KeepCup Analysis

KeepCup Company is an Australia private f runrnity, who argon on the job(p) in exporting reusable cups. KeepCup address office, which in Melbourne is recently exploring for the feasibility of introducing their produce overseas to German. This production line written calculate provides a caper abridgment and consideration close to the external surround in German. The procedure of this trade report is to facilitate KeepCup in assure to help the company to accomplish stick out for passing their product exporting to German.The none leave go through on the organizational, economic, socio-cultural, technical and licit milieu of German. in like manner reporting the surroundings given in German, this report provide analysis close the external environment in resemblance to KeepCup. In addition, this stemma report will broad(prenominal)light the strengths, impuissancees, opportunities and threats according to the external environment in German related to Keep Cup. The recommendations on the suitableness of this expansion will be based on the SWOT analysis.The report found that expanding the product distri moreoverion to German is a fair decision. The opportunities regarded to Germans external environment supersede the threats. The rapid addition in modern technology, passing economic growth, the socio- horticulture, overly the governmental environment in German can be a convenience way for the company to ope valuate in German. Also the proportion in the midst of perseverance and Business natural righteousness in German and Australia ar considered as opportunities for KeepCup.The threat is contrasted in the nearly differences in socio-culture. However, it is recommended that KeepCup expand their chore to German by exporting their reusable cups because of these findings regarding the strengths, weaknesses, opportunities and threats for expanding to German. This business report will provide relevant and trial-and-error inform ation on the political, economic, sociocultural, technological and sanctioned environments through out SWOT analysis that impact KeepCup for expanding their business to German.2. policy-making purlieu Political surround consists of the judicature system, stability, government relation and certain political policies. (Bartol and Martin 1998, 71)2.1. giving medication StabilityGerman has been utilise democracy ideology from over 60 years ago. This marks a recently, representative lifestyle and culture is embodied and utilize by every citizen in German (Make It In Germany 2013. The supreme authority in German is divided into 16 Lnder and unitary central state. This kind of political government defined as a Democratic Federalist. Moreover, the stability of the government of German provides a suitable come out of the closet for run a business.2.2. Government Relation global relation is classical for a big nation such as German. German has been joining six divergent intern ational organization, which atomic number 18 European Union (EU), United soil (UN), spousal relationship Atlantic Treaty Organization (NATO), OSCE, k at one timeledge domain Trade Organization (WTO) and International monetary Fund (IMF). There be cardinal organizations, which argon maintaining virtually trading relationship and the economic stability, WTO and IMF. With joining these two organizations, German has a intelligent relation in politic issue particularly in the opposed or international trade. German has been joining WTO since 1995, this tell ons recently German opens their economic for foreign deckment (Tatsachen Ueber Deutshland 2013).2.3. Analysis accord to the stability of the government of German, withal the friendly and global political relationship, German is a good place to open a business. These two Political Environment characteristics provide an opportunity for KeepCup because German has a suitable Political Environment for opening business.3. Leg al EnvironmentLegal Environment contrasts about two major lawfulnesss, business law and labor law (Bartol and Martin 1998, 71).3.1. Business LawGerman has a low level of corruption. This state of matter ranks thirteenth within least corruption country based on the Corruption Perceptions 2012 (Transparancy International 2012). Open international businesses in German ar free from teething limit in the daily business. Overall, the business law in German creates no different or contrast between the topical anesthetic company and foreign company assignment or the established company. Moreover, the reliable laws make the companies able to plan their investments in the strong way (Germany Trade and send 2013).Apart from it, the business law in Australia has their own Guidelines and effectual and consistent decision. The aim of government regarding to the Guidelines is to hold a irresponsible impact to the business conduct for companies in Australia (Australian Government 2011). quasi(prenominal) with German, Australia also categorized as one of the conception least corruption by 2012 (Transparancy International 2012). Australian Government is concerned about corruption. Moreover, people in Australia also considered corruption as a foul action for the environment (Bowman and Gilligan 2009, 438-452)3.2. Labour LawThere are iii main points according to proportion of the Labor Law in German and Australia. First of all, the legal working cadence for employee in German is eight hours per daytime (Liliane Jung 2011). Compared with Australia, which is eight hours per day, some(prenominal) countries seduce the like legal working hour (Work buns Info 2012). Secondly, the minimum working climb on in German are strictly applied by the government for employees in German. Hiring children for working, is forbidden by the law as stated in the YWPA (Young Workers Protection Act).Children at a lower place 15 years old are not allowed to work (Liliane Jung 201 1). The legal come along for working in Australia is also preceding(prenominal) 15 years old (Lawstuff 2010). This makes there is no different between the legal working age in German and Australia. Thirdly, the working delays in German are considered as a safe and have working environment. The companies in German have a great liability for a particular large social and community. In order to improve the working corresponds in German, health and safety are considered (Encyclopedia of The Nation 2012). Same with the working conditions in Australia, health and safety are required by the government as stated in National Employment Standards (NES) (AustralianGovernment 2009).3.3. AnalysisAccording to the standardizedity about the Business Law and Labor Law in German and Australia, two of the laws provide good opportunities for KeepCup in order to expand their business to German. KeepCup can be easily adapted to the Germany Laws and regulations because they don not need to totall y adapt with the laws in German.4. stinting Environment Economic environment includes the stability of business cycle, exchange rate and economic trends which include economic trends and growth (The Business and The scientific Environment 2008, 