Question

Semester Project You are required to decide on a Bangladeshi company and imagine that you are its Manager. You want to expand your business globally and have the liberty to choose any company you wish to work with as long as it has potential for global expansion 1. Give a brief description about the company, its products and local operations. 2. Demonstrate the need for you to expand your business globally, 3. Demonstrate the benefits of global expansion 4. Demonstrate the risks associated with global expansion 5. Which country/countries do you want to expand to? Justify your choice. 6. What will be your entry mode? Justify your choice. 7. Show the significance of International Trade Theories in your business decisions (use at least two models)

This topic is related to international business. can anyone tell me what does global expansion exactly mean? if I choose a local airline company in my country and do a report on how they can expand globally by introducing more international flights, can it be considered as business expansion?

Answer 1

Global expansion is the planned expansion of a company’s business activities into countries in several regions across the globe. In other words global expansion happens when a company makes investments in markets in other nations and maintains an actual business presence in those markets. For example Toyota started as a Japanese automobile manufacturer whose business and operations were confined to Japan. Slowly and gradually the company made investments and established business presence in other markets in North America, Europe, and other parts of the world. This is a case of global expansion.

If you select a local airline company then its action of introducing more international flights will certainly be regarded as global expansion and business expansion. This is because introduction of international flights will require the local airline to make investments and establish a proper business presence in the new international destinations. For instance if the local airline is starting new flight with Sydney as a destination then it will have to make investments in Sydney for infrastructure purpose, for buying airport rights etc. It will also have to make a prominent business presence in Sydney by opening an office there, hiring new employees for the office as well as possibly hiring new pilots and cabin crew members.