International Management Report: LakRod's Ceylon Cinnamon in Maldives

This report presents an international management plan for LakRod (Pvt) Ltd., a Sri Lankan company specializing in Ceylon Cinnamon, targeting the Maldives market. It begins with a situational analysis using PESTLE, assessing political, economic, social, and technological factors. The report then outlines specific objectives and utilizes a Gantt chart for organizing operational activities. The core of the strategy involves Porter's Diamond model, analyzing firm strategy, factor conditions, demand conditions, and related industries to establish a competitive advantage. The execution section addresses challenges in international management, including cultural differences, cross-cultural communication, negotiation, and human resource management. Finally, the report examines ethical concerns, particularly regarding working standards, diversity, and integrity within the Maldives market, concluding with an assessment of potential challenges and ethical practices.

International Management

Table of Contents
INTRODUCTION...........................................................................................................................3
Situation analysis....................................................................................................................3
Objective setting and control..................................................................................................4
Organizing(Gantt chart)..........................................................................................................4
Strategy - How Porters’ Diamond model be used in the plan................................................5
Execution -..............................................................................................................................6
How far ethical concerns matter in your selected market, and would there be challenges that
could not be overcome with ethical practices.........................................................................8
CONCLUSION................................................................................................................................9
REFERENECES............................................................................................................................10

INTRODUCTION
International management is determined as the effective practice of managing operational
activities which is being performed among one or more countries in effective manner.
Additional, every nation has its own working norms which are required to be adhered by every
company which is performing its work at international scale Brewster et. al. (2016). The present
report is based on LakRod (Pvt) Ltd, a Sri Lanka based local company which is mainly deals in
selling Ceylon Cinnamon. The respective company is targeting hotels & villas of Maldives to
sell their proposed plan. Also, they are planning to sell this product in small box with effective
packing in order to sell it to the tourists/hotel guests at the premises and Maldives airport duty
free. In this report, effective international marketing plan is developed for the chosen company
which will include PEST analysis in situational analysis, objective setting and control,
organizing, strategy- Porter's Diamond model, execution of the plan and at last it includes ethical
concern related to the same.
Situation analysis
Situational analysis is basically conducted to analyse overall surrounding in order to
analyse that its influence over the company Sanders et. al. (2016). It is highly difficult for
organisation to execute their business activities at international business environment which
include different working culture, economic environment as well as political environments too.
With reference to LakRod (Pvt) Ltd., marketing manager of the company can easily makes use
of PEST analysis in order to examine overall situational zone of Republic of Maldives.
PESTLE analysis is considered as the effective framework that is used by business
organisations for analysis external environmental factors that might place influence on their
functioning in negative manner Lewis et. al. (2016). With reference to LakRod (Pvt) Ltd., PEST
analysis of this company is stated as below:
Political: Republic of Maldives is considered as political stable country. This can be seen
as the influential factor for LakRod (Pvt) Ltd., as political stability will support then in executing
their business activities with any sort of fluctuations.
Economical: This factor is highly related to the inflation rates, economic growth,
disposable income of businesses and consumers, exchange rates, taxation policy etc. With
reference to Republic of Maldives, it can be said that if the government introduces any new

taxation policy related to businesses then it will directly place impact over the functioning of
LakRod (Pvt) Ltd., as it will face lots of trouble due to this fluctuation.
Social: This factor is mainly concerned with society which place influence over the
functioning of company Cremers et. al. (2016). In context to LakRod (Pvt) Ltd., it can be said
that changes in preferences of customers or their influence towards another products might
influence this company as its customers might not remain attracted towards it offering in the
future.
Technological: This factor is highly associated with the technology. Republic of Maldives
is technology advanced nation Döhner et. al. (2017). This brings major advantage for LakRod
(Pvt) Ltd., as the respective can easily make use of advance technology for smoothing their
functioning in the Maldives. Also, advance technology will also provide them support
developing their relationship with maximum hotels as well as other client that is increase in sales
of the Ceylon Cinnamon.
Objective setting and control
In order to establish business of LakRod (Pvt) Ltd., in Republic of Maldives the respected
manager of the company has developed some objectives that will further provide them guidance
in performing their work accordingly. These objectives are specified as below:
 To enhance sales volume of Ceylon Cinnamon by 30% in 1 year.
 To maximise profitability with 20% within the 2 years.
 To control expenses of business activities with 5% in 6 months.
 To develop strong customers base in Republic of Maldives in 1 year.
Organizing(Gantt chart)
Gantt chart is determined as the graphical presented of the overall activities of particular
project. This simply includes starting and finishing time of each project activity which provides
guidance to each team members and also helps them out in accomplishing each task within the
provided time frame in appropriate Luo (2016). With reference to current project, Gantt chart for
its operational activities is specified as below in detailed manner.

