Mc Currie's International Business Expansion: Canada Market Report

This report explores Mc Currie's potential internationalization into Canada, focusing on its chutney products. It examines the macro-environmental factors in Canada using PESTEL analysis and assesses the country's national competitiveness. A cultural analysis based on Hofstede's theory evaluates the impact of cultural differences on Mc Currie's internationalization process. The report recommends a joint venture as the most suitable entry strategy, highlighting its advantages in terms of market access, risk sharing, and resource utilization. It also discusses the potential challenges Mc Currie might face due to cultural differences between Sri Lanka and Canada, particularly in communication styles and risk aversion.

Running head: INTERNATIONAL BUSINESS OF MC CURRIE
International Business of Mc Currie
Name of the student
Name of the University
Author note

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Executive Summary
The primary purpose of the report is to throw light on the product of Mc Currie that would be
internationalisation. The report also discusses about the conditions of Canada that is inclusive
of macro-environmental factors and the national competitiveness. The report also talks about
the culture of Canada and the effect of internationalisation on Mc Currie. The report also
recommends that joint ventures can help Mc Currie in moving into the international domain.

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Table of Contents
1.0 Introduction..........................................................................................................................3
2.0 Product for the Internationalisation......................................................................................3
2.1 Overview..........................................................................................................................3
2.2 Level of the success.........................................................................................................3
2.3 Cause of success of product in host country....................................................................3
3.0 Analysis of host country.......................................................................................................3
3.1 PESTEL Analysis of Canada...........................................................................................3
3.2 National Competitiveness of Canada...............................................................................4
4.0 Cultural Analysis of Canada................................................................................................5
4.1 Hofstede theory................................................................................................................5
4.2 Evaluation of the effect of Cultural Differences in process of Internationalization........6
5.0 Internationalisation Strategy................................................................................................7
5.1 Recommended Entry Strategy..........................................................................................7
5.2 Internationalization Strategy............................................................................................7
6.0 Conclusion............................................................................................................................8
7.0 References............................................................................................................................9

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1.0 Introduction
Mc Currie is the manufacturer of the premium spices that are of high quality in Sri
Lanka. They have a huge range of the spices that is popular across the world (Mccurrie.net
2019). This report discusses about the environmental conditions in the host country of
Canada. The report also talks about the national competitiveness in relation to the host
country. The report also talks about the culture of Canada and the effect of the
internationalisation on the company. The report also recommends the appropriate entry
strategy that can help in facilitating the internationalisation process of Mc Currie.
2.0 Product for the Internationalisation
2.1 Overview
The product of internationalisation of Mc Currie are the chutneys of Mc Currie. The
chutneys refer to the sweet side dishes which are made of the fresh fruits. The range of the
chutneys that would make its entry in the international domain are Lime chutney, Mango
chutney, Pineapple chutney along with the Date chutney.
2.2 Level of the success
The level of success of the chutney of Mc Currie can be said to be high owing to the
fact that the people in Sri Lanka enjoy the traditional dishes. The ingredients of the chutney
are on the basis of the traditional recipes of Sri Lanka that has ensured the success of the
product within the popular market. The chutneys proves to be a great accompaniment along
with the rice along with the noodle dishes of Sri Lanka.
2.3 Cause of success of product in host country
The product would become popular in the host country of Canada owing to the fact
that the Canadians like the Indian food. They like the North Indian dishes that includes the
breads along with the warm curries. They like to use the cream along with the yoghurt within
the meat-based dishes. The product can become successful in Canada on account of the fact
that the Canadians love the various kinds of Indo-Canadian dishes like the kedgeree
(Hamilton and Webster 2018). They are the product of Anglo-Indian cuisine that stems from
the colonial rule of the British of that of the Indian subcontinent.
3.0 Analysis of host country
3.1 PESTEL Analysis of Canada
Political Economic

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 Canada is the democratic country
that has the parliamentary system
 The country is politically stable and
it can be said to be safest country
within the world
 The country lays focus on the aspect
of the international peacekeeping
 Canada has mixed economy that is
highly developed
 The country has high GDP growth
that helps the various business along
with the entrepreneurs in the place
(Chernis and Sekkel 2018).
 The country has a diverse economy
along with diverse people that helps
in the development of business
Social Technological
 Canada can be said to be a diverse
country
 There is the lack of the skilled
workers in various sectors of Canada
 The living standard of the people of
Canada is very high
 Technology is a fast growing sector
within Canada
 Canada makes use of technology for
serving various kinds of purposes
like the education along with the
leisure
3.2 National Competitiveness of Canada
Factor Conditions
There has been increase in number of the science along with the technology graduates
of the colleges along with the universities. There has been increase in amount of the training
along with the education within Canada that helps in the growth of various kinds of industries
in the place (Stewart, Boks and Bey 2017). Canada has transportation network that is well-
developed that can help in the development of various kinds of business within Canada.
Demand conditions
The country has a well-functioning economy that helps in the facilitation of various
kinds of business in Canada. The possibilities of the individual spending has increased in
Canada that can help the flourishing of the different business in the country (Ripollés and
Blesa 2017).
Related industries

