Assessment Cover Sheet

College/ School Name: College of Business -Management

Course Name: International Business

Course Code: 16SMGB222

Instructor Name: Hamsa Sarhan

Assessment One - Country Portfolio

Assessment Date: week 4- 3rd of July 2023
Assessment Time: 23:59 PM
Assessment Location: Submission on Edu Learn

Student’s Name: Munira Al Khashti

Student ID No: 1900649
Section:

INSTRUCTIONS
This research corresponds to the pillars of the PESTEL analysis for investment in foreign countries.
Your research will be focused on a country assigned by the instructor. You will research the country to
evaluate the feasibility of expansion into this market. Only selected and reputable sources (Please refer
to the list of resources provided below) are accepted on this assignment, and you must include the
source link on your response. You are required to do the following for each item listed in the report:
 Research the item.
 Specify the fact(s) from your research.
 Explain why the indicator is relevant for your chosen international business.
 Reference all your sources (add the link).
 This assessment covers SLO1,2&3

DO NOT WRITE IN THE AREA BELOW:

Mark ________/25
Percentage________/100

Feedback: _______________________________________________________________

Instructor’s signature: __________________________

Student’s Signature: ___________________________

AU Assessment Cover Sheet Version No. 1.0 Page 1/10

 Assessment Cover Sheet
TASK DETAILS:

We are going to choose a local business in Kuwait and see how it will perform in France

Task 1: Complete the tables below with the required information and answer the below question.

COUNTRY NAME, CAPITAL, Country name: France

AND CONTINENT IT Capital: Paris
BELONGS TO Continent: Western Europe
Political & Legal Indicators -SLO2 &SLO3
Government system 1. Semi-Presidential system of government with both the prime minister and the president of the country.
(Democracy/Totalitarian...) – 2. Explanation of Fact: Its semi-presential system points to the double executive republic. It means that the president of the country performs
SLO3 tasks in conjunction with the prime minister and a cabinet while the main liability of the state legislature is of the prime minister and its
cabinet. In short, president of the France cannot practice his power without the assistance of the prime minister.
3. Analysis of Fact: The country does not seem a good option for Lean to expand its operation within the country due to its sei-presential
government. Because it eventually causes great confusion regarding the responsibility for policy failure and success. In short, the semi-
presential system leads to inefficiency and confusion in the whole legislative procedure that may further create hurdles for the business in
terms of political structures during the process of international market entry strategy.
4. Link: https://portal.cor.europa.eu/divisionpowers/Pages/France-Introduction.aspx#:~:text=France%20is%20a%20republican%20State,and
%20the%20Senate%20(S%C3%A9nat).

Is it a corrupt country?
(Corruption Perceptions Index) –
SLO3
1. The Corruption Perception Index of France ranks at 72 positions on a scale from 0 to 100.
2. Explanation of Fact: The corruption perception index is an effective technique to observe the corrupt situation of the country. It mainly
uses the scale from 0 to 100 while 0 represents the highly corrupt state and 100 represents the remarkably non-corrupt state. Since France's
ranking is 72, it points to its desirable situation in terms of corruption.
3. Analysis of Fact: The acceptable corrupt situation in France is highly favorable for the company to expand its business operation within
the country. Because the low probability of corruption and fraud will help the company to boost its confidence and morale during the
process of marketing and sales strategies.
4. Link: https://www.globaldata.com/data-insights/macroeconomic/corruption-perception-index-of-france

