Business Expansion: Analyzing Nando's Entry into the Sri Lankan Market

This report provides a comprehensive analysis of Nando's international business expansion strategy, specifically focusing on its entry into the Sri Lankan market. The executive summary highlights the importance of international market development and its potential for creative outcomes. The report delves into the introduction of Nando's and its global expansion, followed by an overview of Sri Lanka as a chosen market. It encompasses an economic analysis, examining factors such as tourism and trade patterns. The political and legal landscape is also assessed, including the influence of individualism and collectivism. Additionally, the report considers the cultural and ethical aspects relevant to Nando's operations in Sri Lanka, concluding with a summary of key findings and references.

INTERNATIONAL
BUSINESS

Executive summary
In respect to focus on the present report, it considers development of business in
international market. It helps to make sure that effectiveness also helps to attain more creative
results and outcomes. Therefore, aims and objectives attained in respect to attain more creative
results. Nando'd restaurant carry which expanded their business in Sri Lanka market to develop
creativity. Therefore, it will help to focus on the relevant and effective functioning.

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Topic 1 & 2: Brief introduction of company and its expansion..................................................1
Brief introduction of chosen country..........................................................................................2
Topic 3&4 Economic analysis....................................................................................................3
Topic 5 Political and legal analysis.............................................................................................4
Topic 6 Culture and ethics..........................................................................................................6
CONCLUSION ...............................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
In order to expand the business operations, it is important for organisations to look for
new countries. This is because; globalisation is an important aspect which assists to develop
effectiveness in the company in new areas (Wild, Wild and Han, 2014). Furthermore, enterprise
could also implement some innovation and unique characteristics that assist to perform functions
and operations in further areas. In this context, present report based on the Nandos restaurant,
which has now plan to operate their functions in Sri Lanka. They have around 270 restaurants in
all over the world which help to make further growth plan.
MAIN BODY
Topic 1 & 2: Brief introduction of company and its expansion
To expand the business operations, globalisation is the main aspect on which focus is
needed. It is the process in which goods and services are provided in all over the world.
Furthermore, it also considers modifications in company to make connection with the single
nation to one operator (Shenkar, Luo and Chi, 2014). It assists to make changes in ideas,
products, culture, etc. that are related with the people, government and business.
Nando's is the international casual dining restaurant which consist operations as chain
from South Africa. It operates with around 1000 outlets in all different nations. The company
specialise in different nation for its chicken dishes with piri-piri marinades. This restaurant was
found in the year 1987 in Johannesburg suburb Rosettenville. In the magazine, there are around
30 hottest marketing brands develop their operations and functions (Cavusgil, Knight and Rose,
2014). In the month of July 2014, Nando's restaurant group was ultimately owned by
businessman of South African. As a result, they determine chain with different areas. In this
consideration, the chosen enterprise is continuously adding new features and unique
characteristic through they will able to launch new products in the market.
However, the company only consider their operations with chicken products so that they
need to concentrate on the pride, passion, courage, integrity, etc. In the Australia Nando's
working from 1990 and they determine with 270 branches. Therefore, they are able to make high
growth with effective planning and certified halal chicken throughout its chains. In many
branches, they cope up to sell alcohol as well (Stahl, Tung and Zellmer-Bruhn, 2016). They
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consider different kinds of advertising campaigns that are based on the political controversy that
are related with the mandatory detention of refugees.
Moreover, customers are very well known of the company so that it impact positive to
consider systematic work performances. In this consideration, it can be stated that Nando's
implement full food safety investigation which has been confirmed with contamination in the
restaurant (Cano-Kollmann, Cantwell and Song, 2016). Therefore, items that are cooked follow
proper safety and effectiveness. The company now expanded their operations in Sri Lanka so
that there are factors endowment basically which defined as the amount of land, labour, capital,
etc. Further, the country also possess and exploit regarding food safety. Business has lending
with the different kinds of resources that are carried to produce effective results. It is important
for the chosen enterprise which expand in new area to obtain the greatest benefits. Every country
consider some relevant elements in the products and services to implement own specialisation
that made by the nation to explore global trade (Forsgren and Johanson, 2014).
Brief introduction of chosen country
Sri Lanka consider open market to import of goods and services that expanded to make
profitable result. Therefore, development activities are more adoptable with dynamic economy. It
is also built up with different goods and services with high technology products. Major services
exporting that included as education, tourism and financial services. Raw material availability is
good in the chosen nation so that Nando's can easily grow in new areas of the country easily
(Beugelsdijk, Kostova and Roth, 2017). However, the company is also facing some issues and
risks in the business because there are 90% restaurants fail in 5 years so that manager need to
adopt new tools and strategies. This is because, they do not have perfect knowledge regarding
market.
