International Business Development Assignment Sample

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Introduction Of International Business Development 

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International business development refers to the process of increasing the business activity on international platform and developing the business expansion of company. It is the process of development of business internationally and creating opportunity in international market. There are various ways to develop the business internationally to create the entry in new market. House of Dorchester are the premium seller of the chocolates producer in UK who are providing the high-quality range of product and services in the chocolate industry. The company get the awards for its quality services and high premium product in market which is providing high customer satisfaction. The report will explain the opportunities and threat for the organization in international market. Also, report will provide the explaination on the expansion of business place and chosen country where the company is looking to expand its market. Further the report will provide information on the advantage and disadvantages of the importing, as well as the advantage and disadvantage of trade barriers and blocs.


Opportunity and Threat for organization in competitive environment


Opportunity refers to the new opportunity for the business market which can help in getting better option in near future:

Lower Cost: House of Dorchester are working in the increase of overall process in industry by expansion of business in foreign market (Suriyanti and, 2020). To work with the new environment and competitive market, the company need to develop a better process of changing in strategy of pricing policies and other policies which can impact the lowering of cost of product. The product needs to be done in bulk so that the pricing can get lower and the company can increase a grip in market through their pricing policies.

Larger Target Market: working in the expansion and developing new market can increase in larger audience which can help in getting a wider target market. It can help in increase of production and profitability in market. Working in new global environment can help the business in developing more profit and shareholder as it can provide a wider audience and people will come to take services and product from organization.

Quicker Expansion: House of Dorchester can increase the expansion in a quick process through working in overseas and developing new market through different methods including expansion stores and product unit in new country. Country welcomes new production organization from different places and it can help the house of Dorchester to increase better performance and business. Expansion in new market will increase their suppliers and buyers in market, this can provide a support to them in development of services and gets better supplier in new market (Sharma and, 2020).

Investment in UK economy: working on the investment within the country and as well as increasing the expansion in new country so that the company can help in with foreign money and

Also provide a better tax and service amount to the economy. It is crucial for the company to work in different places and allowed a support in the country economy. The economy can help the business in better returns as if the country economy rises it help the business organization in better return to their business.


Increased competition: House of Dorchester is working as a chocolatier in the industry of production. They are developing working in chocolates product and are providing the best quality product to their customer from a long period of time. New market provides new competition to the business and it is vital for them to understand new market and the competition in market. This is important for them to understand and analyse so that they can provide a better support while working in market.

Risk of Takeovers: working in the new country or new market there are a lot of hostile takeover in the market (Richins and, 2017). The takeovers work to decrease the market competition through acquiring the small business so that they do not face any competition in market and it can solve all the issues they can face while working in market. It is important for the house of Dorchester to control the issues of the takeovers and work accordingly so that they can increase their goodwill and make bigger market to develop profitability and productivity.

Increased risk of exploitation: there are many organizations working in UK with the support of government which can create a threat to the small business owners as they get to the working with government and make prices of product low which can impact the small business (Rao, 2021). When the prices get low and the small organization does not get any profit from the business the market competition off the higher organization gets decrease and they succeed in evolving market.

Expansion of business in foreign market

The House of Dorchester are working in the expansion of business in Switzerland as the country have the highest number of people who lie to eat the chocolates product in market (Schmid and, 2020).

Porter Diamond Model

Porter’s Diamond model is used by the organization to understand and analyse the market knowledge in competitive environment. It provides the explanation of why one nation is more competitive than the other one. The diamond model has four factors in which the Porter explain the competitive advantages, these four factors are determined as diamond:

Factor Condition: Factor condition refer to the process of different type of resources which different country have their own. It includes the resources like human resource, capital, infrastructure etc. The House of Dorchester are working in the industry of chocolates product and they are a premium producer of the chocolates in the UK. Working on the expansion the company is having all the resources of factor resources which are required in the workplace so to develop new market working. The company is having all the resources and they are focusing in the market of Switzerland as it is one of the places where the greatest number of chocolates product are consumed. The basic factor never generates competitive advantage as porter suggest, a company should have higher skills of quality and software’s with the advanced skills to increase the business.

Demand Condition: the demand of the product and services of chocolates in the country the House of Dorchester are expanding is high (Stavridou, 2019). Switzerland is one of the most consumable chocolates product country and it is very crucial for the country to increase the performance as the company is having the desire resources and also the premium quality range of product to offer to the people to develop more market and control a good grip in new market. Dorchester are planning to expand in the country so that they can get a better working in new market as the home demand of the country is high for the product and it can create a great opportunity for company.

