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Essay / Research Paper Abstract
This 11 page paper considers Germany as a potential target for expansion and considers it in terms of competitive advantages and uses Porters Diamond to analysis the country. Germany is the EU's largest single economy as well as being located centrally and has many core competences tat can benefit any international expansion making it a good area for consideration which are examined in this paper. The bibliography cites 17 sources,.
Page Count:
11 pages (~225 words per page)
File: TS14_TEgermany.rtf
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to analysis the country. Germany is the EUs largest single economy as well as being located centrally and has many core competences tat can benefit any international expansion making it
a good area for consideration. 1. Introduction The way in which a business decides to expand will be based on many different factors. There
will be push and pull factors. Whilst push factors may indicate the needs to expand internationally, the target country will usually be chosen as a result of pull factors in
place due to the potential of a competitive or a comparative advantage. The development of any plan will mean any company will have
to be careful in the way that a destination is chosen. If we consider the CEO of a multinational corporation who is looking for a new operation in Europe we
can consider Germany as a potential destination looking at what competitive advantages it may offer as a destination for business. 2. Germany Just as
companies can gain a competitive advantage so can countries. Porter has argued to be successful in any market there is the need for a competitive advantage (Porter, 1980). He argued
that there were two sources of competitive advantage; cost and differentiation. Cost is where there is the ability to produce the goods or service at a lower coat that anyone
else (Grant, 1998, Porter, 1980). One only company (or country) can have this advantage (Thompson, 1998). When we look at Germany with the high minimum wage level, the increased costs
of social provision and meeting al of the legislative requirements, it is unlikely that Germany will have a cost advantage in many, if any, areas of commerce. This leaves the
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