CONTEXT: Webster Inc. is a privately-held, timber/wood processing company that produces both finished wood products and composite wood lumber It has reached production capacity for finished wood products and they have long-standing agreements in place to sell all that they can produce. However, for the composite wood lumber, they have considerable unused capacity. Webster believes there are significant growth opportunities in the global market with an increased market interest in sustainability and more specifically for composite wood products. Wood composite lumber is a relatively new, environmentally friendly product made from sawmill waste (sawdust and wood chips), recycled plastic. Along with a binding agent, the manufacturing process turns these waste products into a product that looks similar to wood lumber but is denser and stronger than wood lumber. The composite is also waterproof and weather-resistant, which makes it ideal for outdoor use. While it is initially more expensive than the treated-wood products, there are significant savings in maintenance costs over the long term. Webster Inc. has asked you to recommend a strategy(s) that would allow it to enter a global market effectively and efficiently. While the USA might be a logical choice, Webster prefers to consider other options due to past problems exporting wood products to the USA as well as the ongoing strained trading relations between Canada and the USA for all wood products.
ASSIGNMENT REQUIREMENTS: As a consultant, you must produce a report outlining an international market expansion for Webster Inc. that includes three key recommendations: Suggest a global market (only one country) that the company should enter Provide a strategic approach that explains how the company should enter and compete in the country of your choice (e.g, the global market) Specify the services that Webster should use from either or both the Canadian Federal and Provincial governments that would assist in carrying out your recommendations, Multiple reasons must be provided to support your recommended actions identified above. Some important areas to cover in your supporting rationale include: What is the trading relationship and outlook between Canada and your recommended country for international expansion? What is the likely target use for the composite wood-lumber in the recommended country? What are the benefits and disadvantages of your recommended entry strategy, considering the level of risk, investment, and return? What factors in the business environment of your recommended country could possibly help or hinder the company, based on your recommended strategy? How might Webster address these factors by utilizing the positive factors and minimizing or eliminating the negative factors? Which government services are most suited to help and fit your recommended strategy and why you have recommended them?
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