Market entry plan

Khoury6 categorises countertrade as follows see figure 7.

international market entry plan example

Traditionally these have concentrated on European markets where the markets are well known. The degree of risk involved, attitudes and the ability to achieve objectives in the target markets are important facets in the decision on whether to license, joint venture or get involved in direct investment.

Compensation buy-backs is where the supplier agrees to take the output of the facility over a specified period of time or to a specified volume as payment.

market entry strategy case study

Also, countries may wish to trade in spite of the degree of competition, but currency again is a problem. Without these four coordinating activities the risk of failure is increased.

market entry strategies advantages and disadvantages

Ways to concentrate include concentrating on geographic areas, reducing operational variety more standard products or making the organisational form more appropriate.

In direct exporting the organisation may use an agent, distributor, or overseas subsidiary, or act via a Government agency.

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Beating the odds in market entry