Related and Supporting industry: the success of one industry can be related to the other business organization. The international suppliers and the people working in the Switzerland can help the company in providing better suppliers as the country is favourite for the chocolates. This can help the company in increasing their sale in the business and develop a better working in the market. This is one of the factors which can provide a better impact on the overall performance of organization. The places are very famous for its tourism and this can also provide a better impact on the industry as they can target a wider audience in market by which they can increase profitability and productivity in new market (Juschten and, 2019).

Firm Strategy, Structure, and Rivalry: every place need a different strategy and structure accordingly to the country working. House of Dorchester need to understand that they need to develop a working by which they can create a structure which support in the new market and country. The working in UK is different and working in Switzerland is different. It is important for the company to analyse and structure the working accordingly and make strategies which can convert more audience in new market. Working in new country need the company to analyse and found the rivals so that they can get a better understand about the competition which they can get in new market (Murphy and Oesch, 2018). This is vital for them as they need to develop resources accordingly and develop better performance to achieve target.

Tarif and Non-Tariff barriers in International Business Expansion

Tariff Barriers

Tariff barrier refer to the certain trade between different countries on geographic areas which work as a form of abnormally government taxes on imports or exports to increase for the purpose of protection and safety. To support the payment balance or increasing the raise of revenue.

Specific tariffs: it refers to the fixed amount money on a particular physical unit which is according to the weight. Measurement, commodity which is imported or exported. These duties are used on goods like rice, sugar, cement etc.

Voluntary export restrictions: it is a self-imposed restriction to limit on the quantity of products and goods which are exporting country to allowed as export.

Import quotas: it is one of the trade restrictions which are used on the import and export on the basis of quantity of goods that can be imported. It is made to benefit the producer of good in the economy.

Non-Tariff Barrier

They are those barriers in any degree other than the practise tariffs. Which works as an international trade. It is a process in which the rules are set on the manufacturing of the product or the handled of the product which is further sold in market.

National Regulation: National regulation refer to the process of laws and regulation made by state and territory under the national law in country.

Exchange control: they are the government-imposed regulation on the trading which work on limitation of purchase and sale of currencies.

Embargoes: it is an government order restriction on the commerce of the country on the exchange of goods and services.

Advantages and Disadvantages of International Trading Blocs and Agreement

Trading Block: It refer to the process of protecting the country economies from the competition from abroad. Trading Block is type of intergovernmental agreement where the regional barriers of international trade are eliminated participation state which help them in trading with each other. Trading bloc are of different type which are custom unions, free trade area, common market, economic union etc.

Advantage of Trading Blocs: -

Optimal use of resources: Trading blocs help in making sure that the resources are being used with proper ways and no wastage of resources are done while working in the trade tariffs this help the country to produce the production of the goods and services which are best suited for their country so that they can sell outside and earn the foreign currency. It can help in the overall changer in the country through the production and sell and works in stoppage of avoidance of waste or resources.

Specialisation: if the country has a specialisation in the product and services so that they can produce that product worldwide and it helped them in increasing the overall working in different countries. Goods can be produced at minimum wage so that the division of labour can be advantage and can help the country in achieving better business.

Advantages of large-scale production: working on the trading it can create a huge advantage for the company as this can create in large number of productions as well create an impact on overall performance of the business for House of Dorchester. High production at the home town can lead to increase in exports and it can also create in high amount of sale in business which can further help in increased performance at business for the company.

Stability in Price: working in the international trade it allows the company to produce the product and sell the stock in the market which work as a stability in the workplace. It is crucial for the business to get the stability so that the company can create a market value and work on it. The home advantage can create an impact on the performance and develop a better workplace for them as they are having a better strong working in business.

Disadvantage of Trading Blocs: -

Political Dependence: Political dependence and the political factor can create a huge impact on the performance of the work. It is crucial for the House of Dorchester to work with the policies and develop a working process which full fill the entire process of business. The house of Dorchester can create a working in the market with its product but that can create a better performance if they utilise the best of all factors and utilise the market strength to increase performance.

Mis-utilisation of Natural resources: working on the trading is beneficial for the country to increase their income and help the economy of the country. On the other hand, it is essential for the business to develop working and create an impact on the performance and profitability of business. On the other hand, trad of high amount of stock and production can cost a country with the lack of resources and they can face the shortening of resources in their workable. This is very important for the country to understand what they are exporting and how to control the lack of resources in their country itself. Working on this the company need to develop their strategies and use the best of resources and preserve the resource to develop the environment support to country.

Storage of goods: House of Dorchester are working in creating huge production so that they can increase their export and develop profitability at international level. This is a great way to increase working but on the other hand it is essential for the company to work on the storage of goods as it can cause the quality. Working on international market sometimes need to have some commodities to add which can be shortage due to international trade and can impact on business.

Advantage and disadvantage of Importing

Advantage of Importing

Better Profit: When the organization works on the import it creates a new market and develop new resources for the business. It is essential for the business to work on the development of resources and controlling the cost of production so that they can provide more of import in the country and develop profitability in market. Importing is crucial for the country to develop a better import and develop new ways to produce the cost to minimum and export more of the products (Akinsola and Odhiambo, 2020).

Good Quality: Working in the business and develop a good quality product can create a huge advantage in market and can create import opportunity. This is very important for the business to provide the best of quality so that the market demand can raise and increase performance. Importing of unique product and services and sell them in market can create a good process of money. This can lead to supply quality product in market and develop a better functioning in target market.

Cut Down Manufacturing Cost: working on the product and services and creating a cost in the manufacturing can create a huge advantage in market. This is very crucial for the production organization as it can create a better saving of money. Working on low-cost manufacturing and try to make the quality stuff can increase in sale and develop business include the wages, cost of manufacturing, raw material cost, goods costs, operation cost. This is very helpful to manage the costing and sell the product in high price in market, which further provide more profit margin and increase the objective of business (Shalaby, 2017).

Deal with Emergency: Imports are crucial and in the time of natural hazards and developing of new factors where the emergency can be passed and the country need resources. This help when the company is increasing its imports and developing a storage of resources to save for the emergency and help the people of country. The resources are limited and it is important to preserve so that they can create an impact on the business.

Disadvantage in Importing

Currency Risk: Working on international market and getting to much of import can cause the issues to their economy of the country. Working on import and export trading need to be equal s that country can control the decrease of the currency power in global economy.

Domestic Resources at Risk: to much import can cause to the domestic resources as the sale and service of the domestic resources. Importing the services and product can cause the domestic product a competition and it can cause a bad hit to the market which can impact in wastage of domestic goods. It is crucial for the country to work on the situation and develop process to increase the domestic process sale in exports. So that the risk of the resources at domestic level can be reduced and created the proper use of resources in market (Cucco, 2021).

Quality of Production: Getting imports are very important but on the other hand if the import gets increased and the country can get impact from the quality of production. It can be impacted after the working of the overall performance as they need to develop the quality and match the import product quality to increase to get the best out of market. The production quality will be increased by the House of Dorchester to develop an impact on their working and create a better working in business (Ritzel and, 2018).

Advantages of Exporting:

Expansion of business: Export help in increasing the market for the business and help in reaching better results in the market.

Economy: exporting the product and services of the company helps in increasing the earning and develop a better economy for the country.

Disadvantages of Exporting:

Risk: there are different risk which can cause the business in while working in export market.

Controls: working on the exports are includes the remote working relationships and it lose the control which a brand can have at home and not in international market.

Recommended Mode of Entry:

Direct Exporting: Direct exporting refer to the process when a supplier or a distributer of goods and services directly sell their product within an international market. Direct selling is the process of providing the product and services to the end users (Manolopoulos, Chatzopoulou and Kottaridi, 2018). The advantages for the House of Dorchester while working in direct exporting are that companies are eliminated while working on the direct export of business. It allows for direct marketing and increase profit maximization. The disadvantage for the company is that they need to understand the proper documentation about the exporting while working on direct selling. Some of the products are may also not be appropriate for selling which can cause the company in less of sale of product.

Indirect Exporting: indirect exporting refers to the process of working with the intermediates who took the product from the company end and then sell to the end users (Di Cintio, Ghosh and Grassi, 2020). It is a process of supporting and it also decrease the profit of the business. Advantage for the House of Dorchester in indirect exporting are that it can lower the risk with getting started in new market, this also allow in increased focus on business while intermediates focusing on international market. The disadvantages for the firm are that they will not be in full control of the business in foreign sale.

Franchising: franchising is a form of marketing and business expansion and distribution where the owner of business grant different individual the offer as a franchisor the rights to run business by the process of selling product and services of the franchisor business in market (Rosado-Serrano, Paul and Dikova, 2018). Advantages of the franchising for the company are that the expansion can be faster in the business while working on the franchising, successful location can provide a high royalty in business and can help the House of Dorchester in better performance (Toshimitsu, 2020).

Joint Venture: it is a private process of arrangement where two parties agree to pool their resources to work on the specific task. This can be a new project or activity of professional. If the House of Dorchester work on the joint venture they will get advantages of better resources in the new market where they are expanding their business in Switzerland. It also provides the equality of risk and profits in occupational. The disadvantage of the joint venture is that it can leader to restriction in flexibility as well as the clash in business working and culture can cause lack in performance (Killing, 2017).

Wholly foreign enterprises: wholly foreign owned enterprises is an investment common vehicle for mainland china based businesses, it work on foreign based parties which can incorporate in foreign limited liability company (Lovely and Huang, 2018). The advantages are that it does not need on a Chinese partner to work in and is a legal status as it is registered under the Chinese government. The disadvantages are that it is limited to the specified during the application process.

Company can use the best of indirect exporting in the market to enter in new market of Switzerland as they can provide the services of their premium product in which they are best. They can use the direct exporting and can save a lot of investment amount as if they use other approach, they need to provide a better investment and need to share the profit and margin in the business.


From the above report it is concluded that working in the international market need to have a proper understand of target market. House of Dorchester are working on the development of their skills and knowledge to understand their target market Switzerland. The business expansion can be done in different country but working in the country where the product gets a upper hand in market is very beneficial for the company to get better results. It is important for them to develop a process of workplace which can lead to better development in business through expansion of business. The Report further conclude that working in international market helped them in getting a better understanding of import and exports and how they can save the resources and use them in development of business in workplace to maximization of profit. The tariffs and non-tariffs are crucial when working in import and export, advantages of import and export are concluded which make an impact on workplace understanding and controlling the resources to develop business.


Books and Journals

Akinsola, M.O. and Odhiambo, N.M., 2020. Asymmetric effect of oil price on economic growth: Panel analysis of low-income oil-importing countries. Energy Reports. 6. pp.1057-1066.

Cucco, M., 2021. Learning from Switzerland in the Brexit era. The MEDIA programme case study. Studies in European Cinema. 18(1). pp.22-36.

Di Cintio, M., Ghosh, S. and Grassi, E., 2020. Direct or indirect exports: what matters for firms’ innovation activities?. Applied Economics Letters. 27(2). pp.93-103.

Juschten and, 2019. Carsharing in Switzerland: identifying new markets by predicting membership based on data on supply and demand. Transportation. 46(4). pp.1171-1194.

Killing, J.P., 2017. How to make a global joint venture work. In International Business (pp. 321-328). Routledge.

Lovely, M.E. and Huang, Z., 2018. Foreign direct investment in China's high?technology manufacturing industries. China & World Economy. 26(5). pp.104-126.

Manolopoulos, D., Chatzopoulou, E. and Kottaridi, C., 2018. Resources, home institutional context and SMEs’ exporting: direct relationships and contingency effects. International Business Review. 27(5). pp.993-1006.

Murphy, E.C. and Oesch, D., 2018. Is employment polarisation inevitable? Occupational change in Ireland and Switzerland, 1970–2010. Work, employment and society. 32(6). pp.1099-1117.

Rao, S., 2021. International business environment. Himalaya Publishing House.

Richins and, 2017. Big data analytics: Opportunity or threat for the accounting profession?. Journal of Information Systems. 31(3). pp.63-79.

Ritzel and, 2018. The causal effect of reducing trade policy uncertainty: A comparative case study of Bangladesh's textile exports to Switzerland. International economics. 156. pp.31-44.

Rosado-Serrano, A., Paul, J. and Dikova, D., 2018. International franchising: A literature review and research agenda. Journal of Business Research. 85. pp.238-257.

Schmid and, 2020. Energy cooperatives and municipalities in local energy governance arrangements in Switzerland and Germany. The Journal of Environment & Development. 29(1). pp.123-146.

Shalaby, S., 2017. Free Trade Agreements: hurdles for small and medium-sized enterprises in Switzerland to use this strategic advantage.

Sharma and, 2020. Managing uncertainty during a global pandemic: An international business perspective. Journal of business research. 116. pp.188-192.

Stavridou, M., 2019. Business Ethics and Human Rights. The Industrial Involvement in the Embeddedness of the Tibetan Community in Rikon, Switzerland: A Case Study. In Diaspora Networks in International Business (pp. 609-634). Springer, Cham.

Suriyanti and, 2020. Planning Strategy of Operation Business and Maintenance by Analytical Hierarchy Process and Strength, Weakness, Opportunity, and Threat Integration for Energy Sustainability. International Journal of Energy Economics and Policy. 10(4). p.221.

Toshimitsu, T., 2020. Does an incumbent monopolist have an incentive to invite new entry through granting a free patent license?. Research in Economics. 74(4). pp.349-353.

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