Sample Essay on:
Expanding to Chile or Mexico

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Essay / Research Paper Abstract

A 4 page paper listing in bullet points the advantages and disadvantages of Chile and Mexico for a variety of international expansion tools including joint venture, turnkey projects, licensing agreements, franchising agreements and other approaches to expanding to another country. Bibliography lists 5 sources.

Page Count:

5 pages (~225 words per page)

File: CC6_KSintlBizChMex.rtf

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Unformatted sample text from the term paper:

expansion sites, both Chile and Mexico offer attractive points to the multinational seeking to enter a developing nation that essentially is "Western" as opposed to other broad categorizations of regions and governments in other parts of the world. Each country has specific advantages. Turnkey Projects Chile * Positive: the economy is more industry-oriented than services, and finding all the services necessary for a start-up could be difficult. * Negative: moving an entire operation into the country disallows taking advantage of local talent and influence. Mexico * Positive: there is such a mix of modern and antiquated systems in Mexico that a turnkey project can avoid many problems of start-up. * Negative: people are less well educated than in Chile; finding managers could be difficult. Licensing Agreements Chile * Positive: Manufacturing expertise and extensive international agreements with other countries and specific businesses. * Negative: licensed products may be attractive only for export and have little influence in local markets. Mexico * Positive: Extensive manufacturing experience under licensing agreements. Oversupply of manufacturing capacity may provide favorable pricing. * Negative: Intellectual property may not be as well respected as it should be. Franchising Arrangements Chile * Positive: people are well educated and economic growth is strong. * Negative: The economy still is industry-oriented. There appears to be much promise in services but the sector is not well developed as yet. Mexico * Positive: provides business assistance to those who may have little experience. * Negative: goods and services cannot be too "foreign" and still be successful in Mexico; the business needs to be one offering tangible benefits or products. Joint Ventures Chile * Positive: Chiles banking system is well developed and experienced in international business. * Negative: the culture appears not to be so different that a foreign company would ...

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