Tahmid Choudhury
Unit 5 - Assignment 1
Why Trade
Internationally ?
In this report I will be discussing two contrasting businesses about how
they play their part of trading internationally and differentiate the
difference between the two. The two businesses I have chosen are Apple
who are part of the technology / electronics trade whereas Nike are part
of the sports / clothing industry.
Section 1)
Apple being one of the biggest tech companies in the world and as every
business wants to be the best so they will try everything to achieve that
which would involve them franchising , expanding and going
international. Apple products get manufactured in China
as one every single product it says ‘ Made in China ’ and
from there Apple receives help from the US Export
Administration Regulations ( EAR ) to export their
products. The business currently sells in all economies of
the world including continents like Africa , Middle East ,
Asia Pacific and Europe.
https://www.apple.com/uk/legal/more-resources/gtc.html ( Export )
https://www.apple.com/choose-country-region/ ( Countries they
Operate in )
The reason why I believe Apple sells internationally is because of their
mission statement which is ‘ To bring the best personal computing
products and support to students, educators, designers, scientists,
engineers, businesspersons and consumers in over 140 countries around
the world. ’ This alone already proves why Apple sell internationally
including that Apple have marketed so well that their brand attracts
nearly everyone's attention and that some people debate which software
shall they choose whether IOS ( Apple ) or Android ( Samsung , Nokia
and Google+ ) and this leaves Apple with a winning place as they are a
solo brand whereas the android have to team up just come against Apple.
Also to an extent , Apple will want to win some more customers as they
can generate more revenue but find out more about their products from
different countries as they can get feedback from all over the world
which will help them develop their new products.
, Tahmid Choudhury
Unit 5 - Assignment 1
http://panmore.com/apple-mission-statement-vision-statement ( Apples
Mission Statement )
If you look at Nike on the other side of things , Nike dont manufacture
they own products. The business contracts private factories to make their
products for them and dispatch them out to their stores located all
around the world. Nike may not manufacture their own products but all
around the world has contracts with 533 factories located in 41 different
countries which shows that they export differently to Apple. However ,
Nike do operate in 170 different countries which does show that they
market their products in different types of
economies like Apple as Nike is one of the top
brands in their sector. Also Nike themselves supply
through private suppliers based in South Asia such
as Taiwan as it's cheaper for them to supply and
make returns on them which is good for them
because it allows them to save money in the long
run.
https://sourci.com.au/blog/nike-products-are-manufactured-in-over-41-
countries ( Factories )
https://media.corporate-ir.net/media_files/IROL/10/100529/nike-gs09/
global.html ( Stores in How Many Countries )
https://www.investopedia.com/articles/markets/051416/nike-stock-
analyzing-5-key-suppliers-nke.asp ( Suppliers )
I believe that Nike sell internationally is because of their mission
statement too as they say ‘ To bring inspiration and innovation to every
athlete in the world ’ and this proves that they want to distribute they
products all around the world as they want to be the best sports brand
that athletes and normal people can use and wear instead of using other
brands. Also Nike seeking this chance of global expansion they did it so
they can grow as a business and gain more consumers which would allow
them to generate more revenue and grow internationally.
Businesses have access to finance when it comes to them importing and
exporting their products. This allows businesses along with the second
party to have some reassurance that the buyer has paid and they know
they've moved the products with ease and trust. However there is risk in
this as the business and importer / exporter will have some trust issues
with this as they will never know what could happen but the type of
Unit 5 - Assignment 1
Why Trade
Internationally ?
In this report I will be discussing two contrasting businesses about how
they play their part of trading internationally and differentiate the
difference between the two. The two businesses I have chosen are Apple
who are part of the technology / electronics trade whereas Nike are part
of the sports / clothing industry.
Section 1)
Apple being one of the biggest tech companies in the world and as every
business wants to be the best so they will try everything to achieve that
which would involve them franchising , expanding and going
international. Apple products get manufactured in China
as one every single product it says ‘ Made in China ’ and
from there Apple receives help from the US Export
Administration Regulations ( EAR ) to export their
products. The business currently sells in all economies of
the world including continents like Africa , Middle East ,
Asia Pacific and Europe.
https://www.apple.com/uk/legal/more-resources/gtc.html ( Export )
https://www.apple.com/choose-country-region/ ( Countries they
Operate in )
The reason why I believe Apple sells internationally is because of their
mission statement which is ‘ To bring the best personal computing
products and support to students, educators, designers, scientists,
engineers, businesspersons and consumers in over 140 countries around
the world. ’ This alone already proves why Apple sell internationally
including that Apple have marketed so well that their brand attracts
nearly everyone's attention and that some people debate which software
shall they choose whether IOS ( Apple ) or Android ( Samsung , Nokia
and Google+ ) and this leaves Apple with a winning place as they are a
solo brand whereas the android have to team up just come against Apple.
Also to an extent , Apple will want to win some more customers as they
can generate more revenue but find out more about their products from
different countries as they can get feedback from all over the world
which will help them develop their new products.
, Tahmid Choudhury
Unit 5 - Assignment 1
http://panmore.com/apple-mission-statement-vision-statement ( Apples
Mission Statement )
If you look at Nike on the other side of things , Nike dont manufacture
they own products. The business contracts private factories to make their
products for them and dispatch them out to their stores located all
around the world. Nike may not manufacture their own products but all
around the world has contracts with 533 factories located in 41 different
countries which shows that they export differently to Apple. However ,
Nike do operate in 170 different countries which does show that they
market their products in different types of
economies like Apple as Nike is one of the top
brands in their sector. Also Nike themselves supply
through private suppliers based in South Asia such
as Taiwan as it's cheaper for them to supply and
make returns on them which is good for them
because it allows them to save money in the long
run.
https://sourci.com.au/blog/nike-products-are-manufactured-in-over-41-
countries ( Factories )
https://media.corporate-ir.net/media_files/IROL/10/100529/nike-gs09/
global.html ( Stores in How Many Countries )
https://www.investopedia.com/articles/markets/051416/nike-stock-
analyzing-5-key-suppliers-nke.asp ( Suppliers )
I believe that Nike sell internationally is because of their mission
statement too as they say ‘ To bring inspiration and innovation to every
athlete in the world ’ and this proves that they want to distribute they
products all around the world as they want to be the best sports brand
that athletes and normal people can use and wear instead of using other
brands. Also Nike seeking this chance of global expansion they did it so
they can grow as a business and gain more consumers which would allow
them to generate more revenue and grow internationally.
Businesses have access to finance when it comes to them importing and
exporting their products. This allows businesses along with the second
party to have some reassurance that the buyer has paid and they know
they've moved the products with ease and trust. However there is risk in
this as the business and importer / exporter will have some trust issues
with this as they will never know what could happen but the type of