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International Business Finance - Essay Example

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International Business Finance University/College Lecturer Date International Business Finance Factors to consider before establishing subsidiaries Competition The company needs to conduct an extensive research of the existing suppliers of similar products within the intended regions…

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International Business Finance

Through competitor analysis, the company can differentiate the products supplied to these new regions, and effectively overcome the impeding competition from existing suppliers (Johnson 2012). Overcoming competition remains fundamental towards ensuring successful entry into international markets. Competitor analysis could assist the company in reaching competitive edge within the international business ventures. The production methods utilised by competitors can provide the company with possible production methods to use within these regions. This will also enable the company to analyse possible production technological advancements that could be introduced, and improve the production. Introduction of new production technology could enhance production and reduce production costs. Economic status The economic status shall include the analysis of the economic systems, within these regions, and institutions. This would provide the company with information regarding the availability of essential natural and human resources within the target regions. The available human resources could enable the company establish the best production methods, sustainable within these regions. The economic status shall enable the company to decide on strategic approaches to take when making market entries into these regions. ...
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