ENTRY AND EXPAND :TOPIC 4 INTERNATIONAL BUSINESS"

What do mean of entry into a new market?

• Company has to develop new strategies for the business process and an understanding of the new environment is crucial to ensure success

• The process of entering is only in through franchising

• The market entry is not critical decision in international business

• Resources are only determine that lead to successful market entry

Three crucial decisions that are based on:

• Where to enter

• When to enter

• How to enter

• For what to enter

International business activity can take many forms. It basically divided into two categories as follow:

• Non-Equity Modes of Entry

• Internationalization

• Globalization

• Equity-Based Modes of Entry

Type of Equity-Based Modes of Entry?

• Exporting

• Turnkey Projects

• Licensing

• Franchising

• Management Contract

Type of equity based modes entry?

• Wholly Owned Subsidiary

• Joint Venture

• Strategic Alliances

• Import

Advantages of joint venture?

Factors Influences Mode Decision?

• Strategic

• Environmental

• Transaction

• Management