COLLEGE OF ADMINISTRATIVE AND FINANCIAL SCIENCES

Week No: 10
nd
2 Trimester, AY 2020-2021
HOMEWORK NO. 3
MARKS

COURSE CODE BSIB514 COURSE TITLE INTERNATIONAL MARKETING

SECTION TIME DAYS THD ROOM
STUDENT NAME ID NO. DATE

TOPIC Choice of entry mode.

ASSIGNMENT
DIRECTION & Direction: Prepare a write-up of approximately 250 words for the
REQUIREMENT/ requirements given below:
S
(Identify the ILOs to The factors affecting the choice of entry mode depends on the following factors:
be assessed at the
end of each ● Internal factors
requirement.
Include the rubric or ● External factors
marking scheme for
each
item/requirement.) ● Desired mode characteristics

● Transaction specific behavior

1. Assuming that you are about to choose an international market from any of the
GCC countries for exporting the female accessories. Apply the above in an analysis
of factors which might affect your business.

ASSIGNMENT
OUTPUT There are various elements that influence an organization's selection on the
entrance method for female accessories from GCC nations to any foreign country,
making it a difficult process with certain trade-offs between different entry options.
Of course, the best entrance mode should be determined by the potential reward. It
is qualitative rather than quantitative criteria that are being selected.

The following are the four variables that go into deciding on an entrance mode:

1. a single in-house determinant

2. 2 elements outside of your control

3. 3 favored features of the mode

4. transaction-specific actions and procedures

1
Prepared By Reviewed Approved by

Dr. Dr. Maria Cecilia P. Lagaras Dr. Vinodh Natarajan Dr. Marluna Urubio
Vishwas Chakranarayan Programme Head Associate Dean College Dean
Course coordinator
Date: Date: Date: Date:
 COLLEGE OF ADMINISTRATIVE AND FINANCIAL SCIENCES
Week No: 10
nd
2 Trimester, AY 2020-2021
HOMEWORK NO. 3
MARKS

COURSE CODE BSIB514 COURSE TITLE INTERNATIONAL MARKETING

SECTION TIME DAYS THD ROOM
STUDENT NAME ID NO. DATE

THE FACTORS OUTSIDE OF YOU

The size of the global market

The size of the market is an important consideration when deciding on an entry

strategy. Smaller countries will be more lenient when it comes to entrance methods
that require a higher degree of investment, such as wholly owned subsidiaries or
partnership agreements, because they have a larger market size. Consumer
products for women are abundant in developed economies like the United States,
Europe, and Japan. As a result, investing more in markets that are expanding would
be beneficial. Women's accessories like cosmetics and grooming accessories aren't
as popular in some countries/territories, such as south India, as they are in more
developed markets. Because most women in these south Asian countries have been
trained to be homemakers, they tend to be conservative.

Regulations of the Government:

Political/legislative factors in the foreign market have an impact on the form of

entrance chosen by the company. Most nations' governments have made it a
requirement for international companies to have a local business partner.
Regulations governing international trade as well as customs procedures in certain
countries promote the use of local enterprises to provide information on the
locations and contacts of goods and services on the local market. As well as
cultivating local relationships and sales negotiations and establishing distribution
channels, local partners assist in disseminating a brand that originated in another
country.

2
Prepared By Reviewed Approved by

Dr. Dr. Maria Cecilia P. Lagaras Dr. Vinodh Natarajan Dr. Marluna Urubio
Vishwas Chakranarayan Programme Head Associate Dean College Dean
Course coordinator
Date: Date: Date: Date:
 COLLEGE OF ADMINISTRATIVE AND FINANCIAL SCIENCES
Week No: 10
nd
2 Trimester, AY 2020-2021
HOMEWORK NO. 3
MARKS

COURSE CODE BSIB514 COURSE TITLE INTERNATIONAL MARKETING

SECTION TIME DAYS THD ROOM
STUDENT NAME ID NO. DATE

GCC and foreign disparities in sociology.

Competition:

Another essential consideration when choosing a market entry strategy is the

presence of competitors in the foreign market.

Major investments have been made in nations like Singapore, Hongkong, and so on
because of the amount of infrastructure development in these places. As a result,
these locations have evolved into Asian marketing powerhouses on the global stage.

Probability of Failure: It is necessary to take into account the country's risks and
demand uncertainty.

Political Risk: Firms are hesitant to commit additional resources to a market

because of political unpredictability and stringent restrictions.

The GCC nations are reluctant to participate in some markets because of the danger
of dynamic inflation and deflation.

Foreign-market operational issues are a source of operational risk.

Costs of manufacturing and shipping: The cost of manufacturing varies depending

on where it is done.

