IBS804 Assessment 2: PGG Wrightson's Mexico Expansion Report

This report analyzes PGG Wrightson's potential expansion into the Mexican market, focusing on developing a comprehensive leadership strategy and communication plan. It begins with an overview of the Mexican agricultural market, highlighting opportunities for PGG Wrightson's agricultural and animal product offerings. The report advocates for a transformational leadership style to guide the expansion, emphasizing the importance of creating a global mindset among staff. It details the selection and training of staff, emphasizing the need for knowledge of both Mexican and New Zealand practices, including training in agricultural techniques, animal husbandry, and cultural differences. A structured communication plan is proposed, outlining essential steps, channel selection, and frequency of communication to ensure effective information dissemination. The report concludes with an analysis of the strategies' potential for success, emphasizing the importance of adapting to the host country's needs and culture.

Managing in globalized world

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Table of Contents
Introduction:...............................................................................................................................2
Analysis over the required global strategies for expansion:......................................................2
Present scenario of Mexican market:.....................................................................................2
Required leadership style and strategies:...............................................................................3
Selection and training of the staff member in the host country:............................................3
Training of the staff related to agricultural products.........................................................3
Training of the staff related to animal husbandry..............................................................4
Training required for the managers of both the countries..................................................4
Development of global mind-set in the staff members..........................................................5
Communication Plan..................................................................................................................5
Analysis of the success of the strategies....................................................................................6
Conclusion..................................................................................................................................7
Recommendations:.....................................................................................................................7
References..................................................................................................................................9

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Introduction:
PGG Wrightson is a medium sized company of New Zealand which produce a wide range of
agricultural products. The major products of the company are available finance to rural sector
with heartland bank, to provide insurance to the crops, providing real estate services
including land availability for farming, fruitfed supplies include the products related to
spraying for plant nutrition of pesticides, fungicides and insecticides. It also offers services
for rural areas of New Zealand which consists of services related to animal’s products like
wool, beef, milk and live stocks. It also focuses on animal’s health and helps the workers and
owners in growing more yield to crops and maximising the dairy and animal’s products. It
offers a variety of seeds and other essential products which helps the farmers in a better
production from crops and animals (Wrightson, Product Categories, 2019).
In this report an analysis will be done over the expansion of the business of the company
from its domestic market to a new country Mexico. The focus will be given over the
appropriate leadership style, which is required to success of expansion of business. The
analysis will also be done over the essential characteristics required for managing the human
resources in the new country. Co-ordination, communication, channelization and execution of
various strategies will also be scrutinised in this report.
Analysis over the required global strategies for expansion:
Present scenario of Mexican market:
Mexican market is also one of the leading markets in the field of agriculture. Here the
farmers grow a large amount of crops of Corn, Wheat, Sugarcane, Tomatoes, Bananas,
Oranges and tropical fruits and many vegetables. They up bring pigs, small dogs and
chickens for meat. Mexico is not independent in fulfilling the need of meat and fish for the
people of the country. It imports the rest of the need of meat and fish majorly from USA
(export.gov, 2019). It represents that there is a scope of new company development in
Mexico related to agricultural and animal’s products. Despite a huge capacity of producing
agricultural products, Mexico is the seventh largest food importer throughout the world
(importers, 2018). It majorly imports a large volume of grain including wheat, corn and Soya