Strategy - How Porters’ Diamond model be used in the plan
Porter's Diamond model can be seen as the strategic economic model which clearly
specifies that why one country is prosperous than another country for same industry. This model

also states that it is highly important for the every industry to remain competitive at national
level. The main emphasizes of this model is on translating national advantages into international
advantages which directly provides support to the company in establishing themselves in
international marketplace Uphoff (2019). This can be only done by having good command on
four factors. All of the elements of Porter's Diamond model are specified as below with reference
to LakRod (Pvt) Ltd.
Firms strategy, Structure and rivalry: This is the first and foremost factor which
emphasizes on analysing the competition within the nation developed by other industries so that
emerging challenges can be easily determined. With reference to LakRod (Pvt) Ltd., it can be
said that this factor aware company about upcoming challenges while introducing new product
as a result they are able to modify the product or determine effective way by which it can be
established in adequate manner.
Factor condition: It is highly associated with the domestic homebuyers that is local
targeted audience who easily make purchase from the company to enhance its profitability Nebl
(2018). With reference to LakRod (Pvt) Ltd., it can be said that the respected company here
focuses on establishing their relationship with hotels in Republic of Maldives so that they can
easily influenced to make purchase of Ceylon Cinnamon from this company. Here, main
emphasises is placed on developing relations with the targeted customers.
Demand condition: In this factor, main focus of the businesses in determining actual
demand of their products and services at marketplace so that they can easily enhance its
production by making use of adequate raw materials, experts, talented human resources, capital
etc. In context of LakRod (Pvt) Ltd., the respected manager of the company focuses on using
highly skilled labours and other human resources to meet the demand of Ceylon Cinnamon at
marketplace of Republic of Maldives.
Related and supporting industries: This factor simply states that businesses are required
to develop their relations with the other industries too for attaining sustainability. This is so
because, positive relation will helps companies in improvising their business performance with
one another’s support.
Execution -
While establishing business in Republic of Maldives, manager of LakRod (Pvt) Ltd. will
face numerous of issues that will directly hamper their business performance and also place

negative impact over their organisational work. In order to reduce impact of this in the near
future, the respective manager of the company focuses developing understanding over the
various areas associated with international management that will support them out executing
their business plan in the near future with lesser issues.
The Challenge of International Management
There are range of challenges that are mainly faced by businesses executing their
business activities at international scale. Here, with reference to LakRod (Pvt) Ltd. it can be said
that the respective manager will definitely face range of challenges like foreign laws and
regulations, international company structure, currency rates, political risks, environmental
associated issues, supply chain and risk of labour and many others Richter et. al. (2016). All of
these challenges will directly place major harm over the functioning of LakRod (Pvt) Ltd., at
Republic of Maldives.
The Role of Culture in International Management
Culture of every nation is different from one another. Here, it can be said that cultural
values of two nation can be similar at some point they cannot identical. With reference to the
LakRod (Pvt) Ltd., it has been seen that this company is expanding its business in Republic of
Maldives. This simply depicts cultural difference between both the nation is highly huge. In
order to deal with this, in adequate manner it is important for the managers of the company to
develop their understanding over the culture of Maldives so that they can easily execute their
business activity without facing any sort of issue associated with the culture Graham (2018). It
can be said that if cultural values are easily transmitted among all employees then they can easily
accomplish the project in adequate manner. This is so because, with the familiarity of culture of
Maldives it is easier for employees to execute the work in that culture.
The Cross-Cultural Communication Environment
Cross cultural communication is also determined as the effective field of study where
individual evaluates that how people belonging to different cultural background communicates
with one another. In context of LakRod (Pvt) Ltd., it can be said that this respective manager of
the company conducts effective training session for the employees where they will get adequate
training about their common language which can be used by them at the time of operating their
business at the Republic of Maldives. This will easily help them out in communicating with one
another without facing any sort of gap while interaction.

Negotiation, Decision Making and Managing Conflict
Negotiation while performing international business activity is determined as the
effective interaction between two or more social units developed from different countries which
are planning to perform their business activities with one another in adequate manner. It also
provides support in managing resolving particular issues or disputes at organisational level
Tanaka et. al. (2017). This is effectively performed by satisfying all the parties through providing
them solution for the same activity. It can be further said that manager of LakRod (Pvt) Ltd.,
emphasizes on making decision related to business operations by considering all the negotiable
values related to the trade which will further support in the success at international market.
Effective negotiations at international market that is Republic of Maldives will definitely helps
the LakRod (Pvt) Ltd., in reducing number of disputes at marketplace. This will definitely lead to
attainment of success at marketplace.
Managing Human Resources in the International Arena
Apart from this, it has been further analysed that manager of LakRod (Pvt) Ltd., is also
required to focus on managing workforce during expanding their business at Republic of
Maldives. While, executing their business activities in that area, it is highly important for the
business manager to hire skilled employees with adequate level of experience so that they can
easily perform the assigned work. While doing so effectively, main priority of the company will
be to find out hire employees with effective communication that will support them out in
interacting with the international tourist as well as tourist in such a manner that will attract them
to buy the offered product which will lead to enhancement of sales performance of the company.
How far ethical concerns matter in your selected market, and would there be challenges that
could not be overcome with ethical practices
At the time of implementing business activities at Republic of Maldives, it can be said
that there would be range of ethical issues associated with international expansion such as
outsourcing, workplace diversity and equal opportunities, working standards and conditions,
human rights, trust and integrity, bribery and corruption, supervisory oversight and etc. With
reference to LakRod (Pvt) Ltd., the respected company focuses on easily concerned with
working standards and conditions, trust and integrity, workplace diversity and equality at
international marketplace in order to complete their business activities in adequate manner and
sustain longer within the same industry Teede et. al. (2018). Few of the common challenges that

could be faced by LakRod (Pvt) Ltd., are related to behaviour of individuals with the managers
are performing their business activities. Compliance with the policies of Republic of Maldives is
the another ethical challenge for the managers. Even though these challenges were major but still
they can easily overcome by developing few planning and other strategies.
CONCLUSION
On the basis of overall information, provided in the above section it can be said that
international management is also acknowledged as appropriate way through which business
associations can easily manage their business activities at international marketplace. PESTLE
analysis have effectively contributed in analysing overall external market and has also
contributed in taking adequate decision towards the same without any issue. It has been further
analysed that business associations can easily establish their business in international market by
following all ethical values.

REFERENECES
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