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Methods Of Entering Methods Of Entering Foreign Market Foreign Market

International marketing,Methods of Entering Foreign Market

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Page 1: International marketing,Methods of Entering Foreign Market

Methods Of Entering Foreign Methods Of Entering Foreign MarketMarket

Page 2: International marketing,Methods of Entering Foreign Market

Important Entering StrategiesImportant Entering Strategies Licensing/FranchisingLicensing/Franchising ExportingExporting Contract ManufacturingContract Manufacturing Management ContractManagement Contract Mergers & AcquisitionsMergers & Acquisitions Third Country LocationThird Country Location Assembly OperationsAssembly Operations Strategic AllianceStrategic Alliance Manufacturing FacilityManufacturing Facility Joint VenturesJoint Ventures Counter TradeCounter Trade

Page 3: International marketing,Methods of Entering Foreign Market

Licensing And FranchisingLicensing And Franchising

No Capital RequiredNo Capital Required Avoiding GovernmentAvoiding Government Market TestingMarket Testing Avoid CompetitionAvoid Competition Return on Obsolete productReturn on Obsolete product Tested SuccessTested Success

Page 4: International marketing,Methods of Entering Foreign Market

ExportingExporting

Low VolumeLow Volume High Cost Of ProductionHigh Cost Of Production Poor InfrastructurePoor Infrastructure Government RegulationGovernment Regulation No Permanent InterestNo Permanent Interest

Page 5: International marketing,Methods of Entering Foreign Market

Contract ManufacturingContract Manufacturing

Low CommitmentLow Commitment Give Freedom To Quit Any TimeGive Freedom To Quit Any Time Immediate ReturnImmediate Return Government SupportGovernment Support

Page 6: International marketing,Methods of Entering Foreign Market

Management ContractManagement Contract

Sale of productsSale of products Commercializing Know HowCommercializing Know How Difficulty in adaptationDifficulty in adaptation

Page 7: International marketing,Methods of Entering Foreign Market

Turnkey ProjectsTurnkey Projects

Page 8: International marketing,Methods of Entering Foreign Market

Third Country LocationThird Country Location

Page 9: International marketing,Methods of Entering Foreign Market

M & AM & A

Page 10: International marketing,Methods of Entering Foreign Market

Strategic AllianceStrategic Alliance

Page 11: International marketing,Methods of Entering Foreign Market

Fully Owned ManufacturingFully Owned Manufacturing

Trade BarriersTrade BarriersTo get complete controlTo get complete controlAvoiding Potential CompetitorsAvoiding Potential Competitors

Page 12: International marketing,Methods of Entering Foreign Market

Assembly OperationsAssembly OperationsImport Duty StructureImport Duty StructureGovernment SupportGovernment SupportLess RiskLess Risk

Page 13: International marketing,Methods of Entering Foreign Market

Joint VenturesJoint VenturesDealing With GovernmentDealing With GovernmentPublic SupportPublic SupportManaging Cultural BridgeManaging Cultural BridgeSharing RiskSharing Risk

Page 14: International marketing,Methods of Entering Foreign Market

Counter TradeCounter Trade

TypesTypes BarterBarter Buy backBuy back Compensation DealCompensation Deal Counter PurchaseCounter Purchase

ReasonsReasons Central PlanningCentral Planning Forex ProblemForex Problem Obsolete ProductsObsolete Products Market TestingMarket Testing