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            Expansion of a business to a new market entails making an evaluation of the social and economic environment in the market and developing appropriate entry strategies. In this regard, Condoliza Cosmetics Company needed to expand into the UK market. Preliminary assessment revealed significant factors that posed a challenge to the expansion. The specific areas of concern in developing the expansion strategies were the basic, social, and economic environments. However, the team was able to address these issues and develop an entry strategy. The leadership of a team is important in enabling it succeed in its activities, especially due to its ability to mobilize all members to focus their energies in the overall success of the set goals and objectives. This report evaluates the strategies made by the team and identifies specific achievements and drawbacks of each of them. Although major challenges involve the investments needed to repatriate employees and establish a market, innovativeness, taking advantage of the political and economic advantages, and developing liaises with local industry players will ensure success in the expansion.
Addressing the Basic Environment Issues
Significant factors that were related to the basic environment arose in the evaluations. Specifically, three were identified namely: development, the spread of knowledge and innovation, and seeking and cultivating talents. It was necessary to obtain the right skills for the company and considering the intercultural differences, major challenges emerged in relation to adapting to the host country’s cultural values, practices, and obligations. Primarily, it was necessary to establish how the company’s workers will be hired. The major challenges were to find ways of evaluating workers in the host country of which the intercultural, arranging on translocation some of the local workforce to the new market, and identifying the specific positions that could be relinquished to the new workforce.
The Implications of the Expansion
The team had to evaluate the benefits of repatriating the local employees with their families to the foreign land determine if it is worth it. It was important to evaluate the skills of those who would go into the new market, and determine their value in the new market. Additionally, the remuneration that the group would require in the new market were evaluated. Specifically, the economic conditions of the new market were a determining factor and the cost of living in the UK was compared with the local to determine the differential factors that need to be factored in the costing. The cost of repatriating employees to new markets exceeds their original salary by more than three times. Also, the changes in costs that may arise from taxation, currency exchange, and cash transfer systems were evaluated to help in developing the most appropriate strategies for transfer. Other costs that may be incurred are those associated with assisting the workers to move, obtaining and maintaining places of residence, healthcare, maintaining of cars, emergency supplies, counseling, language training, family transport, and cultural guidance. These factors are likely to be influenced by cultural issues, therefore, the specific culture and practices that relate to each issue were studied.
The Cultural Implications
Cultural factors such as societal values, practices, and traditions were significant issues of consideration. Usually, every society has particular values and unwritten societal laws that dictate how they conduct their business. Particular culture associated with the UK market include adherence to formality and bureaucracy. Therefore, the organization is expected to adhere to the high level of formality in the UK including ensuring that procedures are well adhered to and the correct protocol followed at all times to deal with issues. In addition, places of work are expected to observe the particular mode of operation, code of dressing, and employee behavior. Understanding the cultural values in the UK would be helpful in interacting with the local people, developing marketing and operational strategies, and developing appropriate products that would suit the local market.
Economic factors were also considered and they included identifying the economic system in the UK as well as economic factors that may impact the business. Primarily, the UK is a capitalist economy and wealth is vested in individuals. The economy encourages fair competition and the right to own wealth. Importantly, the economic system dictates how the business will be conducted, as well as how the human resource will be managed. In a capitalist economic system, policies tend to protect efficiency rather than job stability. Therefore, the performance of the worker is valued more than job stability.
Addressing the Economic Environment factors
The economic environment has a significant impact on international expansion. Precisely, income levels, ethical policy, the foreign market, the exchange rates and economic policy are all affected by it. Actually, the expansion program, in this case, involves entering the new market in the UK. A high demand in the market indicates that the market is willing to spend to acquire our products. Considering that the UK is a developed country, the demand for our products is expected to be high. However, the specific taste and preference of the UK market are the major matter of concern. What specific products does the UK market want? Are there specific modifications needed in the products to make them suitable for the UK market? The major questions will be addressed through a survey to reveal the specific preferences of the market.
