Strategic Planning for Market Entry

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Exam Review: Chapter 1 Instructor Shan A. Garib, Summer 2013

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Market Entry Methods:

What two methods of market entry strategy exist? What are the two types of strategies exist under each of the two? Give examples of each

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Market Entry Methods:

INVESTING ENTRY STRATEGIES:

Transfer Related – transfer of property or using the property of another company

•What are the four types of transfer related strategies are there?

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What are the costs and benefits of Licensor and the licensee

What are the costs and benefits of franchisee/franchisor?

Strategic Planning for Market EntryStrategic Planning for Market Entry

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Market Entry Methods:

INVESTING ENTRY STRATEGIES:

Foreign Direct Investment Related – acquiring property, assets, projects or other companies

•What are the four types of FDI available•Give one example for each

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Cooperative joint venture Equity joint venture

What are the costs and benefits of these two JVs?

Strategic Planning for Market EntryStrategic Planning for Market Entry

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What are the drivers/reasons Behind Successful International Joint Ventures?

Strategic Planning for Market EntryStrategic Planning for Market Entry

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What are the costs and benefits of Greenfield Operations

Strategic Planning for Market EntryStrategic Planning for Market Entry

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Acquisitions◦ Quick access to the local market◦ Good way to get access to the local brands

Mergers Offer the company more flexibility than

acquisitions in the areas of human resources, suppliers, logistics, plant layout, and manufacturing technology.

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What is STEP 1-4 in the strategic planning process?

What is Michael Porters 5 forces?

The Strategic Planning ProcessThe Strategic Planning Process