Critical Issues in Business Management: A Case Study on Hmlet's Growth

This assignment provides a comprehensive analysis of Hmlet's internationalisation strategy, focusing on its expansion into Singapore, Hong Kong, and Tokyo. It identifies the main drivers for internationalisation, including expanding market share, trade agreements, globalisation, government support, information technology, and emerging markets. The assignment critically evaluates Hmlet's growth strategies using the Ansoff matrix, considering market penetration, product development, market development, and diversification. It also discusses potential challenges Hmlet faces in Asian markets, such as competition, political and economic forces, and diversity and culture management, and suggests strategies to overcome these challenges, including hiring skilled employees, adopting human relationship theory, and implementing Porter's growth strategies. The analysis aims to provide insights into how Hmlet can emerge as a strong player in the co-living space service market.

Critical issues in
business management

Table of Contents
TASK...............................................................................................................................................3
1. What are the main drivers for the internationalisation for Hmlet? ........................................3
2. Critically analyse Hmlet’s international growth strategy for Singapore, Hong Kong and
Tokyo..........................................................................................................................................5
3. Discuss the possible challenges Hmlet could face in Asian markets going forward including
sustainability. What should Hmlet do to emerge as a strong player in the co-living space
service market?............................................................................................................................6
REFERENCES................................................................................................................................9

TASK
1. What are the main drivers for the internationalisation for Hmlet?
Internationalisation refers to process of increasing involvement of different enterprise in global
market. It is strategy which is adopted by companies for purpose of seeking integration globally
(Breitbarth, Kaiser-Jovy and Dickson, 2017). It can be described a process for designing
products as well as service which helps them to meet needs of user in different countries and also
helps them for attainment of goals of companies. There are various reason which drive business
to internationalisation. These helps them for produce more goods and service in order to sell it in
different countries specially globalisation. There are various companies are are selling their
products beyond national borders. Hmlet is an international organisation which is based on Co-
living start up. It is providing co-living space service to people for simplify housing for different
people while relocating or living in Tokyo and Singapore. Service of this organisation is majorly
focuses on full apartment, offering rooms , having access of monthly event, letting members to
share flats and many more. This organisation is planning to expand their business in geographic
location as there are different driver which motivate them for this. These driver which motivate
Hmlet for internationalisation are as follows:
Expanding market share: Internationalisation helps managers of Hmlet to expand their
marketing share which is important for them in order to earn more profit. Present market share of
company is providing them limited market as it consist small numbers of population (Cooke,
2021). Companies which are adopting internationalisation in their organisation are able to
expand their market share which helps them earn more profit. There are some companies which
has achieved sales volume in their domestic market and to increase their sales, they needs to go
for internationalisation. Managers of Hmlet are providing their service in Australia, Tokyo as
well as Singapore which is providing them limited market share and in order to expand their
marketing share, they needs to adopt internationalisation.
Trade agreement between countries: Trade agreement refers to an agreement among two or
more countries for purpose of specific commerce, transit, investment and trade. In this two ore
more countries are including for mutual benefit and offering various concession (Mabey, 2019).
It includes free trade agreement in which companies of different countries can sell their products
and services freely without any regulation. In this, government is offering concession on import

and export duties and other taxes. It motivate companies to expand their at international market
in order to get opportunities. International trade agreement among different countries can
motivate Hmlet for expand their business at international level. It is important for them as it
increase customer base of company.
Globalisation: Globalisation is another reason for which a company is expanding their business
at international level. It ensure free flow of different resources, information, communication and
other things between different country (Shelton and Shopley, 2017). It motivate business to
expand their marketing share to other countries and also allow them to using their resources.
There is increasing trend of globalisation which allow different countries to expand their
business in global business environment. It create various opportunity or a business and also
allow them to get profit. Hmlet is an organisation which can be expand their business. Due to
increasing trend of globalisation, it is easier for them to increasing their marketing share.
Government support: Government support is another aspect which drive business to expand
their marketing share. Government can provide support to business in many ways as they
motivate people to sell their products in international market. They are also providing them
subsidies, tax benefits and other benefit for expanding business at international level.
Government are also develop new policies and corporate laws for business which allow them to
more further in international market. Managers of Hmlet can internationalise their business on
basis of government support as it expansion of business at international level also provide
support to economy of country.
Information and technology: Information and technology is another reason which helps
business to expand their business at international business. There is advancement in technology
which boost online business segment (Murinova and Korab, 2018). It make it simple for business
to expand in international market easily. There are different types of technology used in business
which helps them to different their products and service at international business. Managers of
Hmlet can use different technology which allow them to expand their business at international
market. It allow them to differentiate their products and service from those of competitors.
Emerging market: developing country can be new target for business as these countries are
reducing trade barriers which is important for business. Emerging market are those which offer
unexplored marketing place for business with unlimited scope and potential. A company which
is adopting innovation of products and service are finding out emerging market for sell of their

