Entry Strategies Research Articles

Game theoretical analysis of incumbent platform investment and the supplier entry strategies in an e-supply chain

We investigate the interaction of platform investment strategy and a supplier entry strategy in an e-supply chain with a supplier and two e-commerce platforms. In addition to selling through the incumbent platform, the supplier may enter the entrant platform. The incumbent platform may prevent this by investing in the supplier to reduce production costs (indirect investment) or investing in its value-added service to enhance its own demand (direct investment). We analyze the incumbent platform's investment strategy with and without supplier entry to the entrant platform. Without entry, the incumbent platform prefers indirect investment only when the production cost is high and the indirect investment cost is low. With entry, however, the incumbent platform prefers indirect investment when the direct investment cost is high. We also explore the effect of the incumbent platform's investment strategy on the supplier's entry strategy. Counterintuitively, we find that direct investment by the incumbent platform increases the supplier's incentive to enter the entrant platform. Under certain conditions, the incumbent platform can effectively prevent this entrance through an indirect investment strategy. Even if the supplier enters the entrant platform, it is optimal for the incumbent platform to maintain investment. Furthermore, we further extend that the two platforms have the same commission rate to the case where the two platforms have different commission rates and show that the main results still hold. We have also expanded the situation where both platforms have investments. Interestingly, we find that when the production cost is high, the supplier's entry into the entrant platform and the entrant platform's indirect investment may benefit the incumbent platform.

Navigating Global Markets: Insights into Ceramic Firm Performance and Market Entry Strategies

Analyzing the intersection of market entry strategies and ceramic firm performance in the international market, this study offers insights into the dynamics shaping the competitiveness of U.S. ceramic firms abroad. By examining the strategic decisions guiding market selection and entry modes, this research sheds light on the factors influencing the success of ceramic enterprises on the global stage. This article delves into the intricacies of market entry strategies adopted by U.S. ceramic firms as they venture into international markets. It explores the strategic decisions made regarding market selection, distinguishing between English- and non-English-speaking countries, and the various modes of entry employed, including exporting, licensing, joint ventures, subsidiaries, and retail stores. The findings from a comprehensive analysis of 57 firms engaged in international markets unveil a significant trend: firms targeting culturally similar markets, particularly English-speaking ones, tend to achieve superior revenue generation and overall performance compared to those entering non-English-speaking countries. Additionally, through a cluster analysis, the study identifies four overarching modes of entry ranging from straightforward direct exporting to more intricate strategies integrating subsidiaries and retail outlets abroad. Surprisingly, the mode of entry doesn't exhibit a clear association with performance outcomes. This suggests a cautious approach by U.S. ceramic firms, opting for markets with lower levels of uncertainty, primarily through export activities.

Housing Vulnerability, Shared Housing, Informality, and Crowding: The Housing Strategies of China’s Recent College Graduates

ABSTRACT Mirroring developments elsewhere, for recent college graduates in China the transition to employment is increasingly protracted and, for some, precarious. Case studies of individual strategies and cities indicate a diversification of housing pathways, where economic precarity is rendering at least some vulnerable. Based on original survey data collected in 2019, I investigate the housing choices of Chinese college graduate job market entrants and ask who is vulnerable and whether adverse outcomes are mere market entry strategies or lasting. I find that recent graduates generally find housing in central locations, close to their work. However, to achieve favourable locational outcomes on low budgets, many resort to sharing. High-density room sharing of three or more people is illegal but prominent and dominates in first-tier cities. The findings highlight how urbanization interacts with housing vulnerability and contribute to theorizing on the housing crisis, the Global North-South binary, and the very nature of home sharing.

