Readiness to Internationalize at Maynooth Natural Granite

Shingirayi A. Mutandiro – 6565816
Date: 14/11/14
ADM 3318C
Professor Lynn MacDonald

Executive Summary
Primary problem
Mr. Hyland is trying to find suitable markets for expanding his granite rock business profitably by relinquishing some control of his business. Mr. Hyland is also concerned with achieving a balance between his local business interests and family life in Canada.

Alternatives 1. Keep ongoing operations as is (status quo) 2. Service Boston, Hamburg and London only 3. Expand to Tokyo and Amsterdam (in addition to Boston, Hamburg and London)

Facts considered 1. There is a significant household gardening market, especially in USA 2. The local Canadian gardening market is saturated 3. The need to localize MNG’s granite products in international markets 4. The trading advantages for MNG brought about by NAFTA 5. The rising cost of auto-propane fuel 6. Mr. Hyland is fluent in English and French 7. Mr. Hyland plans to balance his local business and family life

Recommendation
After much careful analysis of Mr. Hyland’s primary problem, the recommended plan of action for Maynooth Natural Granite is to expand to Boston, Hamburg and London only.

Assumptions * Declining profit margins for MNG, since the local Canadian market is saturated * High possibility of stronger brand recognition in North America largely due to the benefits of NAFTA * Little brand recognition beyond Ontario, since MNG has not yet expanded overseas * Higher prices for MNG products due to the rising cost of auto-propane fuel * Similar tastes in gardening markets in both Ontario and North America, since packaging design will be kept the same in both markets * Mr. Hyland will face minimal challenges with this new venture as he has past importing