Essay Example on International Business: Overcome Political, Legal & Cultural Challenges

Paper Type:  Essay
Pages:  3
Wordcount:  595 Words
Date:  2023-01-11

For a business to succeed internationally, they have to keenly consider the supply, storage, distribution, marketing, human resources, and finance. If these aspects of the business are not well-handled issues may arise, and they affect the daily operations of the business. International business differs from domestic in that, for example, the business faces challenges related to marketing.

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International marketing challenges include political and legal differences, cultural differences, economic differences, trade restrictions, language differences among others (Meyer, & Peng, 2016). Ronald and Co. was a victim of international business challenges. Despite the company being profitable and treasured in America, they failed in the Caribbean countries especially Jamaica.

The company decided to expand to Jamaica in 1995 and 2005 they shut down the outlets (Max 2013). Although the company was in operation for ten years in Jamaica the business was no longer sustainable and they in October 2005 they were looking for someone to take over the franchise. Although external factors also contributed to the close down of the outlets the company failed to carry research before venturing in Jamaica.

The company, therefore, did not know that the Jamaicans preferred big hamburgers (Max 2013). They consequently failed in this important aspect that could have made them compete effectively with other fast food giants such as Burger King. The company was unable to market its products appropriately and ensuring the customers' expectations are met. To distinguish its products from those of the competitors they should have ensured that what they offered was customized to meet the needs of the Jamaica customers. Apart from the burgers being too small McDonald failed in Jamaica due to extensive licensing and the shaky economy.

Although the company failed in its endeavors in Jamaica the lessons learned can be applied in other countries (Max 2013). The company can evaluate the causes of the closure and ensure that when they are expanding in other countries, they carry out adequate research to establish the approach of the potential customer towards the products they plan to offer. The lessons learned can also be utilized by other companies that would wish to expand internationally.

A challenge such as that of failure to meet the expectations of foreign customers can be handled by ensuring that the products are better than those of the competitors (Meyer, & Peng, 2016). In this case, McDonald should have ensured that its hamburgers were relatively bigger than those of the competitors. The advantage of this action would be that the customers would find a reason for buying from them. This could, however, lead to loses if the production cost exceeds the price of the products. Secondly, the company could have attracted franchisees by reducing the requirements for operating under a McDonald name. This could attract investors, but the challenge would be that it could fail in meeting the company standards.


In conclusion, marketing is a critical activity for any business that aspires to excel both locally and internationally. The company should always invest in research before expanding in a foreign country. It is through research that they will know what the potential customers need thereby customizing the products to meet customer's needs. Additionally, they should be willing to negotiate the requirement with the franchisees instead of failing to listen to their opinions and ideas. Through this, they are likely to attract more franchisees because their requirements are what discourages people from investing in the business.


Meyer, K., & Peng, M. W. (2016). International business. Cengage Learning.

Max, M. (2013). CASE STUDY: Why Did McDonald's Leave Jamaica? 7 Reasons - A Look At Jamaican Franchising. Retrieved from

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Essay Example on International Business: Overcome Political, Legal & Cultural Challenges. (2023, Jan 11). Retrieved from

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