Global Business Strategy: A Report on Fulton's Foods' Expansion Plan

This report analyzes the globalization strategies of Fulton's Foods, a UK-based frozen food retailer, as it plans to expand into the global market. It covers key considerations for international business, including the protection of Intellectual Property Rights (IPR) in a globalized economy, managing business functions in an international context, and the impact of national cultures on international markets. The report assesses various market entry strategies, such as licensing, exporting, and joint ventures, and evaluates appropriate global strategies, recommending a transnational strategy for Fulton's Foods due to its lower risk profile as a small-sized company. The analysis emphasizes the importance of understanding and adapting to different national cultures to mitigate the risk of product failure. The report concludes that a careful consideration of these factors is crucial for Fulton's Foods to achieve its goals and objectives in the international market.

Global Business Aspects
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Table of Contents
PART A...........................................................................................................................................3
Covered in Appendix..............................................................................................................3
PART B............................................................................................................................................4
INTRODUCTION...........................................................................................................................4
MAIN BODY...................................................................................................................................4
Protecting Intellectual Property Rights in a globalised economy..........................................4
Managing business functions in an international context.......................................................5
Impact of national cultures in international markets..............................................................5
Assessment of entry strategies in international markets.........................................................6
Assessment of appropriate global strategy for the local company.........................................7
CONCLUSION................................................................................................................................8
REFERENCES:.............................................................................................................................10
Appendix........................................................................................................................................12
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PART A
Covered in Appendix
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PART B
INTRODUCTION
This report aims to analyse the globalisation which is crucial for the purpose of business expansion. Every organisation
wants to grow their business in global market and that's why they need to enter into global market (Schwertner, 2017). This
report will be analysing the necessary considerations in international business with the special reference Fulton's Foods. Fulton's
Foods is the small size super market chain which deals in frozen food products. It is founded in 1960 which is operating their
business in UK. They had a headquarter in Barnsley, England. They are planing for expanding their business in the global
market. This report will be cover IPR protection, management of business functions, impact of national culture, entry strategies
and appropriate global strategy of company. These are the important elements which needs to understand by company so that
they are able to achieve their goals and objectives.
MAIN BODY
Protecting Intellectual Property Rights in a globalised economy
When company is thinking about the expansion of business in global market then it becomes very important for
organisation to protect intellectual property rights in globalised economy (Vettik-Leemet, Raudsaar and Kaseorg, 2020). It is
found that there is high risk of infringement of business idea and other related information so that's why it becomes very
important for Fulton's Foods to save their IPR by protecting them in an effective way. It is also found in the context of country
that protection of intellectual property rights is necessary as it contributions in the nations' economy. So that's why it so found to
be more important for organisations. They are able to sue against any fraud activity if they found related to their business. This is
very important for them to save their copyright, trademark, etc.
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Managing business functions in an international context
There are many business functions which are performing by Fulton's Foods and they need to same perform in the global
market. But it is identified that they should manage all those business functions in an efficient way so that they are able to
achieve their goals and objectives (Barduchi and et.al., 2019). There are some business functions which are discussed in below
section:
 Planning: It is the first and foremost function in which an organisation is planning for the future activities (Schäfer and
Read, 2020). Fulton's Foods is expanding their business in international market and that's why they need to make a plan
which should be implement or execute in an effective way.
 Organising: This is an important business function in which Fulton's Foods needs to recruit or hire employees as well as
all other activities should be organised in an effective manner.
 Leading: Without a leading function, it is not possible for an organisation to grow and success in the market (Newburry,
Deephouse and Gardberg, 2019). That's why it is crucial for Fulton's Foods to lead in the market so that they are able to
achieve the set objectives.
 Controlling: It is the other function which focuses on measuring and identifying the deviations between standard and
actual performance of Fulton's Foods. So that they are able to control the business activities.
Impact of national cultures in international markets
It is necessary to understand that there is a direct or indirect impact of national culture in international market
(Dzotsenidze, 2020). For example, Fulton's Foods have a experienced of UK's culture and now they are trying to expand their
business in Asian market. So it becomes necessary to identify and analyse the culture of Asian nations as it may be possible that
people are not accepting the culture of UK's company. It is found that national culture of Fulton's Foods is providing positive as
well as negative impact in international market. But it is necessary for Fulton's Foods to analyse the impact so that they are able
to expand their business in global market as there is a high chances of product failure (Pardo-Bosch, Cervera and Ysa, 2019).
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There are some points which are discussed below that helps Fulton's Foods to understand the impact of national culture in
international market:
 It is well known by Fulton's Foods that every country has own norms and values which is not similar to the home country
of company. So that's why there are many critical situations occurs in the organisation where Fulton's Foods may be get
fail. For example, the employees of subsidiary of Fulton's Foods have different culture so they may be are not able to
accept the culture of organisation if Fulton's Foods suing their UK's culture. It becomes very tough to implement changes
as generally people are resistant to change.
 It is identified that national culture in international markets may be leads to lack information of other nation's culture
(KC, 2019). This will creates many complexities for Fulton's Foods as they will unable to expand their business.