The Competition Factor
Competitors are significant in any market and they could determine the success of a new business. Specifically, the UK market has established personal care companies. According to a 2014 report, the UK personal care revenue increased to 10.645 billion pounds; an improvement of 2.5 percent compared to 3.5 percentage in 2013, which represents a 1 percent link ratio reduction. Therefore, the present producers in the UK have a significant hold on the market. The United Kingdom has numerous cosmetics companies, but the most popular are Lush, The Body Shop, Procter and Gamble, and Gillette. Penetrating the market would involve developing products that are similar to those in the market and offering them at discounted prices. Notably, we offer products that are new to the market and that provide an additional choice to the consumers. Therefore, the market is likely to respond positively to our products and try them out.
Addressing the Social Environment Factors
Research reveals that the UK market is likely not to accept new products that have local competition. Fortunately, the UK social culture is not possessive, and they conduct business based on merit rather than on patriotism. Therefore, they are likely to respond to products that have to provide new levels of utility that is not available in the local market. As a new entrant in the market, we will introduce new products such as the foundation cosmetics for the Asian community, which is likely to found a local following. Precisely, the UK market has a high percentage of the Asian community that is not adequately supplied by the local businesses. This segment of the market presents a good opportunity for our company.
The use of science and technology is our main competitive strategy as we enter the UK market. Precisely, our products present a theme that is in tandem with the current trend. Today the world is concerned about the high rate of environmental degradation and products that are ‘green’ are likely to be consumed by the public. Fortunately, we have embraced the ‘going green’ theme and our products have been made from natural products that have a lesser effect on the environment.
Environmental conservation is a growing need all over the world. The most challenging matter to the developing nations is to control their carbon emissions. Therefore, our products that have a positive impact on the environment are likely to penetrate the UK market. Precisely, the use of our products will help the government to meet its greenhouse emissions target. In this regard, we are likely to gain support from the UK authorities in matters concerning expansion and establishment in the market. Because of the benefit that we are bringing to the UK market, we are in a position to negotiate for better business terms such as low taxes, and financial assistance to fund our expansion program.
Political/legal Factor
The conservative party rule that is presently in power provides a favorable political environment for the new business establishment. Actually, the political administration provides a free market and an opportunity for foreign investors in the country. The introduction of our innovative and environmentally friendly products would have a positive response from the political class. We plan to diversify and open a male cosmetics production, which is gaining popularity in the UK. Notably, the developed fashion industry in London would be a boost to our marketing efforts because we have an opportunity to liaise with fashion companies to create a brand and an impact in the local market (Wunker 7).
Conclusion and Evaluation of Strategy
Condoliza Company is an international cosmetic retailer and manufacturer. The company’s strategy to enter the UK market is based on taking advantage of the free market in the UK and introducing products that are innovative and that add value to life. Specifically, the products are made from natural raw materials and are environmentally friendly.  In addition, we plan to introduce a new line of production for men that includes male cosmetic products. Considering the advancement of the fashion industry in London, the company has an opportunity to liaise with the fashion industry players to create a brand and cause an impact in the London market. Importantly, the team has been able to evaluate the various factors that are significant in the expansion including the social, and economical environmental factors. Positively, the social and cultural factors in the UK market are supportive because the UK is a free market and its current political administration encourages foreign investors.
Expanding into the UK market has significant financial implications as a result of repatriating employees into the UK together with their families. While there are heavy financial expenses in the exercise, it still is the most appropriate to ensure that the company’s values and standards are adhered to. Precisely the employees would occupy the key positions of the company that are necessary for continuity. Recruitment of the local UK employees would be conducted where cultural and ethical factors will be addressed to accommodate the differences in culture. Therefore, all the foreseeable problems in relation to the expansion are adequately addressed in the expansion plan. While success is expected, the company is prepared to identify and address new challenges that may arise in the process of expansion.
 
 
Works Cited
Wunker, Stephen. How to Capture a New Market. Change This, 2011. Web. 10 Mar. 2017. No.
86.06.
