How can companies evaluate and select specific foreign markets to enter

1. How can companies
evaluate and select
specific foreign
markets to enter?

2. How Many Markets to Enter
• The Company must decide how many countries to
enter and how fast to expand
• Companies’ entry strategy typically follows one of two
possible approaches :

4. Choosing Between Developed and Developing Market
Developed nations account for about 20 percent of the world’s
population.
The challenge is to serve the other 80 percent, dealing with issues
of affordability, equity, and infrastructural deficiency.
This imbalance is likely to get worse, as more than 90 percent of
future population growth is projected to occur in less developed
countries.

5. Grameenphone marketed cell phones to 35,000 villages
in Bangladesh by hiring village women as agents who
leased phone time to other villages, one call at a time.

6. Colgate-Palmolive rolled into
Indian Villages with video vans that
showed the benefits of tooth
brushing.

7. These marketers capitalized on the potential of developing
markets by changing their conventional marketing practices
Selling in developing areas can’t be “business as usual”.
Economic and cultural differences abound, a marketing
infrastructure may barely exist, and local competition can be
surprisingly stiff.
NOTE..

9. Many companies prefer to sell to neighboring countries
because they understand them better and can control their
entry costs more effectively

10. PROXIMITY
Psychic Proximity determines choices. Given more familiar
language, laws, and culture, many U.S. firms prefer to sell in
Canada, England, and Australia.

11. Recap :
• Decide number of markets to enter
• Decide between developed and developing markets
• BRIC Countries and marketing
• Evaluate potential market

13. CREDITS :
www.openaboard.com
www.channelpronetwork.com
wikis.engrade.com
www.slideshare.net
research.utep.edu
News.softpedia.com
www.clickbd.com
Imgsoup.com