products and service. Hmlet is an organisation which is providing solution of problems faced by
customer in order to find a living place and in order to get more success in market, they needs of
identify an emerging marketplace.
2. Critically analyse Hmlet’s international growth strategy for Singapore, Hong Kong and Tokyo
The various growth strategies for having a international level business is very much fruitful for
the business growth of Hmlet (Allen, 2020). This growth includes different strategies for
entering into an international market which is highly depended upon the market scope and size,
product or service to be offered, resources availability, customers, etc. the business growth
strategies presents a clear and deep understanding of all the essentials which are needed to be
considered before having an organisational growth. The growth strategy for Hmlet could be
better understood by applying Ansoff matrix:
 Market penetration: Within the business growth through penetrating market a company
Hmlet can reduce the prices for its products or services or can offer them on discount.
This will lead to the enhancement of customer's in market as well as generation of higher
profitability to the business. This method of business growth is less risky for Hmlet as
does not requires to launch new product or make any investment so that can have a risk
of loss. Here only the prices of a product are been reduced.
 Product development: Under this technique of business growth a company Hmlet can
develop new product or can modify its existing by giving a new touch to it. The
development of a new product has an opportunity of higher customer attraction due to
which Hmlet can earn more profits (Lamm, Randall and Sherrier, 2021). A new product
can be made through the indulgence of better innovation and technology so can be
attractive to the customers. This method of business growth is also a easy way through
which the company can sell its new item only in its known market which is having a
lower risk to product failure. The organisation Hmlet could launch its new product in a
form of interior design within its existing market so that can earn greater revenue by
investing less amount.
 Market development: Within this business growth strategy, Hmlet can either sell its
new or existing product into a new market previously in which the company is not having
any operations. Through this Hmlet can attract new market for its business at
international level where it will be able to cater new customer's. Though entering into a

new market is not easy but Hmlet could set nominal or least possible prices for its
products so that can be able to attract customer's attention.
 Diversification- The business growth strategy for diversification leads to a launch of
entirely new item into a new market for sale. Through this Hmlet has an opportunity of
dealing into new product line with a latest market where there is a great opportunity of
business expansion and growth (Choi, Wallace and Wang, 2018). This strategy will prove
to be the most riskiest for Hmlet as this leads to such step of which the company is not
having any idea or knowledge. In order to mitigate the level of risk and grow business
through this manner then Hmlet can have a proper research of market as well as product
so that can have appropriate understanding of the same. Hmlet can come with interior
designing, proper and wealth management, or furniture dealings in the markets of Tokyo
& Hong Kong.
3. Discuss the possible challenges Hmlet could face in Asian markets going forward including
sustainability. What should Hmlet do to emerge as a strong player in the co-living space
service market?
Competition: Competitions is one of important factors which is to be consider by business while
expanding their marketing share. It create impact over profit and marketing share of company.
This factors create challenges for company in market place and does not allow them to get
success and growth in market (Nyoni and Bonga, 2018). For Hmlet to expand their marketing
share in Asian market, competition create major challenges. There are various marketing players
existed in Asian market which are well established and providing effective services to customers.
In order to service in this market, managers of Hmlet needs to overcome of competition.
Market forces (Political and economic): There are different market forces present in market
which does not allow them to expand their business. Political factors includes interference of
government in business and different rues and regulation in market which create negative impact
over business. It create impact over survival for business and also restrict entry of business in
specific country. Economic factors are those which consist different aspect and create impact
over cost of company. It is important for business of Hmlet to consider these aspect which
expanding their marketing share in Asian Market.
Diversity and culture management: Diversity and culture management are another challenge
which create problems for Hmlet to expand their business in Asian Market. There are different

culture and diversity in different countries and in different market which is to be accepted by
business for successfully carry out their operation in market. There are different tradition, ethics,
attitude and believe in different culture. Hmlet while expanding their business in needs to hire
employees from Asian market which share different values, belief which can results in conflict in
organisation and does not allow them to complete business operation successfully.
Strategies to overcome of challenges: In order to overcome of different challenges occur in
business, managers of Hmlet needs to adopt different strategies which are mentioned below:
 It is important for managers of Hmlet to hire skilled and capable employees which are
working willingly and with dedication (Ahmad and Miskon, 2019). It improve overall
productivity of company and provide them competitive advantage in market. There are
different types of culture in different companies and in order to operate in international
market, it is essential for different members of companies to accept these cultural
different. For this, managers of company can provide effective training development
opportunity which helps in avoiding conflicts at workplace.
 Human relationship theory is one of theory which is adopted by companies for various
reason which helps them to build good relation with employees,. It also helps them to
build good relationship wit customers which is important in order to get success in
international market.
 Porters growth strategies can also be used by managers of company to get competitive
advantage in international market. For this, managers of company can adopt cost
leadership, differentiation and focus which helps managers of Hmlet to get competitive
advantage and allow customers to differentiate their products from those of competitors,.
It create various opportunity for company in business and also them to get success and
growth in global business environment.

REFERENCES
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Shelton, R.D. and Shopley, J.B., 2017. Beyond the green wall: Rethinking the environment for
business advantage. In Greening the Boardroom (pp. 119-128). Routledge.
Murinova, A. and Korab, V., 2018. Global Journal of Business, Economics and Management:
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tech literacy in business management education. Journal of Management
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