Assessment of entry strategies in international markets
The entry in international market is not easy as there are many rules and regulations should follow by company which
wants to expand their business in global market (Myasoedov and et.al., 2020). It is found Fulton's Foods needs to choose the best
appropriate method of entry so that they are able to reduce the negative consequences. Some of the entry strategies are
mentioned below:
 Licensing is found to be most useful entry strategy in which Fulton's Foods provides rights to other nations so that they
are able to do their business in global market. That means with the name of Fulton's Foods other organisation can also
use their name and products in order to sell in the market.
 Export of goods and services is one of the effective entry strategy which is focusing on export of goods and services
without crossing boundaries of UK (Stuchlíková and Botlíková, 2021). This is the effective strategy for Fulton's Foods as
they can easily export their goods and services in the market with less investment.
 Joint venture is another entry strategy in which Fulton's Foods needs to combine their business with other organisation of
other nations. This strategy requires less financial support as it combines both company's financial instrument which can
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easily expand the business in the global market. It is also analysed that company will lost their original features in their
business.
Assessment of appropriate global strategy for the local company
Global strategy is the plan or procedure in which Fulton's Foods is ensuring that how they can enter and get success in
the market (Suvorova, 2019). It is identified that Fulton's Foods should focus on choosing the appropriate global market strategy.
There are four global market strategies are found such as standardization strategy, transnational strategy, export strategy and
multi-domestic strategy. The explanation is mentioned below:
 In standardization strategy, it is found that there is high global integration and low local responsiveness.
 In the transnational strategy, it is identified that there is high local responsiveness and global integration.
 In the case of export strategy, there is low local responsiveness and global integration.
 The last one which is multi-domestic strategy has less global integration and high local responsiveness.
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These are the strategies which needs to critically analyse by an organisation so that they are able to achieve their goals
and objectives (Arumugam, 2019). It is also identified that Fulton's Foods is the small size and local company which is not able
to afford high risk so that's why transnational strategy is preferred in order to expand the business in global market. With the use
of this strategy, they are able to integrate more and more nations and also found high local responsiveness. So if they will
become successful in their future then they can easily achieve their goals and objectives. Afterwards they have a choice to
change their global strategy and become more popular in the market. One things that should be consider by Fulton's Foods is to
critical evaluation that means analysis of each and every strategy.
CONCLUSION
It can be concluded from the above discussion that globalisation of business is not an easy task as there are many
considerations needs to undertake by an organisation so that they can achieve the goals and objectives in an effective way. In
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this report, protection of IPR is found in globalised economy as it is crucial for the success and growth of company and country.
This report also covered management if business function in an appropriate ways so that company is able to expand their
business in the market. It also covered impact of national culture and entry strategies in international market. Along with this,
there was an appropriate global strategy which helps an organisation to achieve their objectives.
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REFERENCES:
Books and Journals
Edet, L., Ogbulogo, C. and Chiluwa, I., 2021. Aspects of Semantics in Global Business: The Nigerian Example in the
Knowledge Era.
Ferraro, G.P. and Briody, E.K., 2017. The cultural dimension of global business. Routledge.
Pikhart, M., 2019. Aspects of intercultural communication in it: Convergence of communication and computing in the global
world of interconnectedness. In Advanced Multimedia and Ubiquitous Engineering (pp. 251-256). Springer, Singapore.
Schwertner, K., 2017. Digital transformation of business. Trakia Journal of Sciences, 15(1), pp.388-393.
Vettik-Leemet, P., Raudsaar, M. and Kaseorg, M., 2020. The Variety of Aspects of Business Models in the High-Growth and
High-Tech Enterprises: An Estonian Case. In Business Models (pp. 49-80). Auerbach Publications.
Newburry, W., Deephouse, D.L. and Gardberg, N.A., 2019. Global aspects of reputation and strategic management. Emerald
Publishing Limited.
Dzotsenidze, T., 2020. GLOBAL INNOVATIVE ECONOMICS AND DEVELOPMENT ASPECTS OF IMERETI-
REGION. Globalization & Business.
KC, S., 2019. Global aspects of entrepreneurship: Comparative Analysis of Nepal and Finland.
Stuchlíková, J. and Botlíková, M., 2021. The Impact of the Global Pandemic on Selected Aspects of Sustainable Tourism in the
Czech Republic. In SHS Web of Conferences (Vol. 92). EDP Sciences.
Suvorova, L.A., 2019, August. Global and Regional Aspects of Positioning Participants of the International Economic
Integration. In International Scientific-Practical Conference" Business Cooperation as a Resource of Sustainable
Economic Development and Investment Attraction", ISPCBC (Vol. 90, p. 48).
Arumugam, V., 2019. Business Aspects, Models, and Opportunities of IoT. In Edge Computing and Computational Intelligence
Paradigms for the IoT (pp. 69-99). IGI Global.
Myasoedov, S., and et.al., 2020, September. The Aspects of Motivation in a Cross-Cultural Environment with Reference to
Hofstede’s Theory. In Global Business Conference 2020 Proceedings (p. 35).
Pardo-Bosch, F., Cervera, C. and Ysa, T., 2019. Key aspects of building retrofitting: Strategizing sustainable cities. Journal of
environmental management, 248, p.109247.