International Market Entry Strategies: Exploring the Role of Institutional Environment in the Sweden

Purpose: The aim of the study was to analyze the international market entry strategies: exploring the role of institutional environment in the Sweden. Methodology: This study adopted a desk methodology. A desk study research design is commonly known as secondary data collection. This is basically collecting data from existing resources preferably because of its low cost advantage as compared to a field research. Our current study looked into already published studies and reports as the data was easily accessed through online journals and libraries. Findings: Research on international market entry strategies in Sweden reveals that the institutional environment strongly influences multinational corporations' (MNCs) decisions. Factors like regulations, political stability, and cultural norms are key considerations. Adaptation to Sweden's unique socio-economic context is crucial for successful market entry. The findings emphasize the importance of MNCs assessing and navigating the institutional environment when devising their strategies in Sweden. Unique Contribution to Theory, Practice and Policy: Institutional theory, resource-based view (RBV) & transaction cost economics (TCE) may be used to anchor future studies on analyze the international market entry strategies: exploring the role of institutional environment in the Sweden. Firms aiming to enter the Swedish market should conduct thorough institutional analysis to understand the regulatory frameworks, cultural norms, and socio-political dynamics that may impact their market entry strategies. Policymakers in Sweden should strive to create a conducive institutional environment that facilitates foreign investment and market entry while maintaining regulatory stability and transparency.

Modeling Sales of Multigeneration Technology Products in the Presence of Frequent Repeat Purchases: A Fractional Calculus-Based Approach

Frequently releasing a new product generation has become a common practice to sustain sales over time, thus accurately forecasting the sales trajectory of each product generation plays a vital role in the short-, medium-, and long-term planning of a firm. Classic multigeneration diffusion models do not incorporate within-generation repeat purchases, making them unusable for product lines with high rates of such purchases. Concentrating on technology products, we develop a multigeneration sales model to fill this void. We demonstrate that the new model can be used for predictive and prescriptive analytics. Our empirical results show that the new model estimates and forecasts sales more accurately than a state-of-the-art benchmark model that does not account for within-generation repeat purchases, underscoring the importance of incorporating repeat purchases. Furthermore, we use two different versions of our model to examine market entry timing under two main strategies, that is, (i) a phase-out transition strategy in which firms continue to sell the old generation after the release of the new generation, and (ii) a total transition strategy in which firms discontinue the old generation after the introduction of the new generation. Our results indicate that the repeat purchases rate determines whether it is optimal to expedite or delay the new product launch, underscoring the importance of incorporating repeat purchases in market entry strategies.

"Market Entry Strategies of Starbucks in India: Analyzing Starbucks' market entry strategies in India, including its partnership with Tata Global Beverages, localization efforts, and competition with established players like Café Coffee Day and Barista."

"Market Entry Strategies of Starbucks in India: Analyzing Starbucks' market entry strategies in India, including its partnership with Tata Global Beverages, localization efforts, and competition with established players like Café Coffee Day and Barista."

Market Analysis and Entry Strategy for German Investors in the Specialty Coffee Segment of the Colombian Coffee Industry

The primary purpose of this paper is to provide a comprehensive market analysis and develop a strategic entry plan for German investors interested in the specialty coffee segment of the Colombian coffee industry. Utilizing a qualitative research methodology, this paper delves into various facets of the market, including an examination of consumer preferences, an analysis of the competitive landscape, an evaluation of supply chain dynamics, and a review of the legal and regulatory environment. The research reveals that German investors have a significant opportunity to capitalize on the growing demand for specialty coffee in Germany by leveraging Colombia’s renowned reputation for producing high-quality coffee beans. However, achieving success in this venture necessitates a meticulous approach, including a strong emphasis on sustainability practices, efficient supply chain management, and strict adherence to local regulations. The paper culminates with a set of strategic recommendations, providing German investors with a roadmap to successfully enter and navigate the complex landscape of the Colombian specialty coffee market. These recommendations are designed to help investors align their strategies with market trends, mitigate potential risks, and seize the opportunities presented by this dynamic and evolving industry.