3
Prepared By Reviewed Approved by

Dr. Dr. Maria Cecilia P. Lagaras Dr. Vinodh Natarajan Dr. Marluna Urubio
Vishwas Chakranarayan Programme Head Associate Dean College Dean
Course coordinator
Date: Date: Date: Date:
 COLLEGE OF ADMINISTRATIVE AND FINANCIAL SCIENCES
Week No: 10
nd
2 Trimester, AY 2020-2021
HOMEWORK NO. 3
MARKS

COURSE CODE BSIB514 COURSE TITLE INTERNATIONAL MARKETING

SECTION TIME DAYS THD ROOM
STUDENT NAME ID NO. DATE

Factors inside an organization the size of the company

A company's scale makes it easier to expand internationally over time. Due to a lack
of resources and the desire to attain high levels of control or make resource
commitments, GCC nations may be forced to devote significant resources to
overseas markets. The 'firm size' may be determined by the amount of sales or the
number of employees at the time of international entrance.

The Company's Goals Are As Follows:

Female accessories used by GCC women are often less than worldwide standards,
hence companies operating in the GCC will have lower sales and manufacturing. A
variety of people place orders with businesses based on recommendations from
acquaintances and family members located in other countries.

Direct familiarity with overseas markets is a consideration for allocating more

resources to international markets.

Product qualities and specifications, such as price, weight, value, durability, and
composition, play a vital role in selecting where a product is made and where it will
be sold. A product's value/weight ratio determines whether it should be exported
directly or if it should be imported first. Because goods vary so considerably in their
qualities, usage, and necessity, the nature of the product influences the method.
Epilators/hair smoothers (high complexity) may need service both before and after
the sale because of their technological nature. Organizations in many overseas
markets will employ a hierarchical structure.

4
Prepared By Reviewed Approved by

Dr. Dr. Maria Cecilia P. Lagaras Dr. Vinodh Natarajan Dr. Marluna Urubio
Vishwas Chakranarayan Programme Head Associate Dean College Dean
Course coordinator
Date: Date: Date: Date:
 COLLEGE OF ADMINISTRATIVE AND FINANCIAL SCIENCES
Week No: 10
nd
2 Trimester, AY 2020-2021
HOMEWORK NO. 3
MARKS

COURSE CODE BSIB514 COURSE TITLE INTERNATIONAL MARKETING

SECTION TIME DAYS THD ROOM
STUDENT NAME ID NO. DATE

Flexibility

When entering foreign markets, companies must be prepared for exit restrictions.
Even if a market is profitable now, it may not be in ten years. Changes in client
preferences, the emergence of new market sectors, or adjustments in the
competitive market can all occur as a result of political and legal reform.

Characteristics of the preferred mode

The risk-based preference for export modalities (for example, indirect vs direct
exporting) or licensing (an intermediate method)

To share risk, fiscal leniencies, and the expense of creating and employing local
distribution networks as well as sales discussions, a partnership or cooperative
structure is beneficial.

Management control in foreign markets is critical in this regard, as is the company's

mode of entrance choice and management control. Control refers to how much time
and effort is put into anything. There is less control over management,
manufacturing, and services when exporting indirectly. The use of intermediate
modes should ensure quality criteria for the final result. Additionally, joint ventures
reduce managerial authority over overseas activities, which might lead to tensions.

specifics of a particular transaction

1. The nature of tacit knowledge

2. complex abilities and knowledge required in interpreting

3. because it is difficult to transmit information and talents;

4. the challenge of determining an accurate price for a product or service

based on its features alone;

5. the challenge of accurately replicating someone else's abilities and

knowledge.

5
Prepared By Reviewed Approved by

Dr. Dr. Maria Cecilia P. Lagaras Dr. Vinodh Natarajan Dr. Marluna Urubio
Vishwas Chakranarayan Programme Head Associate Dean College Dean
Course coordinator
Date: Date: Date: Date:
 COLLEGE OF ADMINISTRATIVE AND FINANCIAL SCIENCES
Week No: 10
nd
2 Trimester, AY 2020-2021
HOMEWORK NO. 3
MARKS

COURSE CODE BSIB514 COURSE TITLE INTERNATIONAL MARKETING

SECTION TIME DAYS THD ROOM
STUDENT NAME ID NO. DATE

Rubric for 10 Marks:

RUBRIC / 9-10 = Details are fully complete and demonstrate deep understanding of conent
MARKING 7-8 = Answer is acceptable but lacks minor details
5-6 = Answer is responsive but not fully complete
SCHEME
3-4 = Major details are missing and shows low level of understanding of the content
2-1 = Answer is lacking multiple major details
0 = Question in not answered or answer given is inappropriate

LEARNING ASSESSMENT/MARKING FACULTY/MARKER’S FEEDBACK

ITEM CILOs MARKS MARKS AWARDED
1 C4 10

TOTAL 10

6
Prepared By Reviewed Approved by

Dr. Dr. Maria Cecilia P. Lagaras Dr. Vinodh Natarajan Dr. Marluna Urubio
Vishwas Chakranarayan Programme Head Associate Dean College Dean
Course coordinator
Date: Date: Date: Date: