Air Pie Restaurant: International Management Challenges and Strategies

This report examines the international management challenges and strategies of Air Pie, a UK-based restaurant chain planning to expand into Japan and the USA. The analysis covers the implications of expansion on management, organizational strategy, and operations, highlighting the importance of adapting to cultural differences and consumer preferences. The report emphasizes the need for strategies to overcome cultural barriers, including employee-related policies, innovative working systems, and effective communication. Furthermore, it stresses the significance of self-awareness and sensitivity to cultural diversity for successful international operations. The report recommends that Air Pie develop comprehensive strategies to address these challenges and provides a conclusion summarizing the key findings and recommendations for successful global expansion. The report uses the case study to highlight the necessity of understanding cultural differences to minimize risks and ensure effective business operations in new markets. The report includes references to academic journals and books to support the analysis.

INTERNATIONAL
MANAGEMENT

EXECUTIVE SUMMARY
Business can grow while expanding their business in international market. This repost
highlight the case of Air Pie restaurant which is running in UK. But due to market saturation they
are planning to go internationally in Japan or in USA. Thus, they have to face many challenges
related to cultural difference, diversity and many other concepts. In order to remove barriers that
may come across on their way.

Table of Contents
EXECUTIVE SUMMARY.........................................................................................................................2
INTRODUCTION.......................................................................................................................................4
TASK..........................................................................................................................................................4
2) Implications to management, organization strategy and operations.....................................................4
4) Importance of self-awareness and sensitivity to diversity in culture....................................................5
CONCLUSION..........................................................................................................................................6

INTRODUCTION
International business is all about exchange of goods across international boundaries for
gaining maximum benefits by satisfying needs of domestic as well as foreign clients. However,
expansion of existing enterprise is all about establishing a fresh venture into a new marketplace.
Air pie is fastest growing food restaurant by having its outlets in British only but furthermore
they wanted to expand it in Japan and USA also for enhancing their company sales. Therefore,
assignment is going to highlight the implications to various business operations. Along with this,
need to suggest suitable strategies for overcoming several cultural barriers which might occurred
during expansion process. Lastly, it also throw lights on needs of self awareness and diversity in
culture.
TASK
2) Implications to management, organization strategy and operations
According to given case study it has been analyzed that before implementing expansion
Process Company needs to analyses distinct factors in order to minimize the probabilities of
mistakes. Thus, Air pie is British fast food Company whose main motive is to establish their
new outlet into various nations for generating more revenue by gaining competitive advantage at
global marketplace. According to survey report it has been summarized that expansion is a very
tough job because countries are having distinct culture, consumer choice or preferences,
language and so on. Thus, company is get affected by all these changes in various manner which
is described as follows:-
Management:- As per this element it has been assessed that managers of company needs to
change their direction policies as per nature of Japan and USA. In fact, employees of these two
countries are having distinct potentiality towards their job role such as; American are habitual to
work for longer period of time. Thus, company needs to plan their management as per nature of
environment (Marschan-Piekkari, and Welch, 2011).
 Organization strategy:- Company needs to design their strategy as per consumer demands
as well as needs to considered employees requirement in order to minimize the chances
of conflicting situation.
 Operations:- Development of particular business are fully depend upon their operational
department because entire direction of company is planned under this as well as operates.
It helps in managing things in suitable manner by understanding the impact of each or
every aspect.
Hence, it has been identified that assessment factors is most indispensable for Air pie
because it helps an enterprise in various complicated situations by highlighting major
advantages and drawbacks (Minkov, and Hofstede, 2011).

3) Strategies to overcome the cultural differences
As Air pie have decided to venture its present business into international market due to
market saturation in UK. Hence, they will face number of cultural differences that will occur
while opening it into the international market (Schmeisser, 2013). They have decided to open
their business in Japan and USA. Therefore, In order to minimize the effect of the cultural
differences they have to formulate strategies to overcome it. It is the responsibility of
management of Air pie to bring possible changes and modifications in their policies and rules so
that they could able to overcome the barrier effectively and efficiently. Some strategies that
could be adopted by the restaurant is described below:
As they are planning to shift their business operations in japan or in USA hence, they have to
frame strategies related to employees as they will employ workers of that particular nation. Thus,
strategies have to be in accordance to them (Scullion, and Collings, 2011).
 In order to overcome the cultural barriers Air Pie have to continuously introduce
innovative and advanced system of working so that they can able to develop this business
at significant level.
 Air pie will frame new policies and regulations, therefore they will have to establish
effective communication system so that proper information must be communicated
between every individual; who are working there. This lead to final accomplishment of
goals and objectives in set time period.
 Plan of actions must be drawn considering vision and mission of Air Pie Company. For
instance diversity rules must be incorporated in accurate manner.
4) Importance of self-awareness and sensitivity to diversity in culture
It is the duty of Air Pie restaurant to understand each and every concept of cultural
diversity so that they do not face much problems related to it. For instance they have to face
many rules and policies of Japan or USA government that has to be implemented in to their
system adequately otherwise they have to face many problems and hindrances. Thus, it become
necessary to calculate the importance of diversity in culture. Another concept of self-awareness
that basically define own values and behavior so that key areas could be identified in corrective
manner. Importance of these aspects are described below:
 As Air pie is deciding shift their business in Japan or in USA, hence, they should
examine all cultural policies that are followed there and have to be introduced into their
system to run it in successful manner.
 To eliminate unwanted risks that may arise at new places. So, management must be well
prepared to face any challenges that may come across on their way. As, restaurant is
going internationally for the first time they would have to face several issues in
conducting business operations (Bunse, Vodicka, Schönsleben, Brülhart, 2011).
 If restaurant would adopt proper system of cultural diversity so that no conflicts will arise
between individuals. There can be various cases that will result in generation of barriers
among employees working at same place. Proper knowledge of the system will minimize
the cases of conflicts and lead to achievement of final aims in effective manner.

RECOMMENDATION
From the above report it can be recommended that Air Pie have to make proper strategies
in order to overcome various barriers that will come on their way while establishing their
business internationally. Hence, management have to focus on it properly and effectively.
Similarly, all employees also have to coordinate their actions to introduce such plans
successfully.
CONCLUSION
From the above report it has been summarized that expansion is not an easy task because
every nation are having their distinct culture, languages, background and various other things.
Thus, due to all these factor Air pie is facing a major problem while expanding their business in
different nations. However, main objective of this project is to show the need of understanding
cultural differences as it is essential to run a business entity into new marketplace because
numerous countries are different in various elements. Hence, it has been analyzed that company
needs to focus on various components while involving in an expansion process in order to
minimize the probabilities of losses.

REFERENCES
Books and Journals
Marschan-Piekkari, R. and Welch, C. eds., 2011. Rethinking the case study in international
business and management research. Edward Elgar Publishing.
Scullion, H. and Collings, D., 2011. Global talent management. Routledge.
Bunse, K., Vodicka, M., Schönsleben, P., Brülhart, M. and Ernst, F.O., 2011. Integrating energy
efficiency performance in production management–gap analysis between industrial needs and
scientific literature. Journal of Cleaner Production. 19(6-7). pp.667-679.
Schmeisser, B., 2013. A systematic review of literature on offshoring of value chain
activities. Journal of International Management. 19(4). pp.390-406.
Minkov, M. and Hofstede, G., 2011. The evolution of Hofstede's doctrine. Cross Cultural
Management: An International Journal. 18(1). pp.10-20.