Explain the rationale for Starbuck’s joint venture with Tata Beverages, critically evaluate the strategy that informed the investment and comment on whether this was a viable investment decision into the Indian market.

International Business Theory and Strategy

Assignment Task and word count

Conduct an analysis of the foreign direct investment (FDI) strategy of Starbucks in India based  on Dunning’s eclectic (OLI) paradigm. (2200 words +/- 10%).

Unit Learning Outcomes Assessed.
1. Apply theory relating to strategy in the context of international organisations.

2. Critically evaluate theories relating to strategy, and recognise and assess their role in  contemporary international business practice  Early Career/ World Class Professional Skills (PLOs) being assessed or developed/assessed.

AOL Programme learning outcomes PLO1 and PLO3 are assessed:

Identify and interrogate relevant data and literature sources using methods
appropriate to level of study and to discipline 

Apply theory to discussion and analysis

Recognise, explore and reflect on key ethical issues as they affect own and others’
practice.

Recognise, explore and reflect upon corporate social responsibility and sustainability
issues as they affect different stakeholders.

Assignment Details and Instructions.

The aim of this assignment is to conduct an analysis, based on Dunning’s eclectic (OLI) paradigm, of Starbucks’s foreign direct investment (FDI) in India.

Thus:

1. Read the Sage Business Case Study provided: ‘The Starbucks Joint Venture in India: Making Expansion in India as Successful as It Was in China’, available on the Moodle area.

Conduct research using online library resources to find further information on Starbuck’s investment in India.

2. Explain, through application of Dunning’s eclectic (OLI) paradigm, the (O)wnership/Firm- specific and (I)nternalization advantages of Starbucks entry into India and the (L)ocation advantages of India. Use Dunning’s eclectic paradigm to structure your report

3. Explain the rationale for Starbuck’s joint venture with Tata Beverages, critically evaluate the strategy that informed the investment and comment on whether this was a viable investment decision into the Indian market.

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