AU Assessment Cover Sheet Version No. 1.0 Page 2/10


Is it a peaceful country or a
conflictive country? Is the country
involved in wars, is there political
or civil unrest? -SLO3
Does the country belong to a
trading alliance? – SLO2
The legal system (Common, Civil,
Theocratic) -SLO2
Discrimination laws -SLO3
AU Assessment Cover Sheet
Assessment Cover Sheet
1. The peaceful situation in France in terms of the business work environment
2. Explanation of Fact: There is no doubt that France has been widely involved in conflicts and war. However, it is now moving its concern
to sustain peaceful surrounding specifically for the business personnel. Numerous reasons reflect its nonviolent situation for business
upbringing such as it makes sure correspondence between foreign and local businesses.
3. Analysis of Fact: Since the country is good enough in terms of maintaining internal peace in business surroundings, it can be extremely
convenient for our business to manage its regular operation tranquilly in France. There might be numerous opportunities to further prolong
our business within the country that may eventually lead to greater economic growth and influence business development to a great extent.
4. Link 2: https://www.daytranslations.com/blog/7-reasons-business-france/
1. The trading alliance of France reflects its membership with World Trade Organization (WTO) since 1995 and General Agreement on
Tariffs and Trade (GATT) since 1948.
2. Explanation of Fact: France has been highly inclined towards the trading alliance to stable its business and economic conditions. The
alliance with WTO and GATT enhances its image worldwide as the most developed country in terms of trading.
3. Analysis of Fact: Since the country has a desirable trading alliance that is worldwide recognized, it may be an effective step for Lean-to
expand its operation in France. Because it will help it to expand its business to more other states and get recognized all around the globe.
4. Link: https://www.wto.org/english/thewto_e/countries_e/france_e.htm#:~:text=France%20has%20been%20a%20WTO,GATT%.
1. The Civil Law of France reflects its inclination towards statutes as per the various codes.
2. Explanation of Fact: France gets along with civil courts to resolve all private disagreements without requiring penalties.
3. Analysis of Fact: The civil law used in France is not quite desirable for our business to expand its operation within the country due to the
complexity of codes and the inflexible nature of civil law.
4. Link: https://guides.ll.georgetown.edu/francelegalresearch/legalsystem
1. Discrimination Laws in France are a highly concerned matter for authorities, specifically in terms of workplaces where most workers are
the victims of discrimination such on religion, race, sex, belief, etc.
2. Explanation of Fact: French labor law is highly inclined towards the principle of anti-discrimination. However, the law is applied
diversely. For instance, the first concern of French law of discrimination is established by the European law while another prominent
concern of the law resulted from the constitution.
3. Analysis of Fact: The prevalence of discrimination law will largely help the business to expand its operation without facing any internal
hurdles by the workforce. It will largely help the company to welcome a diverse workforce which is highly beneficial in producing
efficient results their way.
4. Link: https://leglobal.law/countries/france/employment-law/employment-law-overview-france/04-anti-discrimination-laws
Version No. 1.0 Page 3/10

Employment Law -SLO3
Economic & Social Indicators – SLO2 &SLO3
An economic system (Command,
market, mixed) -SLO3
Interest rate (Prime Lending rate) -
SLO3
AU Assessment Cover Sheet
Assessment Cover Sheet
1. Employment Law is another significant concern in France that provides an adequate level of protection to employees.
2. Explanation of Fact: Employment law in France is followed by the reforms of government and the progression in case. The fundamental
concerns of employment law include the arrangements regarding mutual bargaining and mutual termination, management compensation,
working schedules, and termination packages.
3. Analysis of Fact: The prevalence of employment law in France is a confidence booster for employees working within the county so it will
help the business. For instance, the French anti-discrimination law guarantees the protection of employees’ rights which eventually helps
them to increase their morale in producing highly effective outcomes for the company.
4. Link: https://leglobal.law/countries/france/employment-law/employment-law-overview-france/
1. The mixed economic system of France depicts the mixture of both systems named capitalism and socialism.
2. Explanation of Fact: The mixed economic system in France enables it to safeguard personal property and provides the economic freedom
to use capital depicting the capitalist feature while the socialist feature provides the country a facility to permit the government to interrupt
economic matters by gaining social objectives.
3. Analysis of Fact: The mixed economic system in France will largely help our business in terms of efficient production procedures and the
productive allocation of resources within the country without any hurdles. As a result, it will encourage healthy competition that will
enable our business to gain a huge profit margin.
4. Link: https://globaledge.msu.edu/countries/france/memo#:~:text=France%20has%20a%20mixed%20economic,the%20European
%20Union%20(EU).
1. The Prime Lending Interest rate in France is currently 4% in 2023 as compared to the previous rate3.9% in 2022 and 3.48% in the 2021
year.
2. Explanation of Fact: The prime lending interest rate is the interest rate charged by the commercial bank from preferred borrowers at their
loan amount. Although the trend of interest rate is consistently increasing, it is still lower and favorable for businesses and allows them for
taking on debts.
Version No. 1.0 Page 4/10

