Market Entry Strategies

Introduction Market entry strategies refer to modes of accessing a share of clients en masse in a new environment. This paper will give an overview of different market entry options available and their extent of applicability in the Abu Dhabi National Hotels Company’s effort to enter the US market. It will also evaluate Abu Dhabi National Hotels Company by considering indirect market entry options in entering the US market. Market entry strategies Market entry strategies can be divided into two broad categories: indirect and direct market. In choosing either of these, one should have analyzed the company in context using various analytical tools. The analysis should focus on the companies’ strengths, weaknesses, opportunities available and threats that the company might be experiencing. It also involves accessing balancing of costs, control and risks. A company should be determined to operate internationally before choosing a market entry strategy. It should also be convinced also understand that she is about to undertake a long term inflexible commitment whose withdraw would be costly. The results that these will deliver will determine, in the case of Abu Dhabi National Hotels Company, the best entry strategy (Jalan, 2004:234). Direct entry strategy. Exporting There are various modes of direct market entry. In the case, of Abu Dhabi Company exporting is not an option since it is a service delivery company. Besides, this strategy would result in reduced control and higher risks in investment. In addition, Abu Dhabi National has a higher asset base, therefore, can engage in a promising investment strategy (Jalan, 2004:234).

Licensing and Franchising Licensing and franchising can be a viable alternative if the Company wishes to have minimal financial and

References: Andexer Thomas (2008) Analysis and Evaluation of Market Entry Modes Into the Asia-Pacific Region. Norderstedt, GRIN Verlag Chee Harold, Harris Rod (1998), Global Marketing Strategy. London. Pitman Publishers Gillespie Kate, Jeannet Jean-Pierre, Hennessey H. David (2011) Global Marketing. Mason OH. Cengage Learning. Gilligan Colin, Martin Hird, (1986) International Marketing: Strategy and Management Kent-Great Britain Mackays of Chatham Ltd. Jalan P. K. (2004) Industrial Sector Reforms In Globalization Era. New Delhi, Prabhat Kumar Sarma Tielmann Viktor (2010) Market Entry Strategies: International Marketing Management Norderstedt, GRIN Verlag Yoshino Michael Y.and Rangan Srinivasa U.(1995). Strategic Alliances: An Entrepreneurial Approach to Globalization Harvard, Harvard University Press Zisa Letizia (2010) Positioning and Opportunity Assessment Report with Main Focus on Germany, China USA, New Zealand. Norderstedt, GRIN Verlag.