Beyond the Choice of Entry Mode - A case study of Micropower

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Beyond the Choice of Entry Mode - A case study of Micropower

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O knihe

Seminar paper from the year 2002 in the subject Business economics - Marketing, Corporate Communication, CRM, Market Research, Social Media, grade: Passed with Distinction (1,0), Växjö University (School of Management and Economics), course: International Marketing Strategies, 20 entries in the bibliography, language: English, abstract: Any company that starts to do business in foreign markets goes through a process,
which is triggered by proactive and/or reactive factors. This process starts generally by
finding and selecting a target market, decisions which frequently are made on the basis
of marketing research. An important part of the research is to locate the market entry
barriers, when entering in the foreign market. With this information the company has to
develop a strategy to enter the market. Within the strategy formulation the company also
has to choose an appropriate mode of entry. There are several different market entry
modes and no one is the correct one, since they all have advantages as well as
disadvantages. They are, however, more or less suitable depending on the company, its
resources, its products etc. (Czinkota, 1993, p. 329-331, Johansson, 1997, p. 208 ff,
Taylor, C. 2000).
However, a company's internationalization process does not stop here. As the company
gains experience from its current activities, it may want to make additional investments
in the market, due to factors that could be described as internal or external. These
factors could also motivate a change of entry mode. Extreme views even say that once
the internationalization process has started, it will tend to proceed regardless of whether
strategic decisions are made in that direction or not (Randoy, T. 2002, Wheeler, 1996).
Although a lot of theory has been written on internationalization and on the choice of
entry mode, there is little to be found on the internationalization process and particularly
on the changing of entry mo