A.

SWOT Analysis of Brodo Indonesia

Strength
1. Brodo does all the design work by himself so that it becomes more detailed and
thorough.
2. Brodo products have a relaxed design but can be used also for official pickles
according to the tastes of young people today.
3. Brodo creates products that are waterproof so it is not easily damaged.
4. Brodo is full of innovative young people that can make adorable shoe design.

Weakness
1. Brodo brand is not widely known by the people of Indonesia.
2. Stores are not yet available in all cities, Brodo only opens branch stores in Bandung,
Jakarta, Surabaya, Bekasi and Kuningan City.
3. Limited products produced.

Opportunity
1. Brodo has been supported by the mayor of Bandung, Ridwan Kamil who was given
the opportunity to dominate the original shoes made in Indonesia.
2. Brodo products have been widely bought by foreign communities..
3. Brodo products are produced by following the trends of young people both at home
and abroad.
4. Shoe market potential in Indonesia’s still very big.

Threat
1. Indonesian people think that the quality of local products is not as good as foreign
products.
2. Threat of substitution, there are currently a lot of substitute goods that can replace
products made by companies such as Brodo.
3. Competitive rivalry, the number of competing companies must make Brodo look for
product differentiation to make it look different from its competitors.
4. The bargaining power of suppliers is quite high.
5. Competitor with high technology may create better shoes.
6. Buyer power, Brodo brand buyers are a segmentation of young people, especially for
men, where they are quite smart targets because they will continue to be able to see new
innovations and the latest styles of a fashion that exists today.
Foreign Market Entry Strategy
Internationalization can refer to a company that takes steps to increase its footprint
or capture greater market share outside of its country of domicile by branching out into
international markets, the key element of successfully entering a new region is choosing
the best market entry strategy it is very important on achieving the company goals and
higher profitability, market entry is the bringing in of products or associated products into
the new target market.

Here are some entry strategies that will be suitable for Brodo Indonesia Company :

1. Export

Export activities are activities that many companies do to develop their businesses in
the global market becuase it’s gives an opportunity to learn overseas markets. This entry
strategy does not require funds to develop operations in other countries, especially if
export activities are carried out in neighboring countries so that transportation costs can
be obtained easily, and only requires a small investment and is relatively risk free
compared to establishing a company or opening a branch in another country because the
manufacturing of this entry strategy is home based thus, it is less risky than overseas
based.

2. Joint Venture

This is a common use for partnering with local businesses to enter foreign markets.
This entry form is used for large, competitive markets but does not require a lot of costs
and operational personnel. Joint venture agreements are adopted in larger, more
competitive markets where there is an obstacle to direct entry, one of the goals of this
entry strategy is that companies that provide economic power to the parent company get
mutual benefits, because if we look at world business companies usually have its own
advantages. For this reason, joint ventures can combine the expertise of each entity. So
the new entity will have many advantages that can attract buyers to buy products
 References List
Will kenton. (Juny 18,2019). Internationalization. URL:
https://www.investopedia.com/terms/i/internationalization.asp. Accessed December
12,2019
Emerhub. (May 08,2017). Choosing the Best Market Entry Strategy for Emerging
Markets. URL: https://emerhub.com/insights/choosing-best-market-entry-strategy-
emerging-markets/. Accessed December 13,2019
Essays, UK. (November 2018). Adidas Market Entry Strategy. Retrieved from
https://www.ukessays.com/essays/marketing/adidas-entering-into-an-emerging-market-
marketing-essay.php?vref=1. Accessed December 13,2019