This essay is Unit 5 \u2013 International Business, Assignment 1. I have carried out comprehensive research evidence into two contrasting international businesses based in the UK: Vodafone and Innocent Drinks. This research has been used to answer the question \u201cWhy trade internationally?\u201d My work covers all of the criteria required to achieve distinction as well as the correct structure and layout needed to reach these high grades (please have a look at the previews). Just follow the content, it will save you time and help you easily achieve distinctions. Criteria covered: P1 Explain why two businesses operate in contrasting international markets P2 Explain the types of finance available for international business P3 Explain the main features of globalisation that affect two contrasting businesses P4 Explore the role of trading blocs on international trade M1 Analyse the support that is available to contrasting businesses that operate internationally M2 Analyse the barriers of operating internationally for two contrasting businesses<\/p>\n\n\n\n
1
Unit 5 International business
Assignment 1
Why trade internationally?<\/p>\n\n\n\n
2
Content
Introduction \u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026.\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026.\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026.\u2026\u2026\u2026.\u2026..3
Methods used to finance international trade\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026.\u2026.\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026\u2026..4<\/p>\n\n\n\n
3
Task 1 – P1, P2, M1
Introduction
This report will carry out independent research on two contrasting international businesses –
Vodafone Group Plc and Innocent Drinks. Using the information from this research to explain in
detail how and why the two business operate in the international market. Then it will proceed with
explaining and analysing the types of finance made available for international businesses, applying
this information to both Vodafone Group Plc and Innocent Drinks.
P1: Explain why two businesses operate in contrasting international markets.
Vodafone Group Plc currently is world leading international telecommunications services provider,
which has major presence in the Middle East, Asia, Europe and the United States. The company
launched in 1985 in the UK as the first national network. In 1993 Vodafone Group International was
found to supervise overseas interests and acquire licences. Since then the company have grown
tremendously, now Vodafone is operation across 5 continents including 27 different countries.
\u201cVodafone\u2019s ambition is to contribute to sustainable living by delivering connectivity and innovative
services to our customers, while maintaining the trust of our stakeholders by behaving ethically and
responsibly wherever we operate.\u201d (Vodafone Vision and Approach, n.d.) Exanimating Vodafone\u2019s
vision statement, for the full version of which refer to the bibliography, we can safely conclude that
the number one reason for the company to become international was to grow by increasing its
market share and introducing the company services to new geographical regions. We can see that
Vodafone have reached not only this goal but they have become the global market leadership.
Another reason to go international was gain competitive advantage over their competitors. Because
the company is international it is able to provide no roaming fees in 48 countries, meaning that
people can travel freely around those countries without worrying about high roam fees. It also
provides the some of the lowest international call\u2019s fees, which is really attractive to people who
have friends and family abroad.
To reach the aims described above Vodafone decided to focus on the emerging markets, like the
fast-growing Indian mobile market. What influenced them to choose this market is the fact that
there is less competition and more business opportunities due to the huge potential size of the
market. Using this strategy, the company have rapidly grown eventually becoming the global market
leader.
Innocent Drinks is international company which was found by Richard Reed, Jonathan Wright and
Adam Balon in 1998. The company has great ethical rating of 12.3\/20, which is due to the fact that
all of their drinks are produced with fresh fruits and that the company donates at least 10% of their
profits to charities. The great philosophy behind this company is the reason why lot of people want
to buy into it, as well as the amazing taste. The company went international when Coca Cola took<\/p>\n\n\n\n
4
ever by buying more than 90% of the company. In the
first year Coca Cola focused on introducing the
company into the Europe market and by the end of
the financial year the company had tremendous 97%
increase of profit. Now this UK company exports
smoothies all around the world and has become the
number one European smoothie brand. There were a
few reasons why Coca Cola wanted to take Innocent
Drinks to the international market place. The first and
most important reason was that the growth of the
company started to fall flat \u2013 Innocent hit the glass
ceiling in the UK. The company saw potential for growth internationally, after some research they
found that in Europe there wasn\u2019t any well-known smoothie brand, which will give them the firstmove advantage. The company saw a gap in the market abroad and decided to introduce their
products. That way Innocent got all of the benefits of being first, there are no competitors and the
consumers get to know their brand very well as it is the only option on the market. The company
was in need of new customers and they found them internationally. That\u2019s one of the reason why
Innocent become a globally trusted brand \u2013 becoming international increased the business prestige,
customers assume that international brands can be trusted.
P2: Explain the types of finance available for international business.
Methods used to finance international trade<\/p>\n\n\n\n
This essay is Unit 5 \u2013 International Business, Assignment 1. I have carried out comprehensive research evidence into two contrasting international businesses based in the UK: Vodafone and Innocent Drinks. This research has been used to answer the question \u201cWhy trade internationally?\u201d My work covers all of the criteria required to achieve distinction as well […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[25],"tags":[],"class_list":["post-125347","post","type-post","status-publish","format-standard","hentry","category-exams-certification"],"_links":{"self":[{"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/posts\/125347","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/comments?post=125347"}],"version-history":[{"count":0,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/posts\/125347\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/media?parent=125347"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/categories?post=125347"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.learnexams.com\/blog\/wp-json\/wp\/v2\/tags?post=125347"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}