below.
In today’s era, each and every company tries to enter in the foreign market to maximize
the profitability and outcomes. Along with this, it also helps to beat and overcome the
competitors in the international market. By entering in the foreign market, an organization has
been able to expand and explore the business activities and operations in the competitive market.
Doing business globally provides ample opportunities to the company for profit and growth. In
addition, the company has been able to attract more and more clients while entering the foreign
market. Various multinational companies are tried to enter in the foreign market for uplift and
increase profits and outcomes. Although, the companies can take ample of opportunities while
functioning ay international level but some issues or challenges are also faced by the companies
(Laufs & Schwens, 2014). Some of the risks or key challenges associated with business in
foreign countries are discussed below.
Legal and political issue: It is one of the biggest and foremost issues that could be
encountered by the multinational companies while conducting business in the foreign market.
When the organization conducts trade in another or foreign country the company needs to be
familiar with that country’s rules, regulations, norms, and policies. Along with this, the company
also will have to pay additional taxes and import duties while implementing the business
activities and operations in the foreign market. The legal complexities of foreign business can be
very tricky and challenging. Thus, the company needs to take advice from the legal advisors to
overcome the competitors in the international market. Furthermore, it has been found that many
people are highly opposed to globalization, outsourcing, and other international business
practices. The company has to face plenty of legal issues and obstacles while trading in the
foreign market. Aside this, if the firm is engaged in the human rights then abuses in other
countries also dealt by the company negatively. If the organization has failed to create new and
innovative ideas then abuses are occurred within the organization. Apart from this, investing in
experienced and knowledgeable corporate counsel can prove invaluable and ineffective at the
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English for professional practice
workplace. Due to competition, the organization is unable to understand and follow the local
laws and regulations. It is noted that political and legal issues may also affect the performance
and productivity of the company in the host country adversely. Unethical practices and bribery
also could affect the efficiency and effectiveness of the company in the foreign market (Vahlne
& Johanson, 2017).
Language and cultural issue: One of the foremost and vital issues that encountered by the
company is language and cultural issues. The language barriers or issues reduce the profitability
and outcomes of the organization adversely. It has been found that many times the employees are
unable to understand and know the language of the foreign country. Thus, the organization might
need to rely on translators when speaking to the business contracts. Sometimes, the customers
are unable to understand the languages of the workers in the international market. It the
organization is outsourcing the customer service to another country, the customers may strive to
understand the people whose first and effective language is different than home country
language. This is the unique and effective issues in the international market. No organization can
survive and cope with rivalries without evaluating and determining the condition of the foreign
market. Due to the language issue, the firm could not able to understand the language of the host
country. Furthermore, it has been measured from the various analysis that different cultures have
different norms, values, attitudes and lifestyle. Culture issues are raised due to cultural
differences in the foreign market. For example, gender discrimination is one of the biggest
common issues that can affect the sustainability of the firm adversely in the foreign market. The
issue is problematic for the foreign market where women are not given equal rights and
opportunities rather than boys (Cavusgil, Knight, Riesenberger, Rammal & Rose, 2014).
The CEO and board of director might find it wondering if the company can safely send
female workers to some specific countries. Moreover, the marketing system of different
countries is quite different as it also may influence the desired goals and objectives in the global
market. In addition, the polite behavior of some countries may be impolite and ineffective hence
it can affect the sustainability and outputs of the firm. It has been noted that some cultures do not
take contracts as seriously as other countries and many cultures give preference to the group as
compared to the individual. Therefore, it is essential to learn the culture of the different countries
before initiating the business in foreign countries. Culture issue is one of the important
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English for professional practice
challenges or issues for the firm that can also affect the potential outcomes and efficiency
(Cavusgil, Knight, Riesenberger, Rammal & Rose, 2014).
