Analysis of Clothing Company H&M

Analysis of Clothing Company H&M

Professor’s Name


However, in the event the person doesn’t exist then it would be good to have a pre-visit of the area some months before the intended day of the visit. This will allow you to talk to some of the staff in the human resource department of the organization that you intend to visit in the foreign country. Therefore, this would be a possibility for acquiring essential information about the country.

Any business to be carried out to foreign nations needs efficient evaluation process to gather more information on whether the company’s product will thrive. First, I will go through the proposal and then conduct a feasible test of the country on their cultures. I will find out mode of dressing of most people that are morally acceptable and backed by the government. I will also check on the role of the government and their policies towards foreign investors.

Chapter 6

United Kingdom is not considered an economic risk since they are among the top in the Gross domestic product (GDP). The strengths the Australia has are a more significant percentage of natural resources, modern infrastructure, the strong economy and good business environment. However, their weaknesses are constant climate change that sometimes might affect small business operating in the region. Politically, the nation embraces democracy, and they are neutral when it comes to their policy making and enforcement. We also trade with China which economically stable and it ranked position two in the Gross domestic product in the world. Regarding strengths, they have a strong domestic market, low public and external debt and perhaps a substantial industrial base. Some of their weaknesses are; they have an older population, absence of transparency, a high corporate debt and geopolitical tensions with other nations. China is a communist, but they are politically stable since it has been like that for the decade but that comes with little or no transparency. Other nations like North America and Asia where we export are also stable politically and economically (Godart, Maddux, Shipilov & Galinsky, 2015).

Based on the CIA information system, North America uses the common law system that is based on the English model. On the other hand, China uses the civil law that is mostly influenced by the government making and enforcing various laws. Therefore, the legislature retains the power to interpret the statues within the same nation.

I have gone through the Overseas Private Investment Corporations (OPIC) and the project; there is no evidence that the H&M clothing company have bought insurance from OPIC.

H&M Company and patent have lived in two separate worlds which brought some collision in the market in the recent past. Our Company stated that patents require some refreshers in the industry and not large Companies like the H&M who have made lots of strides. The design patents as it is called in the United States of America tend to be the more useful form of protection for the things such as the shape of a product, which is perhaps different in Europe since it involves the protection of even the cover surface decoration like the fabric patterns or perhaps the stitching designs. The Company has been so reluctant on the issue of property intellectual property due to their market strengths. However, the Company has a name for itself which is being protective of its franchise, imagery, and character.

Chapter 8

H&M Company enters the market through the creation of a bilateral trade agreement between the continents. For example, the Company uses the existing economic blocs, the bilateral and multilateral trade agreements Apart from the European Union; H&M has also taken advantage of the bilateral trade agreement between the EU and US. The Company has adopted the best approach in my opinion.

H&M Company’s strategy depends on the type of entry into the foreign market. This allows it to pull out, cut ties or perhaps buy its ventures. However, the strategies come with many risks.

Nations like Europe, Asia and others have embraced the products from our company with the government reducing the tax levels. The customers have also participated by being purchasing the products. The host nations have accepted to do business with our Company.

According to the H&M Company website, the business believes in impacting the society positively. The Company strives to participate in the primary events like the environmental days for the countries they serve.

Chapter 9

H&M’s mission statement is to offer their customers fashion and quality at the best price. The Company spends more time to states that quality is more than making.

Our Company operates as a shareholder model since all the parties affected by the management must be considered and treated justly and fairly. This is because the clients are included from any compensation in the case of a wrong decision made by the managers.

The Company is planning to extend its market within China despite the problems in government policies. In the long run, the Company intends to reach out to all the continents with their products.

The Company is involved in the quality control stigma type initiative to look through its products to make sure that they only give quality to the customers. These will promote a standard in the production process (Pahl & Mohring, 2008).


Giertz-Mårtenson, I. (2012). H&M–documenting the story of one of the world’s largest fashion retailers. Business history, 54(1), 108-115.

Godart, F. C., Maddux, W. W., Shipilov, A. V., & Galinsky, A. D. (2015). Fashion with a foreign flair: Professional experiences abroad facilitate the creative innovations of organizations. Academy of Management Journal, 58(1), 195-220.

Pahl, N., & Mohring, W. (2008). Successful Business Models in the Fashion Retail Industry. Strategic Audit of H&M compared to ZARA.

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