European Business Essay Example | Topics and Well Written Essays - 1000 words

European Business - Essay Examplealso contains all the inevitable components to get sh atomic number 18 from this huge commercialize. It can also expand outside the EU.The major benefit of hit market is reduction in border costs. They are similar to import tariffs, because they also raise the expenditure of exports in the unusual market. A decrease in border costs has a great and constructive effect on integrating regions as a tariff reduction. It helps in manage creation and trade diversion and changes in the terms of trade. It also affects the incentives to invest.Reduction in border costs produces a reinforced competition on the home market and a better competitive position on the foreign market. It also increase the cost of production for exports and their reduction simultaneously improves home country firms position on foreign markets and exposes them to more intense competition at home.These are some general benefits that can further any business looking to expand in t he EU market. But for doing specific planning it would be appropriate to undertake a general quantitative analytic thinking of the social-economic functioning of the market, carry out a quantitative survey, undertake a qualitative analysis of the strengths and weaknesses of the market. These troika steps will help in formulating strategy to specific areas of the business. For doing this analysis it is appropriate to have a detailed data on following aspects.Once the reliable data i... 6. Prices can be easily compared because of Euro.7. Reduction in non tariff barriers8. acceptation of the Common External Tariff9. No threat of fluctuating exchange rates thanks to Euro.These are some general benefits that can facilitate any business looking to expand in the EU market. But for doing specific planning it would be appropriate to undertake a general quantitative analysis of the social-economic functioning of the market, carry out a quantitative survey, undertake a qualitative analysis of the strengths and weaknesses of the market. These three steps will help in formulating strategy to specific areas of the business. For doing this analysis it is appropriate to have a detailed data on following aspects.The socio-economic role of the market in the EU context.Balance and well-informed competition between the market competitors.The market role in promoting local production.Possible internal and immaterial partners in accomplishing this strategy.Once the reliable data is available about above said areas. It would be simplified for planners to formulate strategy for the expansion of Company in EU superstar market and beyond. Besides the benefits of single market there may be some threats or hurdles that may cause problems. It is of the essence(p) to consider these threats before implementing the expansion strategy. These hurdles may beLack of knowledge about the demands of marketLack of coordination between the trading partiesCultural or traditional differencesPur chasing power and price performer of different market within EU or outside EUAfter going finished all these preliminaries reliable information can be gathered. This data will be greatly instrumental in adopting a correct course of action. Once the planning and data collection phase is completed. It is snip for taking