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Team Performance in Addressing the Expansion Challenges
            Expansion of a business to a new market entails making an evaluation of the social and economic environment in the market and developing appropriate entry strategies. In this regard, Condoliza Cosmetics Company needed to expand into the UK market. Preliminary assessment revealed significant factors that posed a challenge to the expansion. The specific areas of concern in developing the expansion strategies were the basic, social, and economic environments. However, the team was able to address these issues and develop an entry strategy. The leadership of a team is important in enabling it succeed in its activities, especially due to its ability to mobilize all members to focus their energies in the overall success of the set goals and objectives. This report evaluates the strategies made by the team and identifies specific achievements and drawbacks of each of them. Although major challenges involve the investments needed to repatriate employees and establish a market, innovativeness, taking advantage of the political and economic advantages, and developing liaises with local industry players will ensure success in the expansion.
Addressing the Basic Environment Issues
Significant factors that were related to the basic environment arose in the evaluations. Specifically, three were identified namely: development, the spread of knowledge and innovation, and seeking and cultivating talents. It was necessary to obtain the right skills for the company and considering the intercultural differences, major challenges emerged in relation to adapting to the host country’s cultural values, practices, and obligations. Primarily, it was necessary to establish how the company’s workers will be hired. The major challenges were to find ways of evaluating workers in the host country of which the intercultural, arranging on translocation some of the local workforce to the new market, and identifying the specific positions that could be relinquished to the new workforce.
The Implications of the Expansion
The team had to evaluate the benefits of repatriating the local employees with their families to the foreign land determine if it is worth it. It was important to evaluate the skills of those who would go into the new market, and determine their value in the new market. Additionally, the remuneration that the group would require in the new market were evaluated. Specifically, the economic conditions of the new market were a determining factor and the cost of living in the UK was compared with the local to determine the differential factors that need to be factored in the costing. The cost of repatriating employees to new markets exceeds their original salary by more than three times. Also, the changes in costs that may arise from taxation, currency exchange, and cash transfer systems were evaluated to help in developing the most appropriate strategies for transfer. Other costs that may be incurred are those associated with assisting the workers to move, obtaining and maintaining places of residence, healthcare, maintaining of cars, emergency supplies, counseling, language training, family transport, and cultural guidance. These factors are likely to be influenced by cultural issues, therefore, the specific culture and practices that relate to each issue were studied.
The Cultural Implications
Cultural factors such as societal values, practices, and traditions were significant issues of consideration. Usually, every society has particular values and unwritten societal laws that dictate how they conduct their business. Particular culture associated with the UK market include adherence to formality and bureaucracy. Therefore, the organization is expected to adhere to the high level of formality in the UK including ensuring that procedures are well adhered to and the correct protocol followed at all times to deal with issues. In addition, places of work are expected to observe the particular mode of operation, code of dressing, and employee behavior. Understanding the cultural values in the UK would be helpful in interacting with the local people, developing marketing and operational strategies, and developing appropriate products that would suit the local market.
Economic factors were also considered and they included identifying the economic system in the UK as well as economic factors that may impact the business. Primarily, the UK is a capitalist economy and wealth is vested in individuals. The economy encourages fair competition and the right to own wealth. Importantly, the economic system dictates how the business will be conducted, as well as how the human resource will be managed. In a capitalist economic system, policies tend to protect efficiency rather than job stability. Therefore, the performance of the worker is valued more than job stability.
Addressing the Economic Environment factors
The economic environment has a significant impact on international expansion. Precisely, income levels, ethical policy, the foreign market, the exchange rates and economic policy are all affected by it. Actually, the expansion program, in this case, involves entering the new market in the UK. A high demand in the market indicates that the market is willing to spend to acquire our products. Considering that the UK is a developed country, the demand for our products is expected to be high. However, the specific taste and preference of the UK market are the major matter of concern. What specific products does the UK market want? Are there specific modifications needed in the products to make them suitable for the UK market? The major questions will be addressed through a survey to reveal the specific preferences of the market.
