The chosen international market of in this study is the European international market. This is an international market that has been praised for its remarkable aim that looks forward at guaranteeing the free movement of various goods, and services, as well as people within the European Union (EU). This is an aim that has been granted the slogan of the "four freedoms," (Barnard, 2010). The market is said to encompass the 28 member states of the EU, and has been extended to areas such as Switzerland through bilateral treaties. For students who are seeking business dissertation help, understanding the dynamics of the European international market can provide the most valuable insights for their research. It’s a market that provides conducive environment to massive competition, larger economies of scale, increased specialisation, allowing goods and services as well as the different factors of production to operate in the area where they are most valued, hence making the allocation of various resources more efficient which hence makes it a good place to conduct and set up shop in it.
The market under proposal in this study is the automotive sector. The automotive sector can be retail as well as wholesale. It involves manufacturing, assembling and selling motors to end users, not necessarily for resale, but for use by the consumer or can involve a sale of motors to other retailers for them to sell to the end-users, (commission, 2015). The automotive industry has for a long-time been critical to the prosperity of Europe. It provides jobs for over 12 million people and it as well accounts for about 4% of the EU’s GDP.
As the globalization of the world’s economy has continued to deepen, there has been a corresponding growing interest on the parts of management researchers, practitioners as well as governments in understanding the diverse characteristics of countries, including their different cultural dimensions (similarities and differences), (Hofstede, 2016). Professor Geert Hofstede conducted a comprehensive study regarding of how different cultures influence the economic nature of a country and how they influence new entries to a countries international market, workplace values are influenced by culture. His particular model consists of six different dimensions that all evaluate the society's cultural effect of a on the values of its people, and how these values correspond to behaviour, using a factor analysis derived structure. The European nation being one of the most advanced and quite wealthy nations has grown to adopt a more technological culture where the automotive industry has quite prospered over the years. With a high economic standard, people see no hardship in purchasing motors and hence will provide a good environment for the above-proposed market.
Europe is a nation regarded for its wealth and sustainable nature with the population growing vastly each year and with a taxation which hence implies that industries such as the automotive sector tend to seize such chance to enjoy such low taxes for their products. Europe's population growth accelerates gradually which in turn increases the nation's popularity and it's this populace that enhance more people to migrate to Europe hence enlarging the amount of automotive demand in the country, (Barnard, 2010).
Political factors
This includes different government laws and regulations as well as security measures applied to the industry. Some of this political factors that tend to affect the European automobile industry include:
Economic factors
These are mainly factors that tend to be closely related to economic growth, rates of exchange, and the business setting. In the European market, these factors include some such as:
Social factors
Technological factors
Environment
Legal factors
Cherry Automobile Co., Ltd is a Chinese company that was founded by the Chinese Government in 1997 and is a corporation owned by the state with its headquarters in Wuhu, Anhui Province, China. It trades as Chery and at times known by the pinyin transcription of its Chinese name Qirui. The company specializes in the sale of a wide variety of Chinese-inspired products including; minivans, passenger cars, and SUVs. It is the tenth-largest automaker based in China, measured by 2012 output of around 590,000 units and is extending vastly around the world, (Hirschler, 2012)
The Chery Automobile Co. Ltd was founded in the year 1997 as an enterprise owned by the state by a group of officials that originated from Anhui province and it began its automobile production in the year 1999. They used a chassis that was licensed from Volkswagen's SEAT Toledo known as the Fengyun. Their first car was said to have sold nearly 30,000 units. In 2010, the Chery Company became the 7th most-productive vehicle manufacturer in China by selling approximately 700,000 units. The company operates car-making joint ventures with other companies such Israel Corporation and Jaguar Land Rover, among other joint ventures automotive component manufacturing with Johnson Controls, Arvin Meritor, and PPG Industries, (Hirschler, 2012). The company is developing and already spread into countries such as; Egypt, Indonesia, Russia, Iran, Ukraine, Malaysia, the Middle-East, Thailand, Venezuela, North Africa, Pakistan, Uruguay, Taiwan, and Vietnam.
The Chery automobile company mostly offers three main products and services which mainly include;
The Chery Automobile Company targets mainly the customers from youth going up from maybe an age of 25 years and above. This is necessary because, it is at this age that most people begin working after completing their education and hence due to the affordable prices offered by the Chery automobile company, a person of age 25 can hence easily afford their products with ease, (commission, 2015).
Most automobile companies tend to have their demographic target ranging from 25years and above. This hence helps to identify Chery’s main competitors. Nevertheless, they are not really in direct competition with for some automobile companies such as Audi, Mercedes-Benz, Lamborghini among others whose range tends to be quite higher due to differences in quality and pricing, (Hirschler, 2012). Such automobile companies have quite expensive products and services of equal quality with their prices. This hence implies that their customers are of a higher age of approximately 30years and above who have more steady jobs and lifestyles. This hence puts cherry out of competition with such companies. This hence leaves cherry's competition to local companies such Shanghai Automotive Industry Corporation (Group), China FAW Group Corporation, Dongfeng Motor Corporation, Beijing Automotive Industry Group Corporation of China and other international automobile industries such as Volkswagen, Daimler, Honda, Volvo and Infiniti (Nissan) among others, (K Monteverde, 2011)
The Chery automobile company can be identified to have a goal-oriented than mean oriented culture. This is because, its employees are basically out to get certain set internal goals or results, despite the substantial risks involved.
Chery automobile also operates in an internally driven culture whereby employees tend to perceive their job towards the outside world as totally given. They maintain business ethics and honesty to produce the best possible goods and services for the consumer and the world at large, (Hofstede, 2016).
The company in a way portrays an easy going work discipline. Its internal structure culture is somehow loose, it lacks predictability, and little control and discipline which has over time promoted a lot of improvisation and surprises.
Chery is more in a professional dimension. This is because the identity of its employees is mainly determined by their profession and/or the content of the job.
Chery is seen to be an open system organization. Newcomers in this organization are made to feel welcome, which makes them fit in the organization quick which has hence promoted the vast growth, (Hofstede, 2016).
The company’s management philosophy is quite employee-oriented. This is necessarily based on how personal problems of members of staff are recognized and how the organization takes charge for their welfare, even it means it goes at the expense of the work.
The following SWOT Analysis briefly explains different aspects of Chery opening a store in Europe:
Strength
Weakness
Opportunities
Threats
Having entered Europe already with stores in brazil, china among other places, Chery has the required resources and the culture experience from opening up shops in new regions. The only difference that is there between these other countries and entering Europe is that the European culture is seen to be more than most. This implies the product being presented need to be of good quality. Hence, the approach that Chery automobile will need to adopt is one that has to do with patience as well as strategic placement, where both primary and secondary research will need to be carried out with expatriates to first establish the PESTEL of the European market as stated above and hence determine how best to make their approach, one that will grant them an advantage and a way to fight on a level platform with more recognised competitors, (Schmieder-Ramirez, 2012).
It is observed that students take pressure to complete their assignments, so in that case, they seek help from Assignment Help, who provides the best and highest-quality Dissertation Help along with the Thesis Help. All the Assignment Help Samples available are accessible to the students quickly and at a minimal cost. You can place your order and experience amazing services.
DISCLAIMER : The assignment help samples available on website are for review and are representative of the exceptional work provided by our assignment writers. These samples are intended to highlight and demonstrate the high level of proficiency and expertise exhibited by our assignment writers in crafting quality assignments. Feel free to use our assignment samples as a guiding resource to enhance your learning.