Cultural and language issue arise due to lack of proper communication, low wage rate
system and ineffective performance management system. Due to cultural and language issue, the
company is unable to identify and evaluate the needs, requirements, and demands of the
customers in the international market. Lack of motivation also leads to language and cultural
issues in the foreign market. All these issues also affect the corporate social responsibilities and
sustainability in the competitive market. Apart from this, the organization will have to be bear
ample of losses and challenges in the global market. Uncertainty and technology advancement
also put a direct impact on the revenue and returns of the firm negatively (Agoraki, Delis &
Pasiouras, 2011).
There are ample of ways to handle and reduce the issues and obstacles that are occurred
in the workplace. To overcome the competitors, the organization needs to focus on the activities
and operations of technology in the global market. It has been found that the companies need to
focus and identify the goods and service while operating business in the foreign market. It is
noted from the various analysis that the company should maintain an effective, unique and
effective communication with customers in the international market. The firm should analyze
and evaluate policies and norms that are made by the government to beat the competitors in the
marketplace. Excellent communication system shall be implemented by the company while
running out the business effectively in the international market. Open and strong communication
methods should be initiated by the firm to address and handle these issues and challenges
globally (Mancini, Ranaldo & Wrampelmeyer, 2013). The international expansion is possible
effectively by preparing an international business to evaluate and analyze the needs, goals, and
mission or the firm. It is mandatory to assess commitment and readiness to grow and expand the
international market. In addition, a foreign market research and survey is conducted by the firm
to promote and encourage the marketing development and expansion in the global market.
Finding a solution to an issue or obstacle is the first step in boosting and developing a successful
and ineffective culture and people as well. Aside this, health and safety act should be considered
while entering in the competitive market. Training and development sessions, seminars and
programs shall be maintained by the company while entering the international market (Laufs &
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English for professional practice
Schwens, 2014). Effective and unique reward system must be built and developed by HRM to
carry out the business process and functions in the international market successfully and
effectively. Along with this, the firm should also focus on the policies, rules, and strategies
before initiating the business in some other countries. The organization should also focus on the
effective and unique market entry strategies and policies that help the company to enter in the
competitive market. Clear and unique marketing strategies must be used by the firm to cope up
with rivalries in the global market. An audit committee should be recruited or appointed by the
company to prevent the foreign market risks adversely. In this way, the organization can reduce
and avert the business risks and challenges which are occurred in the foreign market. In this way,
the company can reduce and overcome the issues and challenges of the market that are being
associated with companies while entering in the foreign market (Figueira-de-Lemos, Johanson &
Vahlne, 2011).
The above-mentioned analysis indicates that plenty of risks and issues are involved in the
business operations. The above analysis shows that how the multinational companies expand and
explore the business globally. Here is the discussion about the various issues and challenges that
could affect the business operations of the firm adversely. At the end, some recommendations
have been given to flourish the business operations effectively and successfully.
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English for professional practice
References
Agoraki, M. E. K., Delis, M. D., & Pasiouras, F. (2011). Regulations, competition and bank risk-
taking in transition countries. Journal of Financial Stability, 7(1), 38-48.
Cavusgil, S. T., Knight, G., Riesenberger, J. R., Rammal, H. G., & Rose, E. L.
(2014). International business. Pearson Australia.
Figueira-de-Lemos, F., Johanson, J., & Vahlne, J. E. (2011). Risk management in the
internationalization process of the firm: A note on the Uppsala model. Journal of World
Business, 46(2), 143-
Laufs, K., & Schwens, C. (2014). Foreign market entry mode choice of small and medium-sized
enterprises: A systematic review and future research agenda. International Business
Review, 23(6), 1109-1126.
Mancini, L., Ranaldo, A., & Wrampelmeyer, J. (2013). Liquidity in the foreign exchange market:
Measurement, commonality, and risk premiums. The Journal of Finance, 68(5), 1805-
1841.
Vahlne, J. E., & Johanson, J. (2017). The internationalization process of the firm—a model of
knowledge development and increasing foreign market commitments. In International
Business (pp. 145-154). Routledge.
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