STRATEGIC INTERNATIONAL BUSINESS MANAGEMENT

Strategic International Business Management

Strategic International Business Management

Introduction

In the lastfew decades the overall economy of Nigeria cab be said to be really chequered. It can be seen that the average growth in the economy was till 2008 which was maintained really well from almost 40 years, but afyter the yaer 2008 it become really low and came to 1.49%. Alleviating the level of poverty in the nigeruian economy is a real big issue. This is being said due to the fact that the economy is facing so much trouble in the post crisis period (Umoh et al, 2012).

The FDI is the factor which is really able to help this reducing growth in the overall economy. In simpler terms the FDI and the economic growth are both endogenously determined in the Nigeria (Umoh et al, 2012). These are the reasons tht the Nigerian economy is considered to be one of the most inviting economy for the foreign investors. This paper is looking for the overall stability the economy of Nigeria offers to a new entrant in the market.

The organisation which is looking for the expansion is Carrefour. Carrefour is a retail giant of the market and has a very good market image. It is operating currently in so many countries throughout the globe and is looking for expanding in a new international market place. This effort is going to give a more precise understanding regarding the fact related to such kind of expansion. This will be done by analysing the external factors and intensity of rivalry of the industry by using the appropriate tools.

The retail market is one of the most important sectors throughout the world. At times when the economy is facing issue like recession this particular industry may not flourish, but it still have some kind of potential which keep it less affected. The most likely reason for it is the natures which basically deal with the necessities rather than luxury (Griffin and Pustay, 2007).

For analysisng in a an effective manner porters five forces and the PEST analsysis is being considered in this paper. These models are selected due to the fact that they are really very good for analysisng the environment in which the organisation is going to deal with. This particular procedure will aid the analysis in a manner that it will become more effecteive and more appropriate for the sake it is being conducted.

Nigerian Retail Industry

It is seen that the Nigerian industry has a considerable growth in last few years. It is been presumed that the most important reason for it is the growing level of population in the industry. The increase in the level of demand is derived through this increased population and there are also some other factors which are contributing in these regard. The improvement in the overall economy is contributing well in the purchasing power and the foreign investments are also being welcomed in the industry (www.euromonitor.com).

Nigerian retail industry in Nigeria has become organised ...