Presentation on theme: "Why go global ? Trigger factors: Domestic markets are found ’bad’ ( - ) - qualitative and quantitative evaluation Foreign markets are found ’good’ ( +"— Presentation transcript:
Why go global ? Trigger factors: Domestic markets are found ’bad’ ( - ) - qualitative and quantitative evaluation Foreign markets are found ’good’ ( + ) - qualitative and quantitative evaluation The question of e.g. market share - costs of keeping the domestic position vs penetrating foreign markets
Analyses. One) The SWOT Internal analysis: - S for Strengths - W for Weaknesses External analysis: - O for Opportunities - T for Threats
Analyses. Two) The PEST This is external, only. P for Political – situation in the nation E for Economical – situation… S for Sociol – situation… T for Technological – situation… Try ’PESTing’ the O & T of your SWOT, please.
Levels of ownership is levels of commitment (?) Wholly owned (90% or more) Joint ventures: - major ownership (50% or more) - minor ownership (less than 50%) Portfolio investment (10% or less)
Operation modes (How?). One: Trading Imports - indirect or direct Exports - indirect or direct These are strategies ! Are there ’easy’ and/or ’difficult’ modes of trading ?
Operation modes (How). Two: Investments (FDIs) Acquisitions of existing operations - horizontal / vertical / diagonal integration Greenfield investment - horizontal / vertical / diagonal integration These are strategies ! Advantages and disadvantages ? View point !
Other strategic decisions Deciding which markets to enter Deciding the marketing program (4 or more Ps) Deciding the marketing organization - towards a global organization / glocal organizations