Reference no: EM133323140
Case Study: Sainsbury's Supermarket Pc a major British supermarket chain has appointed you as a consultant. Once the current coronavirus pandemic is over, the company is considering investing overseas as global expansion is perceived at this time to be a potentially important element of the company's long-term strategic goals. In particular Sainsbury's have been looking closely for some time at a number of diverse markets including Spain. In order to help with their decision marking, Sainsbury's Board of Management has requested you to compile a report regarding the attractiveness of Spain on potential return of investment
For your coursework you must evaluate the opportunities and risks presented by the given location of your choice. Based on your analysis, what would you recommend i.e. to invest or look for other options? Please ensure that vou give reasons for your recommendation
Question: Analysis of political, economic, cultural, legal and ethical risks in the country selected (30%] In relation to the country risk analysis you might considerladdress the following issues in your analysis including: What form of political system exists? (totalitarian/democratic}; what kind of economic policies exist? (Government controlled/regulated/free market]; what kind of social system? (regulatedfcontrolled by govt.) For political risk... the Root Model, applied in terms of instability risk; ownershipfcontrol risk; operations risk; transferfrepatriation risk. If you do not apply Root you should make use of other political risk indexesfindicators. What incidence of cultural/ethical risks exist, as evidenced by the existence of fundamental cultural differences between host and home (UK, in this case) countries - Hofstede's Cultural Dimensions can be applied, other factors such as the extent of govt. influence in business, product offerings, the significance of religion, the existence of an ethnic mix, the degree of toleration of differences, the extent of censorship of information. Legal risks - i.e., different legal systems and/or weak legal systems. Ethical issues such as bribery/corruption, poor working conditionsflow wages, oppression of minorities, environmental concerns if any. Ensure you do not simply describe the aforementioned. You must identify what risks exist to the business, as a result of identified systems, policies, cultural, legal and ethical risks.