Entry accommodation strategies in a shipping supply chain with corporate social responsibility

Carriers often enter new shipping markets and undertake corporate social responsibility (CSR) activities to attract more shippers. CSR generally refers to the integration of social and environmental factors by a firm into its business decision-making. This paper constructs a shipping supply chain composed of one port, one carrier, and one potential entrant carrier, where both carriers are committed to CSR activities. Two possible channel structures of the incumbent supply chain are considered: centralization and decentralization. Under both structure settings, we study the entry strategy of the entrant, accommodation strategy of the port, and impacts of entry on consumer surplus and social welfare. Our results show that (i) the entry and accommodation strategies depend on the CSR levels of carriers; (ii) downstream entry improves social welfare under centralization but may decrease it under decentralization; (iii) the entrant has more incentive to enter under decentralization than under centralization when the incumbent carrier has a high CSR level. However, the port might have less incentive to accommodate entry under decentralization; (iv) channel decentralization may improve consumer surplus and social welfare when the port accommodates the entry, while hurts these when the port deters the entry. Additionally, we find that under the case of endogenous CSR level, the entry and accommodation strategies depend on the CSR investment cost coefficient; and the entrant has a stronger entering incentive under uniform pricing than under differentiated pricing if the incumbent carrier has a low CSR level.

The board director’s role in the relationship between organizational innovation and organizational learning in the sustainability innovation performance: an approximation from culture context

AbstractThis research analyzes the moderating effects of the board of directors and cultural distance in the relationship between organizational exploration and exploitation and its effect on the selection of entry modes to a country. A structural equation model is carried out with a sample of 1535 exporting companies in Colombia, Perú, Ecuador, and Bolivia. Our findings emphasize the vital role of the board of directors in shaping a company’s international market entry strategies, even in Bolivia’s distinct environment. When board directors possess the necessary competencies to navigate cultural disparities, they facilitate the complexities of entering foreign markets. Additionally, maintaining a balance between exploration and exploitation plays a pivotal role in shaping a company’s approach to market entry. This insight is valuable across diverse economic settings and contributes to academic research and practical international business decision-making.

Outsourcing or not? OEM's entry decision considering brand spillover effect

PurposeIn this paper, the authors study the entry and outsourcing strategies of manufacturer while considering the brand spillover effect resulting from outsourcing. The supply chain comprises two manufacturers: one being the entrant with a strong brand, and the other as the incumbent with a weak brand. The entrant decides whether and how to enter the market.Design/methodology/approachStackelberg game is applied to study the optimal strategies for the manufacturers. This paper conducts a comparative analysis on four situations, yielding conclusions and managerial insights.FindingsThe results show that, for the entrant, there is no need to worry about the brand spillover effect in the outsourcing process, which is very interesting and counterintuitive. To get further, the authors find the reason: The spillover effect causes the entrant’s equilibrium retail price to grow faster than the wholesale price. They also prove that a stronger brand effect empowers the entrant to challenge industry barriers, while the impact of the brand spillover effect is the opposite. For the incumbent who acts as the weak party in this issue, it is demonstrated that the optimal choice is to continue selling when facing the encroachment and outsourcing call from the entrant.Originality/valueDiffering from previous studies, the authors notice the brand spillover effect caused by outsourcing when studying company’s entry strategy. They further divide the brand effect into two parts, one of which does not exhibit a spillover.

Tesla Corporate Management Review: Analysis of Tesla’s Marketing Strategy in Chinese Market

Tesla is one of the world’s leading electric vehicle (EV) manufacturing companies. Its market entry into China has been marred with several challenges and wins, some of which are discussed in this document. Drawing from a secondary literature review analysis, the findings of this document demonstrate that Tesla's market entry strategy into China has been multipronged with tenets in celebrity advertisement, collaborative marketing, and hunger campaigns. This multifaceted marketing campaign has enabled Tesla to reach different consumer groups within the Chinese EV market. Key sections of this paper further interrogate the firm's marketing campaign in China, relative to the 4Ps of marketing. The findings of this discussion equally discuss the establishment of the Tesla brand in the Chinese market, its development over the years, and the current market situation. The goal is to identify key strengths and weaknesses associated with the brand that could be useful in consolidating its market position and exploiting emerging opportunities in the EV market.

