Essays on The Raque Food Systems Assignment

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The paper 'The Raque Food Systems' is a wonderful example of a business assignment. Raque Food Systems is an industry that deals with machinery used in food packaging and baking equipment for industries that deal with frozen and refrigerated food since 1975. Expanding a business globally requires a lot of funds that the company should consider. The local market and competition; it is important to also look at the market structure especially the competition levels. The higher the completion the harder it will be for the business to penetrate the local market. Consider if they require an international partner; according to Benyon, J., and Dunkerley, D.

(2014), for various companies, it is hard to find a local partner when expanding abroad. It is important to have partners because they can help enable sales, while at the same time keeping costs down for the local offices of the company. Additionally, creating a partnership takes time which can be a year or more and hence requires due diligence to find the right partner to fit the company. For this reason, countries like the United States have companies whose main objective is to help local industries find appropriate partners abroad.

This industry eases the hustle for the company to find a partner on their own the process that in most cases is expensive and time-consuming. How beneficial the expansion will be to the business; will the business make more profits from the expansion or not. After considering the benefits, the company will expand its business in other countries. The market conditions in the country; the company should determine if the market conditions such as the tariffs applied are favorable so as to invest in the country.

For Raque Food Systems to consider investing in both Malaysia and Mexico, it has to look at the tariffs that apply in their line of business. How will the expansion affect the production capacity of the company; an expansion may increase or lower the production capacity of a country hence it is important for the company the effects that expansion will have on the production capacity of the company. A reduction in the production capacity will lead to lower returns in terms of the profits of the company and consequently, high production levels increase the profits of the company.


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