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Assess a Potential Foreign Market

10/08/2020 Client: anasa Deadline: 7 Days

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Be sure to start this assignment early because you will explore the resources provided in the NCU library and elsewhere. An important part of graduate studies is developing research skills, and this assignment is designed to help and encourage you to develop those skills. This week, you will fulfill the role of foreign market analyst for the XYZ Beverage Company that you worked for in your Week 3 assignment. Remember, XYZ is a North American major producer of healthy and natural fruit and vegetable drinks that are sold in grocery stores and other food and beverage retailers in the U.S., Europe, and parts of Asia.


XYZ Beverage company has what is called a geographic divisional structure, meaning that the overall company is divided into three fairly autonomous business units for each of its major markets: the U.S., Europe, and Asia. All units follow the same basic strategy of selling healthy and natural fruit and vegetable drinks but are left to devise their own strategies of how and where to sell the beverages within their regions. For example, Japan is a great market for healthy drinks because Japanese consumers are relatively wealthy and very health conscious, plus there are over 100 million of them. As a result, Japan was the first Asian market XYZ expanded into in the 1980s. But Japanese consumers typically prefer less sweet flavored beverages than U.S. consumers, so sugar levels in the beverages were reduced. Also, the Japanese had distinct fruit preferences, so fruit flavors such as yuzu, plum, and Nashi pear were added to or replaced flavors popular in the U.S.


After successfully completing your product development project last week, the VP of Marketing in the Asian division was so impressed by your work that you are now assigned a new project within the VP’s division. XYZ Asia is looking for new markets for its healthy beverage line. Europe is saturated, and XYZ is already well established in China and Japan. So, they hope to expand elsewhere. But where should the company expand, since there are over 200 nations in the world?


The VP hired an expensive consultant to develop a preliminary list of target countries. This consultant wants you to create a report that offers basic knowledge about two countries on that list. Here is the list in alphabetical order: Australia, Brazil, South Africa, South Korea, and Taiwan.


For this week’s assignment, complete the following:



  • Select two countries from the list of five above. They can be countries that you already think would be good markets for XYZ’s beverages, or simply countries you personally want to learn more about.

  • Create a section for each country you selected. Within each section, provide subsections on the following areas (remember to give each subsection a heading).

    • Provide a basic background on the country Such as location (including approximate distance from XYZ’s main market, the U.S.), population, and basic geographic characteristics.

    • Explain basic economic information such as recent annual Gross Domestic Product (GDP), GDP per capita, foreign direct investment (FDI): inflows and outflows and the net of inflows minus outflows, along with growth, if available. Foreign Direct investment is the flow of private firm capital in and out of the country. For example, if Ford Motors Company sends capital (funds) to China to build a factory there or buy a Chinese automobile manufacturer that is classified as an FDI in China. If a Chinese auto firm, like Dongfeng, builds a U.S. factory or buys a U.S. auto firm, this is an outflow of Chinese FDI. Generally, a country wants to be a net recipient of FDI because it means foreign firms are seeing their country as a good business environment with a desire to invest there.

    • Provide and interpret the basic cultural information. Culture is the characteristic of a particular group of people, including their language, religion, social habits, cuisine, and many other identifying traits.



  • Conclude your paper with your basic assessment of the country as potential markets for XYZ Beverage Company. XYZ’s healthy and natural fruit and vegetable drinks typically cater to wealthier, health-conscious consumers, who are willing to pay a premium price. How might the culture’s characteristics relate to the selling and consumption of XYZ’s products? Overall, what is your assessment of the country as a market for the firm’s products?


Support your assignment with at least three resources. Because the information required by this assignment might be challenging to find, you are encouraged to give this assignment adequate time. Be sure to explore the resources on countries provided by the NCU library including the CIA World FactBook and Mergent Online. If you’re having any difficulty finding these and other library resources, this is a great opportunity to contact library personnel for assistance. They love to help students and can be contacted in multiple ways such as chat, text, email, and phone. If you plan ahead, you can even set up a Research Consultation appointment with a Reference Librarian.


Length: 5-7 pages, not including title and reference pages

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