IM Final
Four Competitive Advantage Competencies
1. Create value for which customers are willing to pay
2. Are rare
3. Are difficult to imitate or substitute for
4. Allow the firm to be organized and fully exploit the competitive potential
of these competencies
Steps of the Strategic Planning Process
1. Analyze the company's external environments
2. Analyze the company's internal environment
3. Define the company's business and mission
4. Set corporate goals
5. Quantify goals
6. Formulate Strategies
7. Make tactical plans
Why do businesses perform market entry strategies?
to look to see who is going to be the most desirable when in search of
foreign business
Must know before planning a strategy:
- It is NOT a one size fits all situation. It demands a customized approach
- Your company must have clear objectives for going international
- Your brand will have to tailor strategies to fit the needs of the brand
Licensing
allows businesses to grant foreign entities the right to use their intellectual
property, such as trademarks or patents
, Franchising
involves replicating a successful business model in foreign markets
What do Licensing and Franchising offer?
A quicker market entry but require careful management
Countertrade
- Companies trade each other's goods instead of offering their products for
purchase
- While legal, the system does not have specific regulations like other forms
of market entry do
- Cost-effective choice for many businesses because the practice may
exempt them from import quotas
Acquisition and Mergers
market entry via acquisition or merger with foreign businesses offers speed
and access to established customer bases and distribution networks
- its high-risk, high-reward
Turnkey
- companies that plan, develop, and construct new buildings for their clients
- constructs an operational facility for clients so they can simply "turn a key"
Market Screening
a modified version of environmental scanning in which the firm identifies
desirable markets by eliminating the less desirable ones
Environmental Screening
Four Competitive Advantage Competencies
1. Create value for which customers are willing to pay
2. Are rare
3. Are difficult to imitate or substitute for
4. Allow the firm to be organized and fully exploit the competitive potential
of these competencies
Steps of the Strategic Planning Process
1. Analyze the company's external environments
2. Analyze the company's internal environment
3. Define the company's business and mission
4. Set corporate goals
5. Quantify goals
6. Formulate Strategies
7. Make tactical plans
Why do businesses perform market entry strategies?
to look to see who is going to be the most desirable when in search of
foreign business
Must know before planning a strategy:
- It is NOT a one size fits all situation. It demands a customized approach
- Your company must have clear objectives for going international
- Your brand will have to tailor strategies to fit the needs of the brand
Licensing
allows businesses to grant foreign entities the right to use their intellectual
property, such as trademarks or patents
, Franchising
involves replicating a successful business model in foreign markets
What do Licensing and Franchising offer?
A quicker market entry but require careful management
Countertrade
- Companies trade each other's goods instead of offering their products for
purchase
- While legal, the system does not have specific regulations like other forms
of market entry do
- Cost-effective choice for many businesses because the practice may
exempt them from import quotas
Acquisition and Mergers
market entry via acquisition or merger with foreign businesses offers speed
and access to established customer bases and distribution networks
- its high-risk, high-reward
Turnkey
- companies that plan, develop, and construct new buildings for their clients
- constructs an operational facility for clients so they can simply "turn a key"
Market Screening
a modified version of environmental scanning in which the firm identifies
desirable markets by eliminating the less desirable ones
Environmental Screening