Every restaurant requires unique and creative activities so that they can grow easily.
Hence, Nando's need to adopt this strategy with implementing strategies and tools. Apart from
this, there are several rules and regulations which are needed to be followed so that effectiveness
can be increased (Picciotto and Mayne, 2016). Different factors available which impact
positively to operate successful results. In this regard, rapid growth increasing in the nation
because labour availability create positive impact. With help of expansion in the areas, country
can get benefits to perform creative results with integrated activities and development program.
With the help of some innovative and creative characteristic, chosen business can get benefits to
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produce effective results in the nation. Trade patterns of the country create benefits because of
differentiation factor so that it help to enter in international market and implement effective
results as well. It will help to produce services in successful consideration (Cravino and
Levchenko, 2016).
Topic 3&4 Economic analysis
Economy element of the country consider several advantages to make high growth in the
nation. It is the best way to attain overall growth and effectiveness in the country. Tourism
activities has strong growth so that it impact positively on the Nando's to target and create
effective results as well (Rea and Parker, 2014). Diversified agriculture production also create
advantages in the Sri Lanka so that they are able to deliver effectiveness in new enterprise.
Further, the country engaged in the process of fiscal consolidation which get support by the IMF.
Government of the country also continuously make their efforts to reduce deficit and debt.
Foreign investment also generated in term of revenue which considered large share and
implement salaries of civil servants. Country also develop free trade so that they are able to
implement innovation and effectiveness with another country consideration (López‐Duarte,
Vidal‐Suárez and González‐Díaz, 2016).
In Sri Lanka, tariffs is levied on imports which effectively increases cost of imported
products relative to the domestic products. Specific tariffs consist as fixed change for each unit
of good imported. Hence, value of proportion consider on imported good. Nando's has benefit of
free trade because there is less tariff implemented on the goods and services of chosen business.
In addition to this, subsidy is government payment to domestic producer which includes cash
grants, tax breakers, low interest loans, etc. (Hutzschenreuter, Kleindienst and Lange, 2016).
Subsidies help to domestic producers in two aspects such as help to compete against low cost
imports and help to gain export markets. In addition to this, import quotas and voluntary export
restraints consider direct impact on the extra profits which made to supply and import quota.
In the nation, government also make their participation with intervene. Political
arguments concerned with the group implementation and development. It assists to protect the
Nando's with normal producers. Most political reason included that is trade restrictions which
protecting jobs and industries (Kolk and Rivera-Santos, 2016). From the country analysis, it has
been seen that Sri Lanka consider economic freedom which consist score 57.8 that make
effective functioning as 111th freest in 2018. There overall score increases through 0.4. In order
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to make improvement in the investment, it is essential to look on the judicial effectiveness as
fiscal health. In order to maintain steady economic expansion, Sri Lanka has enjoyed
maintaining their macro-economic stability. Government implement their simultaneously
services as high level of debt. It assists to reduce tax receipts which reduced bloated public sector
and lowering historically high budget deficit (Chidlow, Ghauri and Cavusgil, 2015). It helps to
increase economic expansion to improve business climate. Government has appropriate
economic development advantages through they can secure interest in property which is
generally recognised.
It assists to look upon the trade policy that assists to implement advance human rights
and political freedom in trading partners. Carbon tariffs also implemented as old-fashioned
protectionism dressed in green drag. Political and economy consideration depict relationship
with external viability and balance of payment (Beugelsdijk, Kostova and Roth, 2017). With the
help of large and persistent current account deficits and foreign debts create signal with financial
instability. It requires adjustment with potential damaging to international business. Economic
development is the multinational concept for economic growth. Therefore, it encompasses
human and social development issue with addition to material economic issues. Concept also
included with the process, change, dynamism system. GDP not create economic development
program but for Nando's, it helps to measure common aspects at workplace. GNI per capita
income is useful aspect to create strong correlation with quality of life indicators. With the help
of purchasing power parity, adjustment considered in gross national income. Therefore, it assists
to save cost of living in the country.
Topic 5 Political and legal analysis
In the Sri Lanka, political system consider hardware where software determines quality
of governing. It competing with the interest group which justify policies and actions as per
reasonable coherent and set of values as ideology. It includes set of values and belief that
justifies certain behaviours with guidelines of economic and political actions. For the western
characteristic, liberalism is characteristics opposed to any social group in rationale and freedom
to make own life. For Nando's socialism characteristic set on the priorities which includes social
equality, common good demand and self-centred individual which dependent on the larger
society. Political system has been set with the degree which emphasis on the collectivism as
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opposed to individualism. Degree also demonstrates democratic and totalitarian (Shenkar, Luo
and Chi, 2014).
