INTERNATIONAL BUSINESS

International Business

International Business

Introduction

HOMEBASE is one of the leading general and home merchandise retailers in United Kingdom. In the market of United Kingdom, they are widely known with the name of HOMEBASE and Agros - two names for households and retail formats that are highly successful. They are engaged into selling a wide range of offerings like, household and consumer electric goods, house wares and furniture comprehensive range, sporting goods, equipments, DIY, outdoor and gardening equipment, jewellery, toys for every age and leisure pursuits. HOMEBASE is also involved in selling out a wide range of categories associated with home products, for helping out people in improvement of their gardens and homes. The offerings of HOMEBASE involve everything which makes one able to do it themselves, like, gardening, decoration, accessories, house wares, furniture, bathrooms and fitted kitchens. Both the businesses are maintained and sustained by the operations of financial services that are providing customers with the insurance and credit products. If this company goes international then there would be various factors impacting the performance of company on the global level like economic conditions, political and cultural barriers etc.

Discussion

In the wake of trade liberalization and the collapse of trade barriers in the world, a barrier remains unchanged, however, that of culture that characterizes every society. Lifestyles, the values, language and ways of deciding are frequently obstacles to an entrepreneur who tries to negotiate or even contact with a foreign partner (Graeber 2002 pp. 1222). Not only do people business accustomed to international trade will not hesitate to recognize the existence of such a barrier, but they try to enforce order promote the realization of their business projects. In contrast, leaders who are in their first experiences on stage International sometimes assume, incorrectly, that attitudes and practices business are (or should be) identical everywhere else in the world.

That significantly increases the risk of errors and failures under the business relationship with potential foreign customers and there is requirement of new strategies. The first obstacle to which the leader is usually confronted in its internationalization process is the language difference. To illustrate this, the leaders of a company having established a Sales office in Chile, there are more than five years, is hard to explain why sales were still failing to take off in this country despite all the means invested in order to develop business (Weiss 2009 pp. 3). After analyzing the situation found that, after five years, representative's expatriates in Chile did still communicating with customers in English and do Chilean showed almost no effort to learn the language Home. However, the Chileans were quick to interpret this as a lack of interest on their part to maintain a business relationship over time.

Prior knowledge of the language of the target country helps likely to conclude deals. Nevertheless, a leader should not expect to master all the languages before starting a foray in foreign markets. Knowledge and use of certain key words, as well as certain forms of politeness in language ...