INTERNATIONAL STRATEGY

Boots Company International Strategy

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Abstract

The purpose of this report is to present international marketing strategy of Boots Company in relation while assessing its competitiveness. Boots Company is a British multinational, presently operating in more than 25 countries. The strategic approach of Boots Company was not one of the best strategies for capturing the international market. In order to determine the international market position and the model of international strategy of the Boots Company, the report utilizes SWOT, PEST, and Porter Five Forces Analysis technique. The findings of the study reveals that the company is either not aware about the market potential of several international markets or is hesitant to take risk. However, the report concludes that the company is operating in global arena but to become a truly global company it needs to expand its operation in emerging markets like China, Brazil, and India etc.

Boots Company International Strategy

Introduction

The term international strategy refers to the sale of products in foreign markets. Technology and globalization created a new competitive landscape in the twenty-first century, where business are competing on international level. In short, they interact to create a continuous revolution; that is the development and use of new technology which facilitate increasing globalization. In twenty-first century scholars have encountered a lesser focus on a particular region of the world for doing business instead more emphasis is being given on truly global markets. Of course, the international arena presents both opportunities and threats for companies seeking competitive advantage in global markets. As companies enter international markets, they develop relationships with suppliers, customers and partners, and then learn from these partnerships. One of the main reasons to implement an international strategy (instead of a focused strategy in the domestic market) is that international markets produce new leads. Another traditional reason for companies to become multination is to ensure the adequate supply of resources. Key suppliers of raw materials especially minerals and energy are important in some industries (bauxite, rubber, oil etc). Others seek to ensure access to factors of production, i.e. cost. The industries of clothing, electronics, and machines among many others moved parts of their operations to foreign locations in search of lower costs.

Boots Company is a British multinational, presently operating in more than 25 countries. The strategic approach of Boots Company was not one of the best strategies for capturing the international market. In fact, the Boots Company realized that quite late that international market is a place that can help in increasing profits as well as recognition. While Boots Company was facing issues in the foreign markets, Alliance UniChem was successfully making out the most of Europe. Currently both the companies have merged and are now known as Alliance Boots. The purpose of this research is to present a report on Boots Company in relation to its international strategy.

Literature Review

Company History

Boots UK Limited, also known as Boots, is a famous chain of pharmaceutical stores in the United Kingdom. It has outlets in almost all the high streets of the country ...