This report examines the international business strategy of a UK SME, Lorraine and Martyn Glover, aiming to expand into the Chinese UHT milk market. The report begins with an executive summary and table of contents, followed by an introduction that highlights the business opportunity in China's UHT milk market. The main body includes a background on the SME, business drivers, and a PESTLE analysis to assess the political, economic, social, technological, legal, and environmental factors influencing market entry. It also covers trade theory, trade barriers, and potential consequences of ignoring these barriers. The report further explores business uncertainties and opportunities, ethical and social issues, cultural preferences, and methods of expansion. The report concludes with recommendations and references, providing a comprehensive analysis of the challenges and opportunities for the SME in the Chinese market. The report emphasizes the importance of understanding the Chinese market, addressing trade barriers, and adapting to cultural preferences for successful expansion. The analysis focuses on the UHT milk market for children, considering factors like competition, financial resources, and technological advancements.