3. Identify the factors that influence a firm’s choice of entry mode.
4. Evaluate the pros and cons of acquisitions versus greenfield ventures as an entry strategy.
This chapter focuses on the basic market entry decisions for firms. The six most common foreign entry...
serves more than fried chicken at its China stores. Many local favorites like Congee is served to local tastes. Congee is cheap to produce and very profitable.
PROS & CONS OF FRANCHISING
1, The multinationalretailer can...
1. Why do some MNCs prefer to enter certain markets with a liaison office first? 2. What are the possible drawbacks of 50-50 joint ventures? 3. Draw up a list of the respective pros and cons of licensing.
r r r r r r r r r r r r r r r r r r r r
Please underline the pro & cons of the company marketing strategies.
What suggestions and comments would you give to the relative company?
What do you learn from this case?
CASE 2: The expansion of McDonald’s in China
The Chinesemarket is a great opportunity for...
• Outline the advantages and disadvantages of the different modes that firms use to enter foreign markets.
• Identify the factors that influence a firm’s choice of entry strategy.
• Evaluate the pros and cons of acquisitions versus greenfield ventures as an entry strategy.
increase numbers of people to enter to their website.
Pros | Cons |
* Increase brand awareness to new market segment * Advertising and communicating via internet is low cost and direct to customers * With internet technology the company can customize its communication to fit with each...
Division, which owns KFC and a number of
other brands in the country.
In 1992, after the Chinese government
granted foreign companies greater access
to markets, KFC China’s managers gradually developed the blueprint that would
transform the chain. Like every other multinational in China...
Draw up the list of the respective pros and cons of licensing and franchising
i. Has proven to be profitable means for penetrating foreign markets.
ii. Is not very demanding on the company’s resources.
iii. It is appealing to small companies that lack...
have to continuously keep evolving (Sproles, 1981). Also, the international activity, in the wake of globalization, has become a crucial dimension for the growth of fashion retailers in past two decades, who have been aggressively expanding to foreign markets (Wigley and Moore, 2007). Emerging...
Option 2: Learn from this mistake and penetrate other developing marketsPros:
Variety of market segments
These developing markets may hold less competition.
More capital will be needed in expanding and partnering with other countries
Will hurt brand image...
CEO has asked you to formulate a recommendation for how to expand into Western Europe. Your options are (a) to export from the US, (b) to license a European firm to manufacture and market the computer in Europe, and (c) to set up a wholly owned subsidiary in Europe. Evaluate the pros and cons of...
Introduction to limited editions – consumers got confused as to which ones were marketing strategies and which is actually limited edition
Historically, what are the key differences in terms of consumer behaviour between Japan and other luxury markets? Describe the impact of...
$1.6 billion investment to establish a joint venture with the state-owned
Shanghai Automotive Industry Corporation (SAIC) to build Buick sedans. At the time the Chinesemarket was
tiny (fewer than 400,000 cars were sold in 1996), but GM was attracted by the enormous potential in a country
larger sales base
Profit per unit can be increased (learning-by-doing) via cost
Multinational firms have substantial occasions to learn from the
different practices they encounter in separate international
Multimarket competition (Ex. HSC vs. NutraSweet)
choices to gain initial success in the U.S. viafranchising while progressively expanding in Hong Kong where success has been previously achieved is paramount.
2) Transition from niche to mainstream markets
a. Jollibee needs to modify its regional South Pacific brand strategy that has a limited...
pre-acquisition phase you should define the strategic goal underlying the acquisition. You
should consider the pros and cons of achieving the goal via use of an acquisition versus internal
development or a strategic alliance. You should identify potential targets and identify the sources of
important issue in their current agenda, as seen in this case study, is expansion. Gaining more and more market share in different countries has obviously pros and cons. On one hand it could help Giordano to increase its profits and acquire a dominant leading position in the Asian clothing industry; on...
and Growth of the Market 386 Attractions of the Eurocurrency Market 386 Drawbacks of the Eurocurrency Market 388 The Global Bond Market 388 Attractions of the Eurobond Market The Global Equity Market 389 389
Global Expansion, Profitability, and Profit Growth 408 Expanding the Market: Leveraging...