The Competition Factor
Competitors are significant in any market and they could determine the success of a new business. Specifically, the UK market has established personal care companies. According to a 2014 report, the UK personal care revenue increased to 10.645 billion pounds; an improvement of 2.5 percent compared to 3.5 percentage in 2013, which represents a 1 percent link ratio reduction. Therefore, the present producers in the UK have a significant hold on the market. The United Kingdom has numerous cosmetics companies, but the most popular are Lush, The Body Shop, Procter and Gamble, and Gillette. Penetrating the market would involve developing products that are similar to those in the market and offering them at discounted prices. Notably, we offer products that are new to the market and that provide an additional choice to the consumers. Therefore, the market is likely to respond positively to our products and try them out.
Addressing the Social Environment Factors
Research reveals that the UK market is likely not to accept new products that have local competition. Fortunately, the UK social culture is not possessive, and they conduct business based on merit rather than on patriotism. Therefore, they are likely to respond to products that have to provide new levels of utility that is not available in the local market. As a new entrant in the market, we will introduce new products such as the foundation cosmetics for the Asian community, which is likely to found a local following. Precisely, the UK market has a high percentage of the Asian community that is not adequately supplied by the local businesses. This segment of the market presents a good opportunity for our company.
The use of science and technology is our main competitive strategy as we enter the UK market. Precisely, our products present a theme that is in tandem with the current trend. Today the world is concerned about the high rate of environmental degradation and products that are ‘green’ are likely to be consumed by the public. Fortunately, we have embraced the ‘going green’ theme and our products have been made from natural products that have a lesser effect on the environment.
Environmental conservation is a growing need all over the world. The most challenging matter to the developing nations is to control their carbon emissions. Therefore, our products that have a positive impact on the environment are likely to penetrate the UK market. Precisely, the use of our products will help the government to meet its greenhouse emissions target. In this regard, we are likely to gain support from the UK authorities in matters concerning expansion and establishment in the market. Because of the benefit that we are bringing to the UK market, we are in a position to negotiate for better business terms such as low taxes, and financial assistance to fund our expansion program.
Political/legal Factor
The conservative party rule that is presently in power provides a favorable political environment for the new business establishment. Actually, the political administration provides a free market and an opportunity for foreign investors in the country. The introduction of our innovative and environmentally friendly products would have a positive response from the political class. We plan to diversify and open a male cosmetics production, which is gaining popularity in the UK. Notably, the developed fashion industry in London would be a boost to our marketing efforts because we have an opportunity to liaise with fashion companies to create a brand and an impact in the local market (Wunker 7).
Conclusion and Evaluation of Strategy
Condoliza Company is an international cosmetic retailer and manufacturer. The company’s strategy to enter the UK market is based on taking advantage of the free market in the UK and introducing products that are innovative and that add value to life. Specifically, the products are made from natural raw materials and are environmentally friendly.  In addition, we plan to introduce a new line of production for men that includes male cosmetic products. Considering the advancement of the fashion industry in London, the company has an opportunity to liaise with the fashion industry players to create a brand and cause an impact in the London market. Importantly, the team has been able to evaluate the various factors that are significant in the expansion including the social, and economical environmental factors. Positively, the social and cultural factors in the UK market are supportive because the UK is a free market and its current political administration encourages foreign investors.
Expanding into the UK market has significant financial implications as a result of repatriating employees into the UK together with their families. While there are heavy financial expenses in the exercise, it still is the most appropriate to ensure that the company’s values and standards are adhered to. Precisely the employees would occupy the key positions of the company that are necessary for continuity. Recruitment of the local UK employees would be conducted where cultural and ethical factors will be addressed to accommodate the differences in culture. Therefore, all the foreseeable problems in relation to the expansion are adequately addressed in the expansion plan. While success is expected, the company is prepared to identify and address new challenges that may arise in the process of expansion.
 
 
Works Cited
Wunker, Stephen. How to Capture a New Market. Change This, 2011. Web. 10 Mar. 2017. No.
86.06.