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from United States. The above stated data represents that there is a huge scope for opening a
new business sector in the host country, related to agricultural products (importers, 2018).
Required leadership style and strategies:
According to the analysis of the market of Mexico, the transformational leadership style
would be well-suitable for the PGG Wrightson in order to expand their business in the
Mexico. Transformational leadership refers to a theory in which a leader works with his
team members in order to find the necessary steps required for the changes in organisation.
This theory especially focuses over the characteristics required in a leader with respect to
organisational change or expansion (Global, 2019). In this style of leadership, leader creates a
vision to develop the required changes and execute the changes with proper strategies
(Debmalya Mukherjee, 2018).
According to the case, the leaders of PGG Wrightson have developed a vision to expand
their business in Mexico. The leaders have to develop and create a global mind-set in order to
construct an appropriate plan to open the new branch of the company in Mexico (export.gov,
2019). First of all they have to identify a need of agricultural products in the Mexico’s market
(importers, 2018). Then the leaders have to recruit complete human resources department
members from the host country in order to proper execution of their plan (Wrightson, Product
Categories, 2019).
Selection and training of the staff member in the host country:
The selection of the staff members should be based up on the essential knowledge related to
the domestic field and culture of the host country. In the field of agriculture sector, the
knowledge of farming related to different crops is necessary (Wrightson, Product Categories,
2019).
For example: In the hiring of the employee in farming sectors, the workers should have the
knowledge and experience about the procedure of cultivating the crops and other basic
requirements for the crop like timing of inserting seeds, irrigation requirements, diseases
related to the crop, climate conditions and cutting the crops.
Training of the staff related to agricultural products
As discussed earlier, Mexico is lacking behind in generating wheat and other crops. The hired
staff should be trained by the HR mangers of New Zealand Company regarding the

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production of certain crops (GF Watson IV, 2018). Use of special fertilizers, insecticides and
fungicides should be explained to the new staff in order to use them wherever required for
improving the yields from the farm (Wrightson, Fruitfed Supplies, 2019).
The staffs need to be well trained about the latest technique in producing fine quality of crop.
Cheaper finance availability for the farmers of the host country will also prove beneficial for
the success of the expansion of business (C. Scott Rigby, 2018). Moreover, insurance of the
crops would be good method to secure the farmers in case of any miss happening related to
crops. The newly hired staff members of the host company will receive a proper training for a
good understanding of availability of finance and insurance facilities given to farmers and
workers of the field in order to receive a high yield from crops.
For example: The cultivation procedure of the crop wheat should communicate to the
employee of host country. The geographical factors and climate should be analysed at this
stage. Use of pesticides, insecticides and fungicides should be communicated to employee
with respect to the various growth stages of the crop. In the end technique of receiving the
seeds of wheat and storing techniques should be communicated in training session.
Training of the staff related to animal husbandry
According to the research over the Mexican market, Mexico is lacking behind in producing
meat especially fish, beef and pork. The training should be provided by HR manager to the
newly hired staff in order to rearing and breeding of animals like pigs, chickens, cow, goats
and other animals for getting them a large amount of products like wool, milk, meat, eggs and
many other products (Pinxterhuis, et al., 2019).
For example: A training session should be given on the various techniques of rearing and
breeding of sheep for getting a better yield of wool and milk from them in the weather of
Mexico. The necessary characteristics in rearing like feeding the sheep with grass or
maintaining their health by making control over diseases should be analysed. The milk
receiving techniques should be communicated to employee with respect to time. Procedure of
receiving wool is also communicated to the employee of host Company for increasing the
production.
Training required for the managers of both the countries

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The managers and other staff members need a special training for understanding the cultural
differences of both the countries. It consists of the understanding of languages, geographical
knowledge, likes and dislikes preferences and opinion of the consumers of both the countries.
With the help of understanding of the specialities of culture of both the countries, the HR
manager of home country will be able to provide an efficient training to the staff members of
the host country (C Kowalkowski, 2015). Development of a global mind-set is highly
required for the managers and staff members in proper execution of the various strategies of
expansion of business.
The understanding of the culture of both the countries will helps the mangers in developing
the agricultural and animals related products. A brief knowledge about the product line of the
home country should be explained to the staff members of host countries in order to meet the
requirements of the business of the host country (Sardana, 2015).
Development of global mind-set in the staff members
Development of the global mind-set is highly essential in this case. The HR manager has to
ensure about reducing the gap of cultural differences in both the countries by providing
sufficient knowledge of the culture of both the countries. Cultural understanding will not only
help in recognising the actual need of the consumers of the host market but also it leads
towards the financial success to the organisation by increasing number of sales (A Verbeke,
2016).
Communication Plan
A well-developed communication plan will make the HR manager, ensure about the
accomplishment of goals of business expansion. It helps the employee in understanding their
job responsibilities and performance measuring criteria.
The following steps are involved in communication plan:
Step (1): List the essentials of communication: First of all, HR manager of the home
country need to list down the all essentials parts of strategies which need to be communicated
to all the staff members of home and host country. The major objective of the company
regarding its expansion in host country should be clearly conveyed to the leaders and staff
members of both the countries (S Kelly, 2019).

