Discuss the different options and explain how you will enter the foreign market. (example, franchise, acquisition)
Company Rossy
Requirements for the Reports (2 pages)
Duedate october 7
Rossy is a Canadian regional chain of variety stores located primarily in the provinces of Quebec, Newfoundland, New Brunswick and Nova Scotia, Canada. The company was founded by Michael Rossy in 1949.
Conduct corporation research on sites like: www.msn.com, Yahoo Finance, Google Finance, Market Watch, Morningstar, Seeking Alpha, Financial Post, CNBC.com and Bloomberg.
Multinational Corporations (Rossy) are defined as firms that engage in some form of international business. Their managers conduct international financial management which involves international investing and financing decisions that are intended to maximize the value of the Rossy. The goal of these managers is to maximize their firm’s value. The Rossy objectives are to identify new markets to increase market share, invest excess cash, and ensure the soundness of any host country’s financial market. As the CFO you are asked to analyze the strengths and risk of a potential new market and prepare a report to present to the Board.
Overview of the Corporation.
a. Provide an overview of the corporation to include but not limited to, when and how it was incorporated, by who, the board of directors, specific interest of the corporation, its headquarters, size, regions of operation and strength in the market.
b. The Rossy wants to expand in new markets. Explain your reasons for choosing Mexico. State clear reasons for your choice of Mexico as a host country. Do a profile of the country, to include its strengths and weaknesses
c. There are different ways to enter a foreign market. Discuss the different options and explain how you will enter the foreign market. (example, franchise, acquisition). Choose a location in the foreign country (city). Explain why you chose the city
d. Identify the gap in the market. Explain the potential for growth, is there some evidence that consumers in the foreign country will purchase your product?
e. Discuss the competitive advantage of the corporation.