In order to placed system, it considered high value on the individualism which tend to the
democratic that assists to look upon collectivism which refers to the system of stress. Primacy of
collective goals over individual goals are described. This system emphasis on the needs of
society as whole which are generally viewed and more important than the individual freedoms.
In modern era, collectivist activities determines socialists results and goals as well (Cano-
Kollmann, Cantwell and Song, 2016). In the country, political system regulated with
individualism which consist political philosophy holds in which individual free to determine
their economic and political pursuits. It assists to focus on Nando's guaranteeing and self
expression and letting people to pursue self interest as well. Hence, they are able to accomplish
overall good and effective results in the society. Translates into the advocacy system
implemented as democratic political systems and free market economies (Chidlow, Ghauri and
Cavusgil, 2015). From 1980, democratic ideals and free market economies implement socialism
and communism.
Collectivism activities determines as the primacy of collective goals and objectives. In
this consideration, it is important to look upon the needs of society. This is because, it is more
important than the individual freedoms. In modern time, collectivist has been picked up
socialists. Socialism defines as the political system which believe that state ownership of the
nation include distribution and exchange that create so many benefits. Communists that believe
on socialism in Sri Lanka requires concentrate on violent revolution and totalitarian dictatorship.
As results, it will assist to Nando's to develop effectiveness. Democracy and totalitarian is also
important part that advocates to accomplish decline results in all over the world. Right way
totalitarian allowed implement common features which overt hostility with communist ideas.
There are mainly three reasons account for the spread of democracy in which first is totalitarian
regimes failed to deliver economic progress.
With considering new information and communication in Nando's they are able to
implement technologies changes with improve effectiveness as well. It assists to control access
to uncensored information. In the different nations, economic advances led to the emergence
which increases prosperous middle and working classes who pushed democratic reforms.
Economic success of the nation also implemented in different nations so that compatible with
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private capitalist economic success considered in the business (Stahl, Tung and Zellmer-Bruhn,
2016). New world order and global terrorism collapse of communism in Eastern Europe. Future
shape also create with free market and harmonious world. It split in values and ideologies. It
refers with the legal system which regulate behaviours, laws, processes, etc. Therefore, it is
important for the international business to cope up with the systematic review of activities.
Different legal systems are based on the tradition, precedent and custom so that it could be found
in Sri Lanka. In addition to this, different contract law documents determines specifies
conditions under which exchange activities of Nando's implemented that occur with detailed
rights and obligations of the parties involved. Contract law also made which govern in term of
contract enforcement and civil law countries. In the selected nation, it is important to consider
rules that governing to make commercial contracts between sellers and buyers. Property rights
considered legal rights in which resources has been used and put to make high income which
derived from different resources. It is important to implement functioning at workplace which
violated in private and public action.
Topic 6 Culture and ethics
Culture of Sri Lanka consider mixes of modern elements with traditional aspects. It is
known as the regional diversity. In this concept of culture, mainly includes heritage of the
regional diversity. It includes Theravada Buddhism which passed from the India and the religion
legacy with particular strong and southern and central regions. With the help of the South Indian
cultural influences, especially some innovative and pronounced activities has been reaches in the
country. History of colonial occupation determine mark on Sri Lanka's identify such as Dutch,
Portuguese, etc. In the nation, there is rich artist tradition so that it create distinct creative form
for Nando's with encompasses through music, dance, visual arts, etc. In the international areas,
there are different elements exist that assist to make indigenous holistic results which is
encompasses through holistic medicine practices, religious iconography, etc. (Chidlow, Ghauri
and Cavusgil, 2015).
As results, it can be stated that the new business need to implement art and craft which
help to focus on the take inspiration with long lasting activities. It turns to the absorbed and
adopted countless. Dance, music, cinema, etc. elements considered which is concern with the
innovative results and outcomes in Nando's with changes make in countries regarding effective
functioning. Primarily, it is influenced with the innovative and effective characteristic so that it is
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important to look upon the systematic work performance in Sri Lanka that assists to expand
restaurant in market (Cavusgil, Knight and Rose, 2014). It has been noted that country generally
adopted American fast food so that many younger generation could be attracted towards the
started and implement new style as well.
CONCLUSION
From the above report, it can be concluded that Nando's can operate in Sri Lanka market
successfully. However, it creates advantages and disadvantages as well to consider systematic
work performance in the business environment. In this aspect, mainly report describe business
and market where they expanded successfully to considered effective functioning. With the help
of the political and economic analysis, it has been seen that it make positive impact to do
business and its operations with effective characteristic.
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