BBB4ASSIGNMENT_GoingGlobal_GlobalLocationDecisions
Global Location代写 showcase and apply your knowledge to a series of global location questions to assist Anta’s global expansion strategy.
Over the last few weeks we have been discussing a number of different factors that international businesses consider when they are making global location decisions. Now it’s your turn to showcase and apply your knowledge to a series of global location questions to assist Anta’s global expansion strategy.Global Location代写
Background and Decision Drivers
Anta is a leading sportswear company in China (#3 in China behind Nike and Adidas) and has an aggressive international growth strategy. To meet their global growth targets, Anta is considering investing in several new international operations – including retail, R&D and manufacturing/distribution.Global Location代写
To maintain full control over their brand and business operations, Anta has decided that any new global operation will be through foreign direct investment (rather than licensing, strategic partnership or joint venture).Global Location代写
Retail Business:
Anta’s target consumers are sports-minded youths aged 14-to-25 and young adults aged 25-40 who are attracted to high-tech, high-quality, and high-end design sportswear but are not able to afford higher-priced competitors like Nike and Adidas. Global Location代写
They also think that cities with a large Chinese population may help them gain early market share as the consumers may better recognize the Anta brand.Global Location代写
Anta wants to test the North American market by opening approximately 20 retail stores in (up to) 5 North American cities over the next 2 years. The cities should have a minimum population of 1 million people to be adequate test markets.Global Location代写
R&D Operations:
Anta already has design centers in Beijing, Guangzhou, Jinjian, Seoul and Tokyo. Connections with Korea and Japan have been important to growing the Chinese market because these countries set fashion trends for youth in China.Global Location代写
However, the company realizes that to be successful in North America, it will need to better understand fashion trends and technologies expected by North American consumers to be able to design new products that better meet their needs.Global Location代写
Therefore, it is planning to open a 50-100 person R&D centre in North America that will hire staff who have deep knowledge and connections to the fashion (and ideally sports/sportwear) industry.Global Location代写
Manufacturing and Distribution:
Anta began as a factory in China in 1991. Part of its success in China has been due to the fact that they control their own manufacturing and distribution networks which helps keep costs low. The company realizes that China has lower manufacturing costs than North America.Global Location代写
While Anta wants to keep manufacturing costs as low as possible, they also think that manufacturing somewhere in North America may help them build a reputation for having high quality products.
It would also allow them to avoid import tariffs. Therefore, they would like to invest in buying or building a small factory (that has the potential for future expansion) to meet North American demand.Global Location代写
Anta has hired you – a global business consultant – to help them identify the best location(s) for each of these business operations in North America.Global Location代写
YOUR TASK
Part 1 – Identifying location criteria.
Based on the background information above and your expertise in advising global businesses make evidence-based location decisions, your first task is to help Anta develop a set of “location criteria” that should be considered.
- Prepare 3 tables (one for each business operation) that identify (at least) 5 pieces of secondary data/information that will help ANTA identify whether a particular North American city would be a good fit for the business
a. The tables should clearly identify each recommended piece of data/information and describe what the data/information will tell you about a location and how it would contribute to identifying the best location for each business Global Location代写
2.Provide your location criteria recommendations to Anta CEO (Mrs. Moir) for approval before moving forward to Part 2 (datacollection).Note: at this stage, you do not have to collect any data: you are simply identifying what data should be collected and why. Global Location代写
Part 2 – Data Collection
Once the Anta CEO is in agreement with the proposed location criteria, you must collect the data on each criterion for the following 10 cities using reliable sources.
- Toronto,Canada
- Montreal,Canada
- Vancouver,Canada
- San Francisco,USA
- New York City,USA
- Los Angeles,USA
- Miami,USA
- Nashville,USA
- Mexico City, Mexico
- Tijuana, Baja California,Mexico
The data should be organized in an easy-to-read table or Excel spreadsheet.
Note: The following government statistics websites are a good starting point. However, as a class we can develop a list of other (free) reliable sources based on the variety of location criteria that is identified in Part 1.
https://en.www.inegi.org.mx/
https://www.bls.gov/cps/
https://www12.statcan.gc.ca/census-recensement/2016/dp-pd/dt-td/index-eng.cfm
Part 3 – Location Recommendations
Your final task is to analyze the data collected above to develop a recommendation for the city (or in the case of retail operations – cities) you think is/are best suited for each of Anta’s business operations. Note: You may select different cities for each operation.Global Location代写
Present your recommendations in a short report (Word Document or PowerPoint) that:
- Clearly identifies the recommended city/cities for each businessoperation
- Provides at least 3 reasons for each recommendation that is connected to the data collected in Part 2 and your rationale for each criterium from Part
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