INTERNATIONAL BUSINESS OPPORTUNITIES

International Business Opportunities: Lenovo

International Business Opportunities: Lenovo

Introduction

With the advancement of globalization, businesses are continuously seeking to move abroad into the foreign markets so as to maximize their bottom-line while compensating for the loss of sales due to increased competition in the local market. For the business to be profitable in the target country selected by the firm to enter for the purpose of international expansion, it becomes imperative for the opportunities and risks associated with international business to be identified and comprehensively analysed. The scope of international business opportunities and risks is diverse and thus it is required to be dealt diligently, so as to make sure that the business does not end up incurring loss in the foreign market, thereby impacting operational efficiency and profit of the firm negatively.

Discussion

To fulfil the requirements pertaining to this assignment, organisation named 'Lenovo' is selected with the target country being United Kingdom. This assignment will therefore focus on the risks and opportunities associated with the expansion of Lenovo into the UK market. Lenovo is a Chinese multinational serving in the industry of computer hardware and electronics. Considering the market and business opportunities in China, Lenovo is operating smoothly but there exists a huge potential for them in the international arena.

Western Europe is a market that should be exploited because of the higher purchasing power parity and booming economy. Although lately global recession has taken its toll on all the companies and impacted operations greatly, the economy possesses certain opportunities to exploit which, Lenovo should enter into the market. Policymakers of China are also more focused on facilitating international growth and expansion of Chinese firms as a result of which, they are helping regional firms in the development of internationally recognisable brands. To facilitate growth in the UK economy, Lenovo also merged with ...