Securing Higher Grades Costing Your Pocket? Book Your Assignment at The Lowest Price Now!
loader
Add File

Error goes here

Files Missing!

Please upload all relevant files for quick & complete assistance.

Guaranteed Higher Grade!

MGMT205 International Business

tag 0 Download 0 Pages / 0 Words tag 18-06-2022

Answer:

Introduction:

Kim Lian Kee is the restaurant that serves the people in Kuala Lumpur. It is the restaurant that is founded by Mr. Ong Kim Lian. The most famous dish that has been served by the restaurant is Hokkein mee ("Kim Lian Kee Hokkien Mee , 2017). It is one of the most popular cuisines in Malaysia. This is a type of noodle that is made up by using the bamboo and this is the technique that originated from China. From years, Mr. Ong is trying to make innovation in this noodle to fit the taste of Kuala Lumpur. After among some innovations in the dish, he set up a new stall at Petaling and named the noodle as Hokkein noodles. Many other variations of this dish are available in the market till today.

This is the report that focuses on introducing the dish to Taiwan. The city that has been selected for this purpose is Taipei. This is because; this is the place that is a food hub in Taiwan. Introducing the dish in such a place will help to attract the market that is already established and used to of eating.

Target market:

The basis that has been use to select the target market is demography. On the basis of demography, the target the market is divided into two sections that are children and adults. The people from age 10-18 are the most appropriate range to target in case of Hokkien noodles. This is because noodles are the dish that is loved by teenager a lot. As far as secondary market is considered, it has been analysed that most of the adults also like to have noodles in their plates, so they can be targeted by some of the other means as well (Chou, Chen & Wang, 2012).

Opportunities:

As far as the demography of the city is considered, it has been analysed that the city is facing decrease in the birth rate an increase rate of aging population. This is the reason why the company has to target adults for the dish. Government is putting their efforts to rise the birth rate of the city.it has been analysed that the range of working population is also very high in the city and thus have good purchasing power.

Taipei as the potential market:

Taipei is the city of street food. It is the city in Taiwan that is the preferred choice for the food lovers because the city serves the people with great and mouth-watering street food. This is the reason why this city has been selected to introduce Hokkien noodles (Chang, Hunag & Cheng, 2016) Noddle is the dish that is loved by al whether it is on stall or it is at the five star restaurant desks. Most of the food lovers prefer to eat noodles on stalls and Taipei is considered as the best place of Taiwan to launch such a product like Hokkien noodles to serve the people.

Challenges:

Government:

There is high government interference in businesses in China or Taiwan to be specific. Thus, entering the market of Taiwan require the company to fulfil many formalities like registrations, taxes and enforcing contract. The contract process is very long and took around 510 days to complete (Berger & Lester, 2015). 

Economic:

Taiwan is becoming a place with low completion in businesses. This is because of various reasons such as excessive regulation of the business, restricting of FDI, stagnant wages etc. that leads to brain drain. Taiwan is on 16th rank by World Bank in the race of doing business. The economy of the place is stable but it is highly dependent on international trade and if there were nay fluctuations in the international market then the economy of the place will also get affected adversely (Hunter, 2014).

Cultural:

Culture of Taiwan is very different and unique. As far as the business culture is considered, it has been analysed that Taiwan and analysis are very similar in case of masculinity and individualism but in case of uncertainty avoidance, they are very different. Taiwanese do not prefer to take risks while Malaysia people believe in taking risks for business (Walker, Ross & Steinberg, 2016). Thus, this difference can act as the challenge for the international business people to deal with Taiwan people.

Competitors:

In terms of food and restaurant industry, the competition is very tough in Taiwan and especially in Taipei. This is because; it is the place that serves the people with great variety of food. some of the competitors are:

  • Taiwan Beef noodle restaurant
  • Ay-Chung Floor rice noodle restaurant

Recommended approach:

  • For facing the governmental challenges, it is required by the company to enter the market in partnership with already existing business so that they do not have to spend more time in formalities.
  • Economic challenge can be faced by initiating the business at low scale and then extending it slowly by penetrating into the market.
  • Cultural challenges can be faced by adopting the culture of Taiwan.
  • Competition can only be faced by marketing and innovation.