A Study on the Trade Activation between Korea and Mexico after the COVID-19 Pandemic: Exploring Key Industries and Entry Strategies

A Study on the Trade Activation between Korea and Mexico after the COVID-19 Pandemic: Exploring Key Industries and Entry Strategies

Теоретические аспекты анализа и разработки стратегии выхода на международный рынок FMCG оптовых торговых предприятий

The article delves into the study of theoretical aspects of analyzing and developing a strategy for entering the international FMCG market by a wholesale trade enterprise. The methodology is based on theoretical research methods, bibliographic description and SWOT analysis. The work identifies the current state, problems and prospects for the development of the international FMCG market. Approaches to the classification of strategies for entering international (external) markets are identified and disclosed, the applicability of trading strategies, their advantages and disadvantages in the context of a wholesale trading enterprise in the FMCG market are assessed. The peculiarities of the strategy of entry of a wholesale trading company into the international FMCG market with a focus on multilateralism with a simultaneous uniform structure of the stages of strategy prepara-tion regardless of its type have been clarified. Based on the results of the study, conclusions are drawn about the need to clarify the cause-and-effect relationships between the state of a particular wholesale trading com-pany, the chosen strategies and the results of entering the international FMCG market.

Paid or Free? The Manufacturer's Revenue Strategy in Response to the Developer's Entry in Technology Platform Market

Platform-hardware business models bring an increasing popularity by integrating technology platforms designed by developers with suitable hardware devices produced by original equipment manufacturers (OEMs). This study examines an OEM's strategic choice of revenue models in response to a developer's entry threat when facing consumers with two-dimensional valuation for the product: the technology platform and the device. The OEM has two options of the revenue model: wholesale model in which the developer charges a wholesale price for each installation of the technology platform when the OEM does not preinstalls the developer's core services, and revenue sharing model in which the OEM freely accesses the technology platform after preinstalling the services, and the developer determines whether to enter the market, thus creating a coopetition with the OEM. We find that when the revenue sharing percentage is low or service margin is low, the OEM will choose the revenue sharing model and the developer will enter the market for a low entry cost. When the service margin is moderate, the OEM prefers the wholesale model. When the revenue sharing percentage and service margin are high, the OEM will choose between the two models depending on the developer's entry strategy. Specifically, the OEM will prefer the revenue sharing model when the developer enters but favor the wholesale model when the developer does not enter. In addition, the developer benefits from the OEM's choice of wholesale model but is harmed by the OEM's choice of revenue sharing model, regardless of entering the market or not. The extended cases of hardware device and technology platform compatibility and correlation, consumer's customization of core services preinstallation diversify the interplay between the OEM and developer, and verify the robustness of the basic model.

