Assessment

Note: Imagined scenario

The board of directors of McDonalds PLC have recently identified the emerging economies as offering great business potentials, and Nigeria especially as a potential new destination for expansion. However, the company’s board are not completely sure about the profit potentials of Nigeria fast food industry and the strategies that would facilitate value creation and how to ensure success overtime in the country.

Instructions on Assessment

You are required to produce a 3500-word critical essay based on the tasks outlined below:

1. An introduction to the MNE and its motivations to international business and expansion (10%) (500 words).
2. Applying the relevant strategy frameworks including the Country-specific Advantages (CSA), and Porter’s five forces frameworks, critically evaluate the attractiveness or otherwise of the proposed country, for international expansion (30%).
3. Based on your arguments in 1 and 2 above, with reference to the FSA-CSA framework, and VRIO, critically analyse the firm’s resources and capabilities (FSAs) and discuss how those FSAs could be used in exploiting the CSAs in the potential host country (40%)
4. To gain competitive advantage in the industry/country, the firm would require Dynamic Capability, why? Critically explain this to the company’s board and how they can develop the dynamic capabilities for success in the proposed country (20%).