Inflation rate -SLO3
GDP PPP per capita SLO3
CRA (Coface) – SLO3
Global Competitiveness Index
(WE Forum) -SLO2
AU Assessment Cover Sheet
Assessment Cover Sheet
3. Analysis of Fact: Since the prime lending rate is not much higher, it will be another successful indicator for our business to expand its
business activities within the country by taking debts in case of need. Since opening a new business in a new culture will require enough
funds that will be fulfilled with the help of a bank, our business first will get in-depth knowledge about the financial culture of France.
4. Link: https://tradingeconomics.com/france/bank-lending-rat
5. Reference: Chapter four: Difference in Culture of the Book named International Business, Competing in the Global Marketplace. Slide: 31
1. The inflation rate in France is currently 5.1% in 2023 May as compared to the previous year’s rate of 5.9%
2. Explanation of Fact: The inflation rate refers to the trend of high prices of goods and services in the country that eventually lowers the
overall demand of consumers as per the economic rule. France has been good in this manner as the inflation rate has decreased recently.
3. Analysis of Fact: Our business is good enough in this manner due to the decreasing tendency of the inflation rate within the country. It will
help the business to use effective strategies for increasing consumer demand without any external pressure.
4. Link: https://tradingeconomics.com/france/inflation-cpi
1. GDP PPP Per Capita in France is currently more than $46000 in 2023 May as compared to the previous year’s lower figure.
2. Explanation of Fact: GDP points out the gross domestic product of the country by depicting the overall economic circumstances of the
country. The increasing rate of GDP PPP per capita in France largely reflects the desirable state of its economy.
3. Analysis of Fact: The increasing GDP PPP per capita in the country will significantly help our business to expand its production and
operation in an affluent economy by sustaining a successful image around the globe.
4. Link: https://tradingeconomics.com/france/gdp-per-capita-ppp
1. Country Risk Assessment in France is A3, and Country Climate Assessment is A1.
2. Explanation of Fact: The risk assessment of A3 and climate assessment of A1 depict the acceptable conditions in France. Because Coface
has risks from low to very high such as A1, A2, A3, A4, B, C, and D). since both risks in France come under the category of A, it reflects
that the country desired position in terms of the potential risk.
3. Analysis of Fact: Since the risks in France are not much higher, it is another opportunity indicator for our business to expand its operation
effectively within the country without any fear of potential menace.
4. Link: https://www.coface.com/Economic-Studies-and-Country-Risks/Comparative-table-of-country-assessments
1. Global Competitiveness Index by World Economic Forum in France scored 78.81 points out of 100 in the year 2019 with an increasing
tendency in upcoming years.
2. Explanation of Fact: Global Competitiveness Index is a fundamental depiction of the country’s capacity to offer better economic
conditions through productivity growth with the help of numerous policies, and factors.
Version No. 1.0 Page 5/10