ІСТОРІЯ СТАНОВЛЕННЯ КОМПАНІЇ APPLE НА МІЖНАРОДНОМУ РИНКУ

Founded in 1976 by Steve Jobs, Steve Wozniak, and Ronald Wayne, Apple Inc. started in a California garage and swiftly became a major player in the global information technology market. This unassuming garage, resonating with the echoes of innovation, became the crucible where the seeds of a global technological revolution were sown. Apple's growth illustrates successful entrepreneurship and strategic innovation in global business. Known for its unique product design and technological prowess, Apple has released iconic products like the Macintosh, iPod, iPhone, and iPad, redefining consumer electronics and garnering worldwide customer loyalty. Apple's journey highlights key developmental stages and strategies for global market entry, significantly impacting the tech landscape and consumer habits. Its global expansion involved strategic alliances, targeted marketing, and product localization. Technological milestones, such as the Macintosh, iPod, iPhone, and iPad, underscored Apple's commitment to innovation and user experience. Apple's influence extends to consumer behavior, evident in its integrated ecosystem of hardware, software, and services, enhancing user experience and brand loyalty. Despite challenges like competition and market dynamics, Apple's focus on quality and design excellence solidified its leadership in the tech world. As Apple evolves, initiatives like Apple Silicon, augmented reality, and sustainability show its future-shaping dedication. Apple's cultural impact goes beyond products, influencing design trends and consumer expectations, with its design language and brand symbolizing innovation and aspirational living. In summary, Apple's rise from a startup to a global tech giant underscores the power of innovation, strategic vision, and consumer-centric design. Its international success stems from a commitment to excellence and addressing consumer needs worldwide, leaving a legacy that transcends its products and shapes global technology engagement.This article examines the history of Apple's emergence in the international market, looking at key stages of its development, strategies for entering global markets, and the impact of its products on the technological landscape and consumer behavior. The history of the formation of Apple in the world market is a fascinating path of innovation and change. However, there are several unresolved issues that deserve attention and additional research. One of the key areas of interest is the impact of cultural differences on the successful use of Apple products. Geopolitical challenges are also in the spotlight. How do global political events affect Apple's strategy in the world market? How does the company deal with geopolitical risks and changes in world politics? Finally, in the context of Apple's future, it is important to consider the challenges and prospects for innovation. What are the challenges for Apple in the global innovation market? What development prospects and challenges await the company in the future? Studying these aspects will not only deepen the understanding of Apple's history, but also raise important questions for further research and reflection in the field of international business and technological innovation.

How are the competition and market entry strategies developed in healthcare institutions

How are the competition and market entry strategies developed in healthcare institutions

Market Entry Strategies for Construction Firms in Developing Countries

Market Entry Strategies for Construction Firms in Developing Countries

MNEs Entry Mode Choices: The Impact of Past on Current. Evidence from an Emerging Economy

The paper examines the effect past entry strategies have on current ones on a country level, Turkey. It illustrates how international experience and institutional distance affect the way an entry-strategy is formed, and the procedure followed -mode learning, mode inertia, mode dynamics. To do so, it synthesizes the literature review within the framework of Benito et al. (2009). This paper’s modifications are empirically tested through a sample of 408 foreign equity investments. The econometric testing method implemented is that of Binary Logistic Regression. The period of investigation extends between 2011 and 2017. Results indicate that MNEs entering the Turkish secondary and tertiary Turkish sectors tend to utilize past entry mode strategies. Furthermore, the higher the past mode strategy is for an MNE, then it is 4.4 more possible for them to choose a wholly owned subsidiary.

Market characteristics and entry strategy decision making: The market perspective of Croatian elderly care homes

Background: Socio-demographic changes increase the need for long-term elderly care. Consequently, providing formal institutional service in elderly care homes is an interesting opportunity for entrepreneurs. However, the entry strategy decision is influenced by numerous external variables. Purpose: The main goal is to answer what determines market concentration as one of the most important market entry determinants. Study design/methodology/approach: A linear regression model has been formed and tested on the Croatian elderly care home market, observed on a county level, using data for 2021. Further, a cluster analysis, as a decision-support tool, has been made to assess market characteristics that are more likely to attract new entrants to the elderly care home market. Findings/conclusions: Results indicate that demand for long-term care services plays a significant role, and the market with more elderly will attract more competitors. When the level of GDP per capita and the unemployment rate are observed together, markets with stronger economies tend to attract entrepreneurs. In other words, it is more likely that someone will open an elderly care home in a densely populated county with individuals that can afford formal institutional long-term care for themselves or family members. Limitations/future research: The shortcomings are mainly related to the lack of data on prices and quality measures. Further, information on the number of beds in each elderly care home would enable an alternative calculation of the Herfindahl-Hirschman index, while data on service prices and structure of employees as a proