Total Solution for Customers Cars - Assignment Example

My business plan involved providing total solutions for customers’ cars where the areas of concern would include styling, utility and security. The location of the business would be in Saudi Arabia. The reason behind the choice of location is availability of liquid cash and lack of sufficient number of such services. The targeted customers would include industries and private car owners. The need for these services in the region follow the advancement in infrastructure and the presence of unique identity and sense of becoming more updated with the current trends. My production will be local but sales would be international. Advantages Advantages of this business would be on a two way basis. There will be mutual benefits on availability of opposite and concurrent needs. Typically there is demand for the products in the region as supply of the same can be made from my current location. The case scenario here would be taping of economic resources in exchange of material products (Abbas 2009). The company would deliver to its best so as to ensure customer satisfaction and counter competitors hence favorable competition in the markets. On the other hand, creation of employment on a two way would be put into consideration. The organization would be concerned with producing at home hence employing locals. During sales overseas, the organization will have to employ the country's nationals. The end result is creation of employment on both sides with the aim of having benefits reaped from either side. The connection would also ensure a learning mechanism based on diversity in technology through introduction of new technological appliances in the markets. The other benefit to my organization will be making profits on currently available appliances which are not widespread. Disadvantages One of the disadvantages in the business setup is language barrier. In business, communicated is perceived to be pivotal in the smooth operation of daily activities. In order to assemble all things set to work, the locals and planners have to come to terms. Customer interaction may be a problem when need arises for communication with the top management. However, translations would be available but this does not deliver the much that a one on one conversation would have done. Cultural diversity may not facilitate some appliances. An example of this is the fact that women do not drive in Saudi Arabia. Hence my appliances targeted to women customers would be limited (World Bank 2010). Foreign policy on economic issues is an issue worth considering. It would come as a disadvantage since maximum benefits would not be realized owing to the fact that some percentage of the profits has to remain in the form of tax. The profits gained could have been ploughed back so as to expand the business father but this may not go to the maximum potential as taxations and foreign policies suppresses it. Claims of ploughing back the net profit faces the challenge of over taxation since the higher the profits the higher the taxes for non citizen investors in the country. Strategies The long term plans of the organization would involve maintaining advertisement trends relevant to the point of concern so as to enable favorable competence. The other long term plan would be expansion of the market coverage from the capital city to other urban centers. A more reliable plan will be to ensure that the culture of having other car appliances is developed to all car users. Considering the levels of embracing car appliances currently, it may not be possible to improve sales in the future without changing culture. This would be done through advertisements and offers on high quality car appliances. Recommendations Steps that would be taken in starting up the business in Saudi Arabia would be ascertaining that my national identification documents are in good order so as to identify myself to the authorities whenever there is need. This is also to make prove that one is not underage and therefore all the finances will be kept under care. There will be a way of holding one responsible in case of any legal proceedings. The other key thing in the strategy is coming up with the name of the company. This means that diverse issues must be considered. Culture, and ease in pronunciation together with mastery form the key to coming up with the best name. Any meaning referred to by the name of the business must be positive in order to provide an excellent picture of the business. Naming may be directory in manner that it describes what the organization does and what it deals in. Finding a postal address including a physical address for the company would be inevitable. Under this plan, the fact that customers would want to be directed to the location of the business must be considered. Identity with a place may be best for maintaining customers. The other benefit of this plan is to do away with imposters who may want to mislead other customers of the location of the business. The ministry in charge of commerce would be the next target so as to get a printout of citizenship providing that one is not a government employee (O'kane 2010). A letter would be provided so as to allow for free interaction in the line of job. After all the legal documents have been acquired, the company will be registered. Registration is not through until another registration is made with the chamber of commerce. From this point the business will be set to commence as per the plan outlined at the prior stages. The other recommendations include knowledge of the taste and preference of the customers in the region. Climate may me extreme depending on the regions of business setup. Currency difference must be considered since this will be an international trade. Etiquette must be observed in order to ensure success of the business. Women and ethical issues according to tradition in Saudi must be put into consideration. Doyle (2008) wrote that, acute penalties are always levied on drug possession including alcoholic drinks. Weekends in the region fall between Thursday and Friday. Communication modes are available but it is worth noting that mail processes are slow. Proper advertising and must be done since this has been on the rise in the recent past. Labor and work force consists of foreigners while the government is making efforts to ensure that nationals get first priority in job positions. From the discussion, it is worthy to note that exportation of products must be mutually beneficial. Any case where this lacks may not be highly appreciated by the less benefiting party. In order to be successful, a proper identification of an opportunity must be made. All machinery and necessary knowledge must be set. This calls for proper strategy before execution. Reference O'kane, M 2010, Doing Business in Saudi Arabia, Michael OKane, Dublin. World Bank 2009, Doing Business 2010: Comparing Regulation in 183 Economies, World Bank Publications Washington DC. Abbas, A 2009, Business and Management Environment in Saudi Arabia: Challenges and Opportunities for Multinational Corporation, Taylor & Francis, UK. Nick, B 2005, Tiger Brainpower: Taiwan's Intellectual Capital Development Emerald Group Publishing, Bingley. Doyle, P 2008, Value-based Marketing: Marketing Strategies for Corporate Growth and Shareholder Value, John Wiley & Sons, New Jersey. Read More