Student
Student
Brief
1.1 Title of the project
The title of my project is SICHUAN CHANGHONG ELECTRIC CO., LTDs Decision to Enter the European Market.
1.2 Objectives of the project
The objectives of the project are to analyze many facts of CHANGHONG to entering the European market, which include:
The reason to choose the European market to enter
The reason to prefer to choose the direct investment, rather than use the agents or others
The reason to enter the European market is a successful decision for expansion international strategy
1.3 Statement of the issue to be investigated
In order to achieve the objectives of the project, there are some issues to be investigated. They are listed as following:
For the reason to choose the European market to enter:
The production strategies currently used by CHANGHONG
The strength of CHANGHONG—whether the company has the ability to enter the foreign markets
The situation of the domestic market—why the company must to enter the foreign markets
The situation of the foreign markets—why the company must to choose the European market
For the reason to prefer to choose the direct investment, rather than use the agents or others:
Compared the export methods
The reason to choose the direct investment to export
For the reason to enter the European market is a successful decision for expansion international strategy:
Using SWOT to analyze the opportunities and problems to enter the European market
1.4 Reason for your choice of issue and how this issue directly relates to topics
Before CHANGHONG entering the foreign market, we should know the production strategies of CHANGHONG and whether the company has the ability to enter the market. Then through analysis the situation of the domestic market and the foreign market, we could know why the company chooses export to the foreign market and why the foreign market is the European market.
By compared the export methods, we could know the different export methods advantages and disadvantages and have a better understanding of the method to export to the European market for CHANGHONG. Then about the explanation of the reason to choose the direct investment to export, we could know why CHANGHONG choose the different way to export to the European market compared with other company.
Though analysis the opportunities and problems to enter the European market, we could know that CHANGHONG has the competitiveness and the decision to enter the European market could make the expansion international strategy successful.
1.5 Covered as part of the Group Award
Several subjects are involved in my study, which are:
Financial Reporting and Analysis refers to using the financial reporting to evaluate the strength of the company
International Marketing: An Introduction refers to identify reasons for entering international markets
International Marketing: An Introduction refers to evaluate the various methods of accessing foreign markets
Economics 2: The World Economy covers explaining barriers to trade and their effects to business
Business Culture and Strategy covers using a SWOT analysis to analyze the current relationship between a particular organization and its external environment.
1.6 Justification for the choice of SICHUAN CHANGHONG ELECTRIC CO., LTD
CHANGHONG is founded in 1958 in SICHUAN. Though the development, CHANGHOGN has been the change from the single military production to combined military civilian production become to be an integrated multinational by production television, air conditioners, refrigerators, IT, telecommunications, home appliances and other industries R & D, production, sale and service and so on. And CHANGHONG has gradually become a globally competitive and influential 3C integrated information alliance products and service providers. And in 2005, CHANGHONG