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There are small enterprises in Canada that builds the relationship between the various
kinds of companies within the country. The smaller enterprises in Canada share the
complementary skills along with the products that helps in the gaining of the benefits (Ysasi,
Marini and Harley 2018). The enterprises can make benefits from the clustering effects of
various regions of Canada.
Firm strategy, structure and rivalry
The local strategy along with the structure within Canada are different from the
various countries owing to one reason: two cultures along with the two languages. Canada
carries out the innovations in the business that can help in the developing of different kinds of
business (Watson et al. 2018).
4.0 Cultural Analysis of Canada
4.1 Hofstede theory
Power Distance
The culture of Canada has interdependence among the inhabitants and the country
lays a great amount of emphasis on the element of egalitarianism. There is lack of the
element of the overt status along with the class distinctions within the society. The hierarchy
within the Canadian organizations are established for the purpose of convenience (Wan et al.
2018). The superiors are accessible in Canada and the managers are dependent on the
individual employees in relation to their expertise. Canadians value the element of the
exchange of the information.
Individualism
Canadian has highest dimension score in relation to the aspect of individualism. There
is loosely-knit society in Canada and the people in Canada are expected to look after their
immediate families (Xie et al. 2018). It is expected that the employees are self-reliant and
they display the initiative in an organization.
Masculinity
Canada can be stated to be a moderately “masculine” society. The Canadians want to
attain the high standard of the performance in relation to work along with the play. The
cultural tone can be said to be subdued in relation to achievement along with the success
(Wilkinson and Garcea 2017). The Canadians possess the work-life balance and they want to

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enjoy the personal pursuits along with the family gatherings (Al-Alawi and Alkhodari 2016).
The Canadians have the tendency of striving for the high standard of the performance in
various kinds of endeavours.
Uncertainty Avoidance
The Canadians have the tendency of accepting the new ideas along with the
innovative products. The Canadians want to try out something that is different that makes
them involve themselves in experimentation (Beugelsdijk, Kostova and Roth 2017). The
Canadians are tolerant of the ideas along with the opinions and they allow the freedom of the
expression in the society (Tilsto and Sandstrom 2018). The people in Canada do not abide by
any kind of rules and they are less emotionally expressive as compared to that of the other
cultures.
Long-term orientation
The society in Canada can be said to be a normative society. The people in Canada
want to establish the aspect of the absolute truth and they can be said to be normative in
relation to their thinking. The Canadians exhibits respect for the traditions and they want to
achieve the quick results (Zander, McDougall-Covin and Rose 2015).
Indulgence
The culture in Canada can be said to be indulgent. The people within the Canadian
societies have high score in relation to indulgence. The Canadians want to realize the
impulses and they want to enjoy the life. The Canadians have the positive attitude and they
have tendency towards the aspect of optimism (Porter 2015). They lay a great amount of
importance on that of leisure time and they want to spend the money on the basis of their
wishes.

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Figure: Cultural Dimensions of Canada
4.2 Evaluation of the effect of Cultural Differences in process of Internationalization
Canada can be said to be an appealing country where the people can make
investments and carry out the work. The Canadians are restrained in relation to the
negotiating style that they have the tendency of controlling the emotions (Cano-Kollmann et
al. 2016). Mc Currie in the event of internationalization have to face the cultural differences
on account of the fact that the people of Sri Lank believe in the aspect of the informal manner
of expression. The negotiations are carried out in Canada with the help of the contracts
whereas the people in Sri Lanka believe that relationships can help in building the
negotiations. The personal style of the Canadians can be said to be formal as opposed to the
people of Sri Lanka who believe in the informal manner of communication (Al-Alawi and
Alkhodari 2016). The manner of communication can be said to be direct within Canada and
the Canadians do not have to read into the messages (Grøgaard, Rygh and Benito 2019). The
communication is carried out with the help of the e-mails along with the telephone calls that
should be direct in the country. On the other hand, the manner of communication of the
people of Sri Lanka can be said to be indirect that can throw challenges in carrying out the
internalization process of Mc Currie of Sri Lanka (Doh et al. 2017). The pleasantries in
Canada are exchanged very quickly and this can pose difficulties in the event of
internalization of the Sri Lankan company Mc Currie in Canada. The organizations in Canada
believe in the hierarchical systems and there is distance in between the superiors and the
subordinates in an organization (Cravino and Levchenko 2017). On the other hand the

