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International Business - Assignment Example

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The development of business on the global front is dependent on various factors. These factors include the willingness of entities to globalize, international regulations, information technology and the state of the international economy. United Arab Emirates is performing exceptionally well in international business. …
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International Business
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"International Business"

Download file to see previous pages Wal-Mart is the leading entity in retail business globally. It commenced operations in mid-1950s in Arkansas. Later, the entity expanded on a national level then on a global level. The entity seeks to offer the lowest prices in the market. Consequently, the entity attracts enormous clientele. The attractive pricing offered by this entity has priced out the other competitors since the clientele seek to maximise their purchasing power. Wal-Mart’s enormous revenues and stringent cost management have allowed the entity to avail their merchandise at reduced prices. The entity has presence in most regions globally. Nonetheless, the entity has not taped into the Middle East market. The entry of Wal-Mart into this market will alter the dynamics of the retail sector. Wal-Mart’s entry into the UAE market will require proper strategizing. Such strategizing is imperative for a venture of this magnitude. Ill-advised ventures primarily culminate in failure and losses. It is crucial to make decisions pertaining to ventures on credible information to avoid such a scenario. My knowledge on the dynamics of the UAE economy will assist me in advising Wal-Mart management appropriately. Additionally, the location of retail store will have a considerable implication on the revenues of the entity.rt. Consequently, I will provide the management of Wal-Mart with strategic locations that will enable the entity attract enormous clientele. The above details elaborate some of my roles in the matching and networking of Wal-Mart. Objective of joint venture or strategic alliance Joint ventures denote a business founded on an accord between various individuals. The accord elaborates the input of each party in the venture (Gutterman, 2002). The accord elaborates how long the agreement binds the parties. In this scenario, Wal-Mart will require information on the market and store. As a party in the joint venture, I will provide stores located strategically across UAE. A strategic alliance is cooperation that aims at accomplishing specific objectives. An example of a strategic alliance is the North Atlantic Treaty Organization (NATO) where the parties involved aimed at securing their nations against military adversaries. In the above case, Wal-Mart aims to boost its revenues via expansion into new market. Similarly, I aim at boosting my income by renting my store to a client that will offer better returns (Frank, 2006). Scope of business This joint venture relates to the retail industry. The prospects of the industry are enormous. The UAE population has generally high income. Consequently, the citizenry have substantial income that they can expend. Conclusively, the market in this nation has immense potential that is unexploited. Additionally, UAE’s retail market lacks a dominant entity. As such, the market is distributed equally among the key players in the sector. This signifies that Wal-Mart can enter the market and attain dominance. Wal-Mart can dominate retailing since it offers lower prices. Reduced pricing is an aspect of the firm that ...Download file to see next pagesRead More
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