PSL Country Analysis Report: Strategies for International Expansion

This report provides a country analysis for PSL, a pharmaceutical manufacturing company, focusing on the factors essential for successful internationalization. It examines political, legal, and economic factors like corruption, healthcare regulations, exchange rates, and economic growth rates, emphasizing their impact on PSL's long-term profits and market entry decisions. The report includes an analysis of inflation and GDP in China, Japan, and Thailand, highlighting their influence on business operations and investment. It also addresses potential risks such as employee training, technological advancements, and customer buying behavior, and suggests strategies for risk assessment and mitigation. The importance of maintaining product quality, adapting to new technologies, and analyzing pricing strategies is underscored. The report also considers the impact of corporate debt, generic competition, and regulatory changes. Overall, the analysis aims to guide PSL in making informed decisions for sustainable growth in international markets.

Running head: COUNTRY ANALYSIS OF PSL
COUNTRY ANALYSIS OF PSL
Name of the Student
Name of the University
Author note

1COUNTRY ANALYSIS OF PSL
Country analysis:
1.) Before making any investment overseas it is very important that PSL pays attention to
certain factors as they play a significant role for the organization to operate. The
political factors that are responsible for deciding the long term profits of PSL in a
certain market includes the level of corruption the area has and the level of regulation
of health care equipment. The legal framework that is responsible for the enforcement
of the contract is also very necessary.
The economic factors responsible for the same, includes the rate of exchange and
stability or the availability and need of raising capital in the market that is local. It is
important that more factors such as growth rate of the economy, rate of growth of the
economy should be accounted as it helps in determining the demand and the investment
made in the market. When an organization enters a market it is essential that it has the
detailed information of what is done and what to be done in the future. The culture of the
society has a great impact on the organization and it is important that the demographics
are taken into consideration.
2.)
Graph 1: inflation rate of China

2COUNTRY ANALYSIS OF PSL
Graph 2: Inflation rate of Japan
Graph 3: inflation rate of Thailand
When inflation hits many things come under it which includes effects on the distribution
of income and wealth of the country. It creates an uneven distribution of wealth and has a
huge effect on the business and the production of the organization as well (Sarel 1996).
Similarly, GDP of the countries have a major role to play in the business operating for a
specific period of time. The economic growth of the country is considered along with the
production in the economy and others (Rahaman and Chakraborty 2015). If GDP is more
employment will be more and people will be keen in purchasing the goods and services

3COUNTRY ANALYSIS OF PSL
from the departments. Accordingly, firms will also have a confidence in them and
produce more and this will help in laying a base for the economy of any country.
3.) There are certain risks that the organization may face in the coming years in the
market. New strategies must be made to improve the organization in making choices
and decision for the future aspects.
The organization being new may need to spend a lot on training and development of
the employees when compared to other industries present. Investments in new
technologies must be made to sustain the pressure from the market and the competitors.
The core competence of the organization must be kept strong and different from the other
competitors and they should have a strong command over it. Customer buying behavior
must be analyzed and made open for the Australian market. When the company is
planning to operate in several countries it must be kept in mind that current fluctuations in
the currency of that particular country can change therefore the political climates and the
economic factor of that country must be considered. Quality of the product must be
maintained as this is the only reason as to why people will chose this company and not
others. More money must be spent on adopting the new technologies prevailing in the
market.
4.) Risk assessment is done to evaluate the potential risk that may be associated while
operating any business. It also helps in mitigating the risk associated in any business.
The identification of risk is very important and the implementation of action plan is
also essential (Torabi, Giahi and Sahebjamnia 2016). It is observed that there has been
trends in this particular sector that is contrasting across several regions.

4COUNTRY ANALYSIS OF PSL
The pricing strategy developed and implemented by the organization is very
important to recognize as there has been continuous problems in the pricing of the
pharmaceuticals (Dasgupta, S. and Titman, S., 1998). Besides, there are new and rare
therapies coming to the market that is contributing to the inflation of the country. The
total revenue generated by the company may be checked and a track must be kept
which would help in the valuation of the company in near future. The regulations
made by different countries must also be kept in mind and then accordingly action
plans must be made that may help the organization in getting stabilized and
established in the market for a long period of time. The corporate debt is increasing
more as the generic competition and the development of the new strategies and
therapies are leading the organizations to join the force so that the offerings made can
be revamped.

5COUNTRY ANALYSIS OF PSL
REFERENCES
Dasgupta, S. and Titman, S., 1998. Pricing strategy and financial policy. The Review of
Financial Studies, 11(4), pp.705-737.
Sarel, M., 1996. Nonlinear effects of inflation on economic growth. Staff Papers, 43(1),
pp.199-215.
Rahaman, A. and Chakraborty, S., 2015. Effects of foreign direct investment on GDP:
Empirical evidence from developing country. Advances in Economics and Business, 3(12),
pp.587-592.
Torabi, S.A., Giahi, R. and Sahebjamnia, N., 2016. An enhanced risk assessment framework
for business continuity management systems. Safety science, 89, pp.201-218.