Roadster Tires



Roadster Tires

The company that I have been operating in the domestic arena is named Roadster Tires. The company would be going international in order to become the largest tire producer in the country, by aiming to account for a large share of the market. The company would aim to make Europe its most important market, so that it accounts for above 50% of the company's sales. The expansion of the company would mean that a lot of problems would have to be looked into and solved in order to open up successful international operations. The company would expand its operations internationally by locating a new plant in Canada, and this decision is based on the low degree of financial risk which comes due to the tax concessions by the Canadian government and the fact that the company can get direct grants for its project. A lot of hard work would be required in order to start over operations in a new country, and the company would need to overlook the political power of stakeholders like the US government and the US tire industry, as well as their ability to influence trade with Canada.

For the purpose of opening up operations, the company would choose a location in Nova Scotia due to the various country specific advantages which the location brings such as financial support from Canada in grants and loans, exporting and importing benefits such as duty-free trade and drawback, and lack of risk related to political and economic factors. Apart from that, the company would work on possessing advantages that are firm-specific, such as efficiency in research and development, advancement in technology, apply quality control checks, efficient production and assembling, effective marketing and management, and financing that is cost-effective. All these factors would be responsible for making the ...