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The technique, machinery, plants and equipment related to the manufacturing of fertilizers,
pesticides and fungicides has to be communicated in detail especially to the staff of the host
country. Techniques and procedure related to rearing of animals also need to be
communicated to the staff members involving leaders of the host country so that they will
have a proper understanding of the new business expansion strategies.
Step (2): Selection of channel of communication: At this stage, the proper channel is
selected for the effective communication. In this case, first time the communication of the
strategies and plans should be face to face. After that all the essential characteristics of
expansion strategies should be convey in written form on emails to each and every employee
who is involved in the strategies of expansion of business.
Step (3): Maintain the frequency of communication after a regular time period:
The communication of important steps of expansion strategies should be communicated to
employee after a regular time period. The proper execution of the strategy is very much
depends over the effective communication of necessary steps on time. In this case, the
communication should be done after every fifteen days to guide the employee of both the
countries related to production of agricultural and animal’s product (John R. Turner, 2019).
Step (4): Review of the communication plan:
Necessary amendments in the communication plans need to be done by reviewing the
effectiveness of communication. Sometime, changes and modification are required in the
communication plan in order to enhance the effectiveness of communication. Changes in the
strategies of expansion also need to be modified in communication plan with respect to time
(S Kelly, 2019).
Analysis of the success of the strategies
There are huge chances of the success of expanding the business of PGG Wrightson to
Mexico. The host country is also need such type of business related to their agricultural sector
by which they will be able to cope up the need of farm products and the products generated
by animals (Kelly Rijswijk, 2019). If the home country would be able to implement and
communicate all necessary steps in hiring new employee for different departments of new
branch, no doubt the company will be able to achieve success in its new branch.

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This new strategy will not only help the home country in developing and widening its
business but also leads towards the independence of the host country in agricultural and
animal husbandry sector.
Although the overall success of the new marketing strategy is depends up on the efficient
implementation of different steps of strategy including hiring of new staff members and
trained them in order to achieve organisational goals (X He, 2018).
Conclusion
On the bases of the above analysis, it can be said that there is a huge scope in the Mexican
market for agricultural and animal’s product. Transformational leadership style is the best
suitable style for the leaders of the home country in order to achieve success in the
implementation of new branch in Mexican market. Hiring of the new staff in host countries is
the most crucial step of execution of the expansion of the business. A brief analysis has been
done over proper training and development for the new employee in understanding the global
scenario of both the countries and their markets. The implementation of a well-developed
communication plan is required for the overall success of the expansion of business. It can be
concluded that if the strategies will be implemented with sufficient steps, the organisational
expansion will be successful.
Recommendations:
(1) The HR manager of PGG Wrightson should hire the employee for the branch of host
country after ensuring their basic knowledge, education status and experience in the
field of agriculture and animal husbandry.
(2) After the selection of employee, training and development programs should be
provided to the new staff in order to ensure about the targets and plans of the
company. For example: Training should be provided on rearing and breeding of cows,
goats and fishes in order to produce meat and dairy products through them.
(3) The company should be focused not only on getting financial success in this project
but also it is looking forward to the successful implementation of its new branch in
the host country.
(4) The HR manger should develop a well communication plan in order to effectively
communicate the various stages of the strategies with respect to time. For example:

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The use of pesticides on the crops should be based upon the nature and weather in
which the crop is cultivated.
(5) In the end, a review should be analysed by the HR manager and other managerial
authorities of the PGG Wrightson in order to ensure about the overall success of
opening of new branch of business.
(6) Necessary amendments and modifications should be done with respect to time in the
strategies for maximizing the yield from the crops and maximising the production
from animals.
(7) The managers of the company strictly suggested for developing a global mind-set in
order to cope up with the various challenges occurs in the path of success of the
expansion of the business (GF Watson IV, 2018).

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References
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