DECEMBER 2010


You are required to focus on a specific Transnational Corporation (TNC). The organisation could
be selected from those comprising the latest ‘Fortune 500’, ‘Business Week Global 1000’. Note
that the choice of a specific organisation should be discussed with your lecturer.
You will need to conduct a detailed research assessment of the chosen organisation with respect
to its international activities in order to understand the international decisions and strategies
specific to that organisation.
The project will outline all of the firm's international activities but should focus upon a single key
geographical market or region. For example, you could look at:
      Coca-Cola, development of the market in Africa
      Danone, the French food and drinks firm, and its activities in China
      L'Oreal, the French cosmetics company and its entry to Thailand
      McDonalds, and its entry to the Indian market
      Nokia, and its activities in China
      Siemens, the German electrical engineering and electronics company, and its operations
          in Brazil
      United Parcel Services of USA and its entry to the Chinese market

Before starting your assignment, you should ensure that the company you are researching will
provide you with information you need.
The project will comprise a report which addresses the following:

An introduction: background to the organisation’s development to internationalisation:
a)      A brief history of the organisation, its economic sector of operations, its products/services
        offered, an analysis of its financial activities (at least five years’ worth of data needed),
        and the nature of the industry it operates within (a brief profile of its competitors).
b)      An analysis of the choice of foreign markets (both domestic and international).
c)      An understanding of the various environments in which the organisation operates.

International Expansion Strategies of the organisation:
A detailed review of the organisation's activities in the chosen foreign environment covering the
following macro and micro areas of consideration:

1.      Macro Environment Issues
        Political environment
        Economic environment
        Socio-cultural environment
        Technological environment

                                                                                   continued overleaf
2.      Micro Environment Issues
        Competitive intensity
        Marketing infrastructure
        Customer characteristics

3.      Company Issues
        a) Competitive strategies
        b) Diversification
        c) Standardisation vs. adaptation
        d) Organisational structure
        e) Motivations for market entry
        f) Modes of market entry
        g) Performance (financial, market share penetration, etc.)
        h) Short-, medium- and long-term strategies employed

4.      Marketing Mix Strategies (The Four P's) utilised by the organisation in the chosen
        foreign environment (compared and contrasted to how they do business in the rest
        of the world – standardization vs. adaptation):
        a) Pricing (price/cost)
        b) Distribution (place/channels)
        c) Product management (product/competition)
        d) Marketing communications (promotion/customer)

Conclusions: A clear and concise set of logical arguments based on your critical analysis of the

Recommendations: In accordance with the issues raised in the conclusions section, a
detailed list of all points of concern that need to be addressed to improve the organisations' own
competitive position in the chosen foreign market. Moreover, all recommendations should take
into account both the organisations' nature as well as the foreign environment of operation.

Plan-of-Action: A comprehensive list of concerns that need to be addressed for the effective
implementation of each and every recommendation offered.

NB. You may work in groups to conduct your research, but each student must provide an
individual report.

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