Global & International Business Context

Individual Assessment
SM0269 Global & International Business Context

Nurhuda Binte Md Yassin

Student ID: 12034616

Word count: 3,189 words

INTRODUCTION

This report aims at facilitating the company’s decision-making process concerning the consideration of expanding its international operations in food retailing to South Africa. The overall competitiveness and investment attractiveness will be based on the extended version of Porter’s National Diamond and supplemented with key management issues of South Africa food retail industry, to which the company can tailor its strategy. The analysis recommendations will be made, that need to be considered by the company before deciding in opening its operations in South African food retail industry.

Brief Summary of South Africa Food Retail Industry

|South Africa, a growing retail market with a population of around 49 million people, possesses a modern infrastructure supporting relatively |
|efficient distribution of goods to urban centres, townships and rural areas throughout South Africa and Southern Africa (Ntloedibe, 2010). South |
|Africa have been identified among the ten new markets most likely to appeal to multinational store groups, along with four other African countries -|
|Algeria, Kenya, Morocco and Nigeria (Ventures Africa, 2012). |
| |
|5 Largest Retailers In South Africa |
| |
|Shoprite Holdings Ltd

Bibliography: BBC. (2004, April 14). Risks remain for South Africa 's economy. Retrieved December 05, 2012, from BBC: http://news.bbc.co.uk/2/hi/business/3608621.stm Burdina, M Douglas, K. (2012, July 13). Female buying power on the rise in Africa. Retrieved December 18, 2012, from How we made it in Africa: http://www.howwemadeitinafrica.com/female-buying-power-on-the-rise-in-africa/18914/ Gimeno, J Hatch, G., Becker, P., & van Zyl, M. (2010). Africa Market Entry: Strategies for consideration. USA: Accenture. HOFSTEDE. (2012, - -). The Hofstede Centre. Retrieved December 15, 2012, from The Hofstede Centre: http://geert-hofstede.com/south-africa.html ICF Consulting JYU. (2005, January 15). Natural resources and economy. Retrieved December 09, 2012, from JYU, Finland: http://www.jyu.fi/viesti/verkkotuotanto/kp/sa/ Keefer, A Leatt, A., Shung-King, M., & Monson, J. (2006). Healing inequalities: The free health care policy. South Africa: South African Child Gauge. Mazorra Blanco, R., & Vorona, Y. (2007). A Strategic Analysis of BirdLife South Africa’s Birding Routes. UK: Isabel Fernandez-Mateo. Mushuku, T. (2006). Modes of market entry & strategies. Doing businss in South Africa, 37. Ntloedibe, M. (2010). Annual Retail Food Sector report - South Africa. USA: USDA Foreign Agriculture Service. OECD. (2011). Economic Diversification in Africa. Sount Africa: OECD. Pegram, G. (2010). Global Water Scarcity. London: Lloyd’s. R&M. (2012, November -). Analyzing Food Retail in South Africa. Retrieved December 08, 2012, from RESEARCH AND MARKET. SAS. (Oct 2012). Retail trade sales. South Africa: Statistics South Africa. South Africa Business Guidebook 2002-2003. (2004, May 25). South Africa 's labour market. Retrieved December 12, 2012, from WriteStuff Publishing : http://www.southafrica.info/business/economy/policies/labour.htm Sustainalytics UKTI. (2012, September 13). Overseas Business Risk - South Africa. Retrieved December 15, 2012, from UK Trade & Investment: http://www.ukti.gov.uk/export/countries/africa/southernafrica/southafrica/overseasbusinessrisk.html UNAIDS Ventures Africa. (2012, August 10). The 5 Largest Retailers In South Africa. Retrieved December 11, 2012, from Ventures Africa: http://www.ventures-africa.com/2012/08/the-5-largest-retailers-in-south-africa/ Appendices Population (Census 2011): 51.77-million Area: 1 219 090 square kilometers (Keefer, 2011) Political Factors Head of state: The President is elected by the National Assembly. Under the Constitution, the President is permitted to serve a maximum of two five-year terms. The current President is Jacob Zuma, who was sworn in on 9 May 2009 (BBC, 2004). With 13 parties in Parliament, South Africa has a vibrant political system. The African National Congress is the governing party, and strongly in the majority, though the opposition parties are robust and vocal (Sustainalytics, 2012).