In this course students examine the business factors that must be considered when moving a business from home to host countries.
They will explore the benefits of a strategic approach whilst reflecting on the need to tailor the entry for the cultural needs of the host nation. Contemporary topics and issues in marketing, finance, human resource management and operations are looked at in detail. The course aims to make students thoroughly familiar with how a business analyses and evaluates the feasibility of expansion into international markets, in order to satisfy business objectives and stakeholder wishes.
Topics to be covered include:
1. Adoption of an entrance model on the AST approach.
2. Consideration of the methods of entry. Intrinsic value of protection of ideas. Decisions on whether to franchise a product or to involve the home company in direct investment in a host country.
3. Giving thought to the TRIAD of developed nation states, and the future power blocks in international trade.
4. Market research into the host nation and its consumer-base.
5. Basic financial analysis prior to making the entry.
6. Analysing the development of a product to trade internationally, with an evaluation of its feasibility in the home and host environment.
7. Examination of the overall objectives with reflection on stakeholder wishes.
8. Choosing between the 4 Ps of international marketing.
9. Looking at financial gains in host countries, whilst reflecting on exchange rate stability and taxation of incomes and wealth. Potential sources and uses of finance.
10. Dealing with people and cultures in terms of human resources management, factory layouts and logistics between home and host nations.
11. Overview of current trends and likely developments in the arena of international business management.
12. Making the final decision to transfer home nation technology to the host nation.
Recommended pre-summer reading
International Business, Rugman & Hodgetts ISBN 9780273673743
Blunders in International Business, Ricks ISBN 9781405134927
International Organizational Behaviour, Francesco & Gold ISBN 9780131008793