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organizations of Sri Lanka believe in the aspect of the group consensus that can act as a
hurdle when Mc Currie of Sri Lanka moves into Canada. The people in Canada do not want
to take any kind of risks as opposed to the people of Sri Lanka (Montazer and Wheaton
2017). The people of Canada want to stay away from any kind of risks that can raise barriers
for Mc Currie in the event of moving into Canada.
5.0 Internationalisation Strategy
5.1 Recommended Entry Strategy
Mc Currie can enter into Canada with the help of the joint ventures that can prove to
be lucrative for the company. It can help the premium spices company in growing at a faster
pace and it can cater to the needs of the people in Canada (Vagts et al. 2015). It can increase
the productivity of the company and help it in the generation of greater amount of profits
(Yan and Luo 2016). It can help Mc Currie in finding the distribution networks that can bring
revenues for the company. It can pave the path for the sharing of the risks along with the
costs that can prove to be advantageous for Mc Currie company of Sri Lanka (Stoian, Rialp
and Dimitratos 2017).
Figure: Advantages of the joint ventures
5.2 Internationalization Strategy
Mc Currie can takes recourse to the financial resources of Canada that can help the
company in spreading its influence in the market of Canada. It can help in ensuring the

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success of the venture and it can help in the combination of the expertise that can greatly help
Mc Currie in moving into Canada (Hamilton and Webster 2018). There can be a written
agreement in between the parties that can help the company in establishing its presence in the
foreign soil (Klein and Sichtmann 2015). The contract can help in the establishment of the
relation in between the parties. Agreement should have details in relation to the purpose of
the joint venture that can work to the benefit of the company. It can help in the establishment
of the equal shares that can help in the growth of the company in the long run (Hollender,
Zapkau and Schwens 2017). It helps in the splitting of the profits along with the losses that
helps in the development of Mc Currie in the future.
6.0 Conclusion
The product of Mc Currie that would be send in the international arena are chutneys
that can help the company in establishing the dominance in the foreign market. The chutneys
are the sweet dishes that the Canadians can consume with the Indian foods. The Canadians
prefer North Indian dishes which they can have with breads with that of warm curries. The
country of Canada can be said to be a democratic country which is politically stable that can
favour the establishment of different kinds of business within Canada. Canada has high
growth in relation to GDP that can help in the growth of different kinds of business within the
framework of the country. Canada has well-functioned economy that can help Mc Currie in
making the profits. Canada lays great amount of stress on the aspect of egalitarianism. Mc
Currie can spread its influence in the market of Canada by taking recourse to joint ventures
that can be of worth for the company. It can help the country in growing in a faster manner
that can help the country in serving the demands of people living within Canada.

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7.0 References
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Businesses: Applying Hofstede Cultural Analysis in Germany, Canada, South Korea and
Morocco. Elixir International Business Management, 95(2016), pp.40855-40861.
Beugelsdijk, S., Kostova, T. and Roth, K., 2017. An overview of Hofstede-inspired country-
level culture research in international business since 2006. Journal of International Business
Studies, 48(1), pp.30-47.
Cano-Kollmann, M., Cantwell, J., Hannigan, T.J., Mudambi, R. and Song, J., 2016.
Knowledge connectivity: An agenda for innovation research in international business.
Chernis, T. and Sekkel, R., 2018. Nowcasting Canadian Economic Activity in an Uncertain
Environment. Bank of Canada.
Cravino, J. and Levchenko, A.A., 2017. Multinational firms and international business cycle
transmission. The Quarterly Journal of Economics, 132(2), pp.921-962.
Doh, J., Rodrigues, S., Saka-Helmhout, A. and Makhija, M., 2017. International business
responses to institutional voids.
Grøgaard, B., Rygh, A. and Benito, G.R., 2019. Bringing corporate governance into
internalization theory: State ownership and foreign entry strategies. Journal of International
Business Studies, pp.1-28.
Hamilton, L. and Webster, P., 2018. The international business environment. Oxford
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Hamilton, L. and Webster, P., 2018. The international business environment. Oxford
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Hollender, L., Zapkau, F.B. and Schwens, C., 2017. SME foreign market entry mode choice
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Klein, M. and Sichtmann, C., 2015. Foreign Entry Mode of Knowledge-Based Service Firms
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Scarcity, Globalism, & Sustainability (pp. 214-214). Springer, Cham.

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Mccurrie.net (2019). Premium Quality Spices Supplier in Sri Lanka Mccurrie, Spices.
[online] Mccurrie.net. Available at: http://www.mccurrie.net/ [Accessed 13 Jun. 2019].
Montazer, S. and Wheaton, B., 2017. Economic conditions in countries of origin and
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Xie, J., Smith, T., Van, T.T. and Velasco, V., 2018. CANADA, JAPAN, AND THE UNITED
KINGDOM’S CUSTOMER SERVICE COMPARISON. Copyright 2018 by Institute for
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