Wednesday, October 16, 2019
International Business Management Essay Example | Topics and Well Written Essays - 3000 words - 1
International Business Management - Essay Example This essay stresses that the Argentina market fit very well with ContinentalÃ¢â¬â¢s business strategy. Basically, the core business strategy of Continental is based on its continuous growth strategy. ContinentalÃ¢â¬â¢s expansion program enables the company to maximize the distribution of its operating costs within a specific geographic area. The said expansion strategy enables the company to have the power to offer competitive market prices to its target subscribers. Even before its existing technology becomes obsolete, the management team behind Continental ensures that the company has already invested a large sum of money not only on new technologies but also in other non-traditional cable services like residential and commercial voice, video and data communications services. This paper makes a conclusion that given that Mr. HostetterÃ¢â¬â¢s business strategy is based on being decisive and aggressive entry into new markets, the plan of Continental to enter into a joint-venture with Fintelco is very promising. For this reason, it is safe to conclude that ContinentalÃ¢â¬â¢s expansion approach is very much consistent with the business strategy of Mr. Hostetter. With regards to their concern with the significance of currency risk involved, the management team behind Continental should not be bothered with the fact that FintelcoÃ¢â¬â¢s revenues would be dominated in pesos while its liabilities, interest expense and programming costs would be dominated in US dollars since the exchange rate between the two countries has been pegged by the Argentine government.