PAPER 5.docx - XYZ Company Global Expansion Report XYZ...

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XYZ Company Global Expansion Report XYZ Company Global Expansion Report: Thailand, China, and India Northcentral University
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Global Expansion Proposal Report distributed January 10, 2016 Prepared for XYZ Company Expansion 2
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Abstract Corporate goals such as increasing sales, gaining profitability, and producing further advertisement of a company may be fulfilled by globalizing the company. Opening new stores which sell company products as well as factories which produce such products would achieve the aspirations of the company. Expanding a company internationally would allow for a maximum level of success. Companies such as XYZ which produce mainly clothing textiles would be most advantageous in its development in countries such as China, Thailand and India which have higher rates of clothing textile export as compared to other countries. However, issues such as product liability, barriers of entry, international law and e-commerce are all factors in the company’s decision making process while deciding which country would be the most fit for expansion of XYZ Company. China, due to its highest rate of clothing textile exports and least barriers of entry will be the prime country in which to begin the expansion of XYZ Company. Expansion 3
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Introduction All companies strive to increase profitability as their main goal. An increase in profit can be obtained by several factors such as improvements in product manufacturing, marketing, advertising, purchasing methods and expansion within companies. While this remains a constant goal of XYZ Company in which our staff strives for, areas such as product liability and e-commerce are in need of vast improvement. In addition, since XYZ is a smaller company, it has been proposed that global expansion of the company will maximize the company’s success in relation to these goals. Launching XYZ Company international will be a work in progress. Issues such as international laws and barriers of entry will be a challenge in which the company will have to overcome in its efforts to expand overseas. The company’s expansion project will be placing focus in three areas: China, Thailand, and India. These three countries have a high export rate of clothing textiles which leads our company to believe expansion in these areas will allow it to be the most successful. XYZ, a small clothing company based in the United States, will plan to begin its expansion in China due to its highest export rate and lowest entry barriers. If successful, XYZ plans to continue its expansion project to include Thailand and India which also have high rates of export and low entry barriers. To be successful, barriers to entry need to be eliminated, international laws abided by, e-commerce maximized, and product liability improved.
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