Schäfer, S. and Read, O., 2020. Global Stablecoins: Aspects of Financial and Monetary Stability. Credit and Capital
Markets, 53(2), pp.159-185.
Barduchi, C., and et.al., 2019, October. Economic, Political and Technological Aspects of Development and Eco-Efficiency: A
Global Quantitative Analysis. In International Congress on Engineering and Sustainability in the XXI Century (pp.
552-567). Springer, Cham.
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Online
What are the Drivers Behind Economic Globalization?, 2017. [Online] Available through:
<https://ged-project.de/globalization/what-are-the-drivers-behind-economic-globalization/>
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Appendix
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Fulton's Foods
Globalisation is defined as the process in which organisations are trading with other organisations across
national boundaries (Edet, Ogbulogo and Chiluwa, 2021). It is necessary for companies to identify and
analyse the global environment so that they are able to achieve their goals and objectives. This poster aims to
analyse the global environment with the special reference to Fulton's Foods. It is found that Fulton's Foods is
a frozen food retailer chain which is located in Barnsley, England. They are operating their business in
Midlands and the North of England.
Drivers behind globalisation: Globalisation is the process in which different organisations are allowing to
expand their business in other nations. There are many drivers which influence globalisation. Some
of the drivers are mentioned below which provide a great impact on globalisation:
Cost drivers: It is identified that costs of production are vary from one country to other country. It is also
found that sourcing efficiency is also vary with different nations. Cost provides a great impact on
globalisation as companies need to take right decision regarding for costs of their products and services.
Political drivers: It is identified that political decisions are considered as the drivers of globalisation. It is
found that companies are facing many problems or challenges due to political factors (Ferraro and Briody,
2017). When company is trading in other nations then it becomes necessary to follow all the policies of
different nations' government. So that's why it becomes some drivers of globalisation which create
uncertainties for organisations.
Technology drivers: Every day the technology is upgrading which influence globalisation. When companies
are doing business in global market then it increases the chances of technological up-gradation.
Competitive drivers: Competition is found to be increase in global market as it included all the nations.
This provided a great impact on globalisation as it makes the global market more competitive.
Benefits, and barriers to internationalisation of business: It is necessary for Fulton's Foods to understand
that there are many barriers and benefits to internationalisation of business. Fulton's Foods wants to expand
their business in global market. For that purpose, Fulton's Foods needs to analyse the barriers and benefits of
internationalisation of business.
Benefits to internationalisation of business
 It is identified that internationalisation of business is improved their internal and external
resources.
 With the help of internationalisation of business, company is able to expand their business.
 Internationalisation helps an organisation to earn more profits and revenues.
Barriers to internationalisation of business
 Shortage working capital can be raise as Fulton's Foods needs high investment in order to
expand the business.
 There is an investment risk which found in internationalisation of business.
 Inadequate knowledge of overseas markets.
 Lack of managerial time, skills and knowledge.
Domestic business International business
It refers to a business in which company is trading within the
geographical boundaries.
It is referring to a business activity in which an organisation trade
across boundaries.
Quality standards are low in domestic business. It is identified that quality standards are very high in international
business.
Competition is comparatively low to international market. It includes a tough competition in the international market as it
includes many nations.
Growth opportunities are less. High growth opportunities.
Role of WTO in international business: WTO is playing an important role in the international business as it is found that the main aim of WTO is to
promote free trade by lowering barriers and tariffs (Pikhart, 2019). It is found the most powerful institution in the world which is focusing on reducing the
barriers between organisations and countries. Some important role of WTO is mentioned below:
WTO is the institution which provides a platform where organisations are freely trading in the global market.
It is providing a forum where the members of countries are negotiating for trade.
They are facilitating administration, implementation, and smooth operations of trade agreements.
It also cooperates with World bank and IMF in order to formulate global market policies.
The effects of trading blocs in international business: Trading blocs are defined as the group of countries which are work together for the purpose of
reducing and removing the barriers for international trade. They know that globalisation helps to grow their economy, that's why they are always focusing
on removing and reducing the barriers. They are forming trade agreements which also includes free trade areas, customs union, economic union, etc. It is
identified that trading blocs are providing benefits as well as disadvantage to the international trade. That means it provides positive as well as negative
impact. The effects are mentioned below:
 Companies are able to expand their business in the global market which not only increase their profits and revenues but also improve the
brand recognition in the market.
 Trading blocs are very important as they are reducing the extra tariffs which becomes barriers in international trade.
 It may be increase the import tariffs due to the joining of customs union.
 It is found by many nations that there interdependence on other nations' people is increasing which becomes a threat for their business.
 There is a threat of loss of independence and sovereignty. It is also found that trading blocs are taking all decisions for each and every
country which can be counter the wishes of different nations.
 It is identified that it increases the influence of multinational.
CONCLUSION
It can be concluded that globalisation is necessary for organisation as it provides growth opportunities to the organisation. They are able to expand their
business in the global market. In this poster, it covered drivers of globalisation, benefits and barriers of internationalisation of business. It also covered
differences between domestic and international business. There was a discussion of role of WTO and effects of trading blocs in international business.