Environmental Analysis for Firm Internationalization

Topics: Economics, International trade, Developed country Pages: 4 (1084 words) Published: July 24, 2013
Check Point Security Limited is a company that plans to internationalize. As a consultant provide your detailed report clearly an analysis of all the relevant variables in the business environment and an evaluation of the various strategies for entering foreign markets.

In order for Check Point Security Limited to carry out a successful Environmental assessment it will have to examine the various aspects and trends in their global Strategy by analysing the following variables: 1.Micro Environment: Internal environment

2.The competitive Environment: remote, industry and operating environment 3.Macro Environment: wider environment
The micro-environment denotes those elements over which the firm has control or which it can use in order to gain advantage that will better help it in its operations. These elements can be manipulated, or used to glean information, in order to provide fuller satisfaction to the company’s customers. The objective is to ensure organization survival, growth and profitability through satisfying customers. This is accomplished through the manipulation of the variables over which a company has control in such a way as to optimise this objective. The competitive environment In the Competitive Environment Management must be alert to the potential threat of other companies marketing similar and substitute product whether they are of domestic or foreign origin. In some industries there may be numerous world-wide manufacturers posing a potential competitive threat and in others there may only be a few. Whatever the type, size and composition of the industry, it is essential that management has a full understanding of competitive forces. Companies need to establish exactly who their competitors are and the benefits they are offering to the market. Armed with this knowledge, the company will have a greater opportunity to compete effectively. In the Macro environment, Changes in the wider macro-environment may...
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