Entry mode:

Franchising is the most appropriate mode for entering into the Taiwan market. Following are some of the reasons why it is the most effective mode:

  • Less financial risks: entering the new market with the franchised model helps in reducing the financial risk. This is because the company has to invest little in selling the franchise to the local businessman as compared to establishment of the new outlet at the place.
  • Facing cultural differences: as the franchise has been sold to the local people thus the difference in culture can be faced easily because the local franchisor can handle the business at that place easily (Pan & David, 2000).
  • Easy expansion: It is the easy way to expand into the new market because the franchisees already pay to the original business for buying the outlet and thus the risk of failure is very low (Bocken, Short, Rana & Evans, 2014).
  • Use of international and local skills: if a local person remains associated with the international business, it becomes easy to handle the processes at the place and the knowledge of the local people can be utilised for the growth of the business in the new international market.

References: 

Berger, S., & Lester, R. K. (2015). Global Taiwan: Building competitive strengths in a new international economy. Routledge.

Bocken, N. M. P., Short, S. W., Rana, P., & Evans, S. (2014). A literature and practice review to develop sustainable business model archetypes. Journal of cleaner production, 65, 42-56.

Chang, S. M., Hunag, Y. Y., & Cheng, T. S. (2016, May). The Role of the Taiwan Marine Sectors in the National Economy: An Input-output Analysis. In International Forum on Shipping, Ports and Airports (IFSPA) 2015: Empowering Excellence in Maritime and Air Logistics: Innovation Management and Technology.

Chou, C. J., Chen, K. S., & Wang, Y. Y. (2012). Green practices in the restaurant industry from an innovation adoption perspective: Evidence from Taiwan. International Journal of Hospitality Management, 31(3), 703-711.

Hunter, W. C. (2014). Performing culture at indigenous culture parks in Taiwan: Using Q method to identify the performers' subjectivities. Tourism Management, 42, 294-304.

Kim Lian Kee Hokkien Mee . (2017). Facebook.com. Retrieved 14 November 2017, from https://www.facebook.com/pg/KimLianKee/about/?ref=page_internal

Pan, Y., & David, K. T. (2000). The hierarchical model of market entry modes. Journal of international business studies, 31(4), 535-554.

Walker, J. A., Ross, K., & Steinberg, H. (2016). CUSTOMER SERVICE ORGANIZATIONAL CULTURE, CULTURAL DIFFERENCES, & THE BIG 5 IN HONG KONG, TAIWAN, & THE UNITED STATES. Academy of Organizational Culture, Communications and Conflict, 10.

Download Sample Now

Earn back the money you have spent on the downloaded sample by uploading a unique assignment/study material/research material you have. After we assess the authenticity of the uploaded content, you will get 100% money back in your wallet within 7 days.

Upload
Unique Document

Document
Under Evaluation

Get Money
into Your Wallet

Total 0 pages

Cite This Work

To export a reference to this article please select a referencing stye below:

My Assignment Help. (2022). International Business. Retrieved from https://myassignmenthelp.com/free-samples/mgmt205-international-business/isues-in-international-trade.html.

My Assignment Help (2022) International Business [Online]. Available from: https://myassignmenthelp.com/free-samples/mgmt205-international-business/isues-in-international-trade.html
[Accessed 29 September 2022].

My Assignment Help. 'International Business' (My Assignment Help, 2022) <https://myassignmenthelp.com/free-samples/mgmt205-international-business/isues-in-international-trade.html> accessed 29 September 2022.

My Assignment Help. International Business [Internet]. My Assignment Help. 2022 [cited 29 September 2022]. Available from: https://myassignmenthelp.com/free-samples/mgmt205-international-business/isues-in-international-trade.html.


Stuck on Any Question

Our best expert will help you with the answer of your question with best explanation.

question
We will use e-mail only for:

arrow Communication regarding your orders

arrow To send you invoices, and other billing info

arrow To provide you with information of offers and other benefits

loader
250 words
Error goes here

Error goes here

Files Missing!

Please upload all relevant files for quick & complete assistance.

We Can Help!

Get top notch assistance from our best tutors !
Excel in your academics & career in one easy click!

icon

Other Samples

Content Removal Request

If you are the original writer of this content and no longer wish to have your work published on Myassignmenthelp.com then please raise the content removal request.

icon

5% Cashback

On APP - grab it while it lasts!

Download app now (or) Scan the QR code

*Offer eligible for first 3 orders ordered through app!

screener
ribbon
callback request mobile
Have any Query?