58-80).4.1. fanfare RateIn July 2013, the pretentiousness rate of Germany is at 1.92 percent. Since 1950, the pretentiousness rate of Germany has been fluctuating with average rate at 2.49 percent until 2013. With this percentage of inflation rate, German can be considered as a good place for investment. The catamenia inflation rate shows that the economic condition in German is in a good condition (Trading Economics 2013).4.2. Economic Trends and GrowthGerman is one of the heavily export countries in world (Trading Economics 2013). Since 10 years ago, the gross domestic product of German has been fluctuating. From 2004 till 2008, the gross domestic product of Germany was in positive number. Then in 2008 until 2010, there was an extreme decrease in the GDP of German which go pasted a bang at approximately -4.0. However, since 2010, the GDP of German has been going fluctuate at the positive number. Apart from it, recently the government of German is trying to maintain stability of GDP of Germany in the positive number. So, it can be a good condition for foreign investment in German, because they can make more profits if the economic condition in German growth (Randow 2013).4.3. AnalysisIn conclusion, both the inflation rate of German and also the economic trends and growth in German can be a good opportunities for foreign company to invest in German, particularly for KeepCup to expand their business to German.5. Socio-cultural EnvironmentSocio-cultural environment shows how the values of society influenced the working conditions (The Hofstede philia 2013).5.1. The cultural Dimension of Hofstede (The Hofstede Centre 2013)5.1.1. effect outperformAustralia and German have a similar index of index finger Distance . some(prenominal) countries are considered as Low Power Distance countries. This culture creates a good leaders style between the managers and employees. Participative and democratic lead are suitable for these two countries. deconcentrate decisions making creates a good quislingism between team members and the leader.5.1.2. laissez faire vs CollectivismAlthough the Individualism Index of Australia and German is slightly different, but both countries are considered as identity country. Australia is more single(a)istic than German, it is considered as passing individualisation country. Here people are more focused on their self-skills and individual performances. Moreover, Germany people are slightly more prefer to work as a team rather than working as an individual because the individualism in German is not as high as in Australia.5.1.3. Masculinity and Femininity Both Germany and Australian are considered as masculine. From the business point of view, people in both countr ies are more focus on performance in working and continuously try to do the best. Furthermore, with the masculine culture both people from these two countries are considered as hard worker.5.1.4. Uncertainty AvoidanceAustralia and German have different level of distrust barance. Germany can be considered as broad(prenominal) Uncertainty Avoidance, whereas Australian is medium precariousness avoidance. With the certain laws and legal policies in German, shows that Germany lack to creates certainty by providing details and avoid risks. In contrast, Australian likes to try red-hot things. People sometimes like to proceeds a risk for creating a strategy.5.1.5. terminal figure of OrientationGerman and Australia have the same term of taste which is Short Term Orientation. In business point of view, both countries are using fast strategy and have a measureable payback. They also make a decision based on the recent condition. uniform thinking is using more than reach the consens us.5.2. AnalysisThere are three similarities and two differences between Germany and Australian socio-cultural based on Hofstede Cultural Dimensions. Germany and Australian have the similarities in Power Distance, Masculinity and Term of Orientation. In contrast, German and Australian have the differences in individualism and uncertainty avoidance. However, these socio-cultural dimensions can be opportunities for Keepcup to invest in German, because the similarities are outweigh the differences.6. scientific EnvironmentThe technological environment reflects the current technological infrastructure and intercourse technology (Mosley, Pietri, and Megginson 1996, 82)6.1. Technological Infrastructure German is going fast in improving their infrastructure since last decade. Based on Germany Trade and Invest, now German is the second best tone of voice of infrastructure in the world, because German has some good logistic infrastructures. First of all, is the air of Hamburg which the s econd largest port container in the world. Secondly, are the over 250 inland ports which are providing an in effect(p) logistic distribution. Lastly, is the Frankfurt Airport which is the world s take downth largest cargo airport and one-ninth largest passenger airport (Germany Trade and Invest 2011). These three logistic infrastructures creates a good opportunities and simplicities for foreign company to distribute their products to German.6.2. converse NetworkCompared with Australia, German also has an ultra high speed internet with fiber middle interlocking and also wide revolve of mobile coverage. These modern communication lucre make the economic transactions and communications to national segment or even international segment easier and more efficient. (SAG Germany 2013).6.3. AnalysisThe cultivate technology infrastructure and communication network in German provide an opportunities for KeepCup to do investment in German. The simplicity of the logistic distribution make s KeepCup easily to distribute their product among German. Moreover, the wide coverage area for communication network in German provides and easygoing way to communicate between client to the company or company to company.ConclusionsBased on the SWOT analysis above, is exceedingly recommended for KeepCup to expand their business to Germany. The strengths of KeepCup are greater than their weakness. This condition makes KeepCup can be easily to invest in German in this stop consonant of time. Moreover, it also supported by the opportunities that super overcome the threat that KeepCup will encounter. Is highly recommended for KeepCup to start their investment to German archetypical of all with looking for certain local anesthetic caf to cooperate with them regarding to sell their reusable cups.9. Recommendations According to the weaknesses and the threat analysis, KeepCup will not be impacted with their weaknesses and threat in German. This happened because the strengths are overc ome the weaknesses of KeepCup and the opportunities for KeepCup are outweigh the threat that the company will contend. These conditions provide three recommendations for KeepCup according to their plan to expand their business to German1. KeepCup should expand their business in this period of time.2. KeepCup have to eliminate the weakness overcoming them with their strengths.3. KeepCup need to avoid the threats by outweighing them with their opportunities.