Population size and growth rate -
SLO2
Adult literacy rate – SLO2
Cultural norms and values: relate
the social norms and values to the
Masculinity/Femininity Index by
Hofstede (include score)
-SLO2
AU Assessment Cover Sheet
Assessment Cover Sheet
3. Analysis of Fact: The higher point of the global competitive index in France with an upward trend in future shows that it will highly be
effective for our business expansion in terms of economic development. Because the better economic condition within the country will
largely support the business progression rapidly.
4. Link: https://tradingeconomics.com/france/competitiveness-index
1. The population size and growth rate in France are currently 67. 9% in 2023 with an upward trend as compared to the previous year’s rate
of 67.4% in 2022 and 66.7% in 2021.
2. Explanation of Fact: The increasing trend of population size and growth rate in France depicts the country’s ability to increase the overall
demand as well as the total consumption of goods and services.
3. Analysis of Fact: Considering the growing population in France, our business will be more likely to capture a huge demand of people
within a short period. Because more people mean more demand that requires more production of goods and services that will largely
benefit our business in increasing annual or monthly sales.
4. Link: https://www.statista.com/statistics/459939/population-france/
1. The adult Literacy rate in France is currently 99%.
2. Explanation of Fact: The adult literacy rate points out the fact that people above the age of 15 can read and write. It reflects that people
living in France have a higher inclination to learn new things by increasing their knowledge.
3. Analysis of Fact: The exceptional adult literacy rate largely signifies a good indicator for our business expansion as more people in France
can sense the good taste and hygiene concerns considered by our bakery. It will largely influence their buying decision and make them
bound to increase their demand.
4. Link: https://wisevoter.com/country-rankings/literacy-rate-by-country/
1. Hofstede's Score of 43 in France depicts that it is a feminine state by largely focusing on coordination and connections and scoring 68 in
terms of power distance which is lower than other countries such as India depicting a lower acceptance of inequality in power and prestige.
2. Explanation of Fact: The acceptable rate of power distance and the feminine status within the country points out the fact that France is
open towards building strong relationships without considering inadequate matters.
3. Analysis of Fact: The desirable cultural value of France largely points out the success factors for our business to expand within the country
due to the high inclination towards collaboration.
4. Link: https://www.abacademies.org/articles/A-cross-cultural-study-of-consumer-decision-making-in-1528-2678-25-5-477.pdf
Version No. 1.0 Page 6/10

Religion and beliefs -SLO2
Technological & Environmental Indicators -SLO3
Climate (Köppen): Group,
precipitation type, level of heat –
SLO3
Number of patents registered –
SLO3
AU Assessment Cover Sheet
Assessment Cover Sheet
5. Reference: Chapter four: Difference in Culture of the Book named International Business, Competing in the Global Marketplace. Slide: 26
1. Religion and Belief in France reflect the multiple religions including Catholicism, Muslim, Jewish, Buddhism, etc.
2. Explanation of Fact: The majority of people in France follow the catholic religion which is around 47% of people. While 4% of people
are Muslim, 2 of people are protestants and Buddhists, and 1% belong to other religions. Whereas 33% of people do not follow any
religion and 9% are unspecified of any religion.
3. Analysis of Fact: Since the country is not inclined towards any certain religion, the country has a lower tendency toward extremist
behavior. In this way, our business may find another opportunity to carry on its business activities without indulging in any religious factor.
4. Link: https://culturalatlas.sbs.com.au/french-culture/french-culture-religion
5. Link: https://www.cia.gov/the-world-factbook/countries/france/
1. Koppen Climate in France can be categorized as Temperate with adjustable weather.
2. Explanation of Fact: The country largely takes pleasure in cool winters and slight summers. However, Mediterranean areas reflect
relatively hot summers and slight winters. The warmest months’ temperature depicts a humid climate within the country is around 22° C
while almost four or more months’ temperature is around 10° C.
3. Analysis of Fact: The pleasant climate in France is one of the most fundamental indicators of our business's success within the country.
Because it will lower the tendency of rotten bakery items very soon.
4. Link: https://www.weatheronline.co.uk/reports/climate/France.htm
1. Ranking Patent Applications in France reflects its 5th position around the globe.
2. Explanation of Fact: French organizations have particularly registered almost 10,537 patent applications for the market of Europe in
which most of the companies are related to the industrial sector. While it is more likely to increase in upcoming years.
3. Analysis of Fact: The growing rate of the number of patents registered in the country largely signifies a desirable state for our business in
terms of fulfilling all the registration requirements.
4. Link: https://lafrench-fab.com/news/france-ranks-5th-in-the-world-for-patent-applications/#:~:text=France%2C%20a%20land%20of
%20innovations,of%20which%20were%20in%20industry.
Version No. 1.0 Page 7/10
 Assessment Cover Sheet

Task 2: After researching and analyzing the above indicators, explain if the chosen country is a good choice to transfer your
business and state your reasons for your choice using 300 words-SLO1 & SLO3

Since most of the factors are highly favorable for our business to expand operations in France, it is a great opportunity for our
company in terms of getting entry into the international market and gaining a huge profit margin. For instance, the political and legal
factors based in France largely depict that our business will smoothly enter the international state without bearing any crucial legal or
political challenges. Although numerous factors encourage our business to open branches in France such as a lower tendency of
corruption within the country boundaries, a peaceful business environment, and membership with major trading alliances including
the World Trade Organization and General Agreement on Tariffs and Trade. Besides, the favorable employment laws such as
ensuring a high level of protection for employees are another indicator that our business will work efficiently without any internal
barriers to employment.
While the economic and social factors in France are the other source of good indicators for our business. For instance, the decreasing
inflation rate and the increasing rate of GDP per capita point out that our business will be able to capture a huge market share within
the country. Besides, the growing population and growth rate along with the adult literacy rate enable our business to increase the
total demand for our services by acknowledging all the essential features of our products and their linked value-added features.
Furthermore, the environmental indicators of a cool and pleasant climate are additional determinants of our business's success in
France as it has almost calm weather. In this way, our bakery business will be more likely to succeed in numerous ways such as
making a huge number of breads without being afraid of its being rotten due to climate.
In a nutshell, our business is highly dependent on the factors that are described above concerning France such as political, economic,
and climate. Considering all the positive aspects, it is a win-win situation for both our business and the country to expand operations
in terms of long-term financial benefit and economic growth.

AU Assessment Cover Sheet Version No. 1.0 Page 8/10

 Assessment Cover Sheet
Task No. Student is able to do Assessment Assessment Task
Task Assigned Marks to
Maximum Student:
Marks:
1 Government system-SLO3 1.5
2 Corruption Perceptions Index score-SLO3 1.5
3 Political or civil unrest/war-SLO3 1.5
4 Trading alliances-SLO2 1.5
5 Legal system -SLO2 1.5
6 Discrimination laws-SLO3 1.5
7 Employment laws-SLO3 1.5
8 Economic system (Command, market, mixed)-SLO3 1.5
9 Interest rate (Prime Lending rate)-SLO3 1.5
10 Inflation rate-SLO3 1.5
11 GDP PPP per capita (US$ per annum) (World Bank)-SLO3 1
12 CRA (Coface)-SLO3 1
13 Global Competitiveness Index (WE Forum)-SLO2 1
14 Population size and growth rate -SLO2 1.5
15 Adult literacy rate-SLO3 1
16 Cultural norms and values: relate the social norms and values to the 1.5
Masculinity/Femininity Index by Hofstede (include score)-SLO2
17 Religion and beliefs -SLO2 1
18 Climate (Köppen): Group, precipitation type, level of heat-SLO3 1
19 Number of Patents registered 1
20 Explanation SLO1 & SLO3 1
Assessment Assessment Total
Total Marks achieved by
Marks Student:
Achievable
:
25

AU Assessment Cover Sheet Version No. 1.0 Page 9/10

 Assessment Cover Sheet
Please use the allocated textbook, PowerPoint slides and secondary research to complete this task. The
following websites may be useful:
1. CIA Factbook - https://www.cia.gov/library/publications/the-world-factbook/geos/ku.html
2. Economic Factors: World Bank - http://info.worldbank.org/etools/kam2/KAM_page1.asp
3. Country Risk Assessment: COFACE - www.coface.com
4. Corruption Perceptions Index: Transparency International Organisation – www.transparency.org
5. Global Competitiveness Index: WE Forum – www.weforum.org
6. Foreign currency – www.xe.com
7. Business – www.doingbusiness.org
8. Environnent - https://unstats.un.org/unsd/envstats/index.cshtml
9. Hofstede – www.hofstede-insights.com
10. BBC country profile - http://news.bbc.co.uk/1/hi/country_profiles/default.stm
11. Social and Technological Indicators - https://data.worldbank.org/data-catalog/world-development-
indicators https://data.worldbank.org/data-catalog/world-development-indicators
12. Economic freedom, rule of law - http://www.heritage.org/index/ranking
13. Human Development Reports - http://hdr.undp.org/en/countries
General country information - https://globaledge.msu.edu/

AU Assessment Cover Sheet Version No. 1.0 Page 10/10