The Creation of an International Business

The Creation of an International Business This project is an individual paper on the creation of international business.

The Creation of an International Business
The Creation of an International Business

You should pick your own product and countries and the more relevant the concepts that you relate to the creation and operation of your business, the higher your grade. For example, assume that your company is a U.S. company acquiring blue jeans from a low-cost area (possibly China, Mexico or Panama) and wishing to sell them in Europe (possibly U.K., France, or Germany). What is your plan and activity sequence? The plan must include:

  • A strategy, how are you going to be competitive? (e.g., lower cost, differentiation)
  • A market program that includes target market, value proposition and what countries you are going to choose? Why? Criteria, etc.
  • A supply chain for goods, how does the company get physical products from the supplier to the customers?
  • A financial trail, how will the company pay for the goods (which currency), minimize financial exposure (options, forward contracts, inflation, etc.) and get profits back to the U.S. for shareholders (currency conversion)?
  • An information trail associated with the goods; when does the company need to do what, payments, milestones, etc.?

You are free to use real data from customs and trade databases, but that is not the main point of the exercise. Rather you must go through the thought process of doing international business and identify what problems you will encounter and what tools you may use to overcome them. You can make up some facts and numbers along the way to make your business sound real. A flow chart and/or pictures are also helpful.

The paper is to be typed, approximately 10 pages in length, and include the five sections enumerated in the above bullet points.

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