Chapter 8 1. What are the advantages and disadvantages or using licensing as a market entry tool? Give examples of companies from different countries that use licensing as a global marketing strategy. Licensing: Advantages: • Low cost entry alternative • Allows licensor to circumvent tariffs, quotas, or similar export barriers • Limits political risk and risk of expropriation • Provides additional profitability with little initial investment • Provides method of circumventing tariffs
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MKT 564 Global Marketing Final Exam Question #1 (50 points) XCF Company wants to raise $9 million with debt financing to finance the entry into a foreign market. These funds are needed to finance working capital, and XCF will repay them with interest in one year. The company is considering three options: a) Borrowing U.S. dollars from a U.S. bank at 8% interest rate A= $9,000,000 x 1.09 Total Payment @1yr = $9,810,000 USD b) Borrowing British pounds from the Royal Bank of
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ENTRY STRATEGIES OF POLISH SMES TO FOREIGN MARKETS To: Prof. Ewa Baranowska-Prokop Ph.D. Performed by: Alexander Omelyashko 50803 Warsaw 2013 Entry strategies of Polish SMEs to foreign markets Introduction The number of SMEs operating on the international markets is constantly skyrocketing since friendly policy of the EU authorities towards small firms and diminishing barriers of the international trade. Nowadays the percentage of SMEs to the whole number of all enterprises is constantly
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GLOBAL STRATEGYAND MULTINATIONALS' ENTRY MODE CHOICE W. Chan Kim* INSEAD Peter Hwang** Baruch College Abstract. This paper makes a case directed towards establishing the importance of global strategic considerations in choosing multinationals'entry mode. Specifically,it is our contention that beyond the environmental and transaction-specificfactors well established in the literature to affect the entry mode decision, we should also consider the strategicrelationshipa multinational envisages between
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Chinese market entry strategy for the Turner’s Ice Cream Introduction This report sets out to analyse the selected UK ice cream manufacturer – the Turner’s strategy to entry to China’s ice cream market. It uses SWOT analysis approach analyses the company’s strengths, weaknesses, opportunities, and threats. The report has identified a general marketing entry strategy which will help the company developing new market effectively. It contents the introduction of the Turner’s company in brief,
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increases in marketing spending to boost both domestic and foreign (tourist) sales. As the number of tourists are growing each year, Foody can leverage Introduction Foody Inc. is a greater toronto area restaurant conglomerate. Sales forecasts for foody were requested by ZYRRMB Associates. ZYRRMB has analysed data provided by Foody Inc., which includes sales, operating costs, marketing expenditures. ZYRRMB has also been provided and sought out other external factor data such as foreign spending, national
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Shamuratova Mary Kay Cosmetics: Asian Market Entry Q1. First, choosing between China and Japan Mary Kay Cosmetics (MKC) management need to focus on profit and financial performance. This is the main objective for every company. Japan market is saturated and if MKC go to this country, it will start bringing profit in 4-5 years. Thus, it will take more expenses. Chinese market is not saturated, there a few foreign competitors and it allows to think that Chinese entry brings profit earlier and be cost advantage
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These actions include sales, production, IT, accounting etc. These activities are divided into support and primary activities. Primary Activities – Design, creation and delivery of the product. They are: 1. R&D 2. Production 3. Marketing 4. Sales Support Activities – Inputs that allow the primary activities to occur 1. Information Systems 2. Logistics 3. Human Resources Global Expansion Practices 1. Expand the market for your domestic
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Country Entry Options A company’s success in a new country primarily depends on the mode of entry it opts for. The mode of entry affects the decisions which a company has to make, when facing challenges like those of marketing and production strategies. The mode of entry also decides the control a company has on the operations in the new market, and the way investment and the revenue is divided between the parent and the collaborated company. There are different modes through which a company
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BUSINESS AND CORPORATE STRATEGIES 6 CHAPTER 4 – ENTRY DECISION AND MODES OF ENTRY 7-8 CHAPTER 5 – ENVIRONMENTAL FACTORS 9 CHAPTER 6 – MARKETING STRATEGIES 10 CHAPTER 7 – INTERNATIONAL HUMAN RESOURCES 11 CHAPTER 8 – POLICIES ON ETHICS AND CORRUPTION 12 CONCLUSION 13 CHAPTER 1 - FOREWORD This is the study of the United Overseas Bank of Group (UOB) regarding their foreign operation including how they enter the foreign market, what are the environmental factors that
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