Plan for Global Expansion

In this ever-expanding global market, if you do not now work for a global organization, it is very likely someday you will. Even if you work for a local company today, selling goods internationally is becoming ever more common. As you consider this likelihood, you have to think about the kind of financial and budgeting considerations that come into play. After all, the sale of goods over the Internet means a product sold in your local town may be purchased by someone around the world. In some cases, companies make the decision to purposely seek after and expand their sales initiatives internationally to increase their market share and improve their odds of reaching the right customer.  Global expansion requires many elements of analysis and planning. Some of those factors are beyond the scope of this course, but the budgeting and financial planning of those activities are important. These planning ideas can include budgeting for costs related to human resources, training, marketing, real estate, legal filings. For this week, you are being asked to act as a planner for a company expanding into a global market. You may wish to reflect on what Nutella did to expand out of Italy. Please see the instructions below. Assignment Instructions:  Think of a company in your area that makes a product that you really like. If you cannot think of a company or product you can create one. Now, imagine you are asked to present a budget and financial plan to help the company to take that favorite local product globally. If you wish, you may select a single country to focus on. In your capacity as a budgeting and financial management consultant for this company, you have been asked to create a financial plan with a 3-year annualized budget for expansion. Your plan should include budgeting analysis of licensing, legal recognition, trademarking, partnerships (if needed), marketing, advertising, warehousing, distribution, quarterly market reporting, and other elements you wish to add. Your goal is to recommend a budget that will cover the expansion of the product distribution into at least three new countries during the 3 years. Remember, this is a marketing piece showing your skills as a budgeting and financial consultant. You really want to impress your clients with a solid budget and analysis on how to make their local product a global product.

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