Gap Sample Project Paper

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BUSN 427
GLOBAL ISSUES IN BUSINESS
DeVry University

Global Business Group E Project:
Gap, Inc. going to Peru

Prepared by:

February 20, 2011
Table of Contents

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Module Page

I. Cover Page 1

II. Table of Contents 2

III. Executive Summary 3

Module 1: IDENTIFYING GLOBAL BUSINESS OPPORTUNITIES 4-7

Module 2: ANALYZING INTERNATIONAL COMPETITORS 8-10

Module 3: ASSESSING THE ECONOMIC-GEOGRAPHIC ENVIRONMENT 11-13

Module 4: ASSESSING THE SOCIAL – CULTURAL ENVIRONMENT 14-20

Module 5: ASSESSING THE POLITICAL-LEGAL ENVIRONMENT 21-23

Module 6: SELECTING A GLOBAL COMPANY STRUCTURE 24-25

Module 7: FINANCING SOURCES FOR GLOBAL BUSINESS OPERATIONS 26-29

Module 8: A GLOBAL MANAGEMENT INFORMATION SYSTEM 30-31

Module 9: HUMAN RESOURCES for GLOBAL BUSINESS ACTIVITIES 32-35

Module 10: MANAGING INTERNATIONAL FINANCIAL AND BUSINESS RISKS 36-38

Module 11: PRODUCT AND TARGET MARKET PLANNING 39-40

Module 12: DESIGNING A GLOBAL DISTRIBUTION STRATEGY 41-42

Module 13: PLANNING A GLOBAL PROMOTION STRATEGY 43-44

Module 14: SELECTING AN INTERNATIONAL PRICING STRATEGY 45-47

Module 15: DETERMINING ORGANIZATIONAL FINANCIAL RESULTS 48-50

Module 16: MEASURING INTERNATIONAL BUSINESS SUCCESS 51

Conclusion 52

Bibliography 53-56
Executive Summary
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Peru is located on the South Pacific coast and ranks among the world's most attractive tourist destinations.   Peru has incredibly rich and compelling archaeological heritage and because of its great natural beauty the country draw tens of thousands of visitors each year.   The capital of Peru is Lima. Located on the central coast of Peru, the city is only about eight miles from the sea. Peru’s economy is the 42nd largest in the world.   Peru is an emerging, market-oriented economy characterized by a high level of foreign trade and a still high level of inequality, the trade and industry are centralized in Lima but the agricultural exports have created development in all the regions. Recession is not a threat in Peru in, and many entrepreneurs will take advantage of this opportunity and create a business in this country.   According to the President of Peru Alan Garcia he states that “Peru’s economic and banking performance is better than the United States’, not because of its size but because of its high figures and economic measures” (www.apec.org).

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Module 1: IDENTIFYING GLOBAL BUSINESS OPPORTUNITIES
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Global Business Opportunities
Gap was founded in 1969 on the principle of conducting their business in a responsible, honest and ethical manner. Gap Inc. has committed to continually evolving and adopting appropriate corporate governance best practices (www.GapInc.com).   Gap, Inc. is looking for new ways to connect with customers around the world, providing value to our shareholders and make a positive contribution in the communities where we do business. Since 2006 the gap has signed its first international presence. Today the gap has store open in 17 countries.   Gap, Inc. remains the largest specialty apparel retailer in the U.S., though it has recently been surpassed by the Spanish-based Inditex Group as the world's largest apparel retail. As the company grew and expanded, so did the company culture. Gap Inc has made a name for themselves and has grown to be one of the most know respected brands in the apparel industry. (www.GapInc.com). Potential Markets

Today, Gap Inc. is one of the world’s largest specialty retailers, with approximately 3,082 stores worldwide.   They have stores throughout the United States, as well as in Canada, the United Kingdom, France, Ireland and Japan. Gap Inc. is seeking to expand into South America, primarily Peru because of their revived economy.   Gap, Inc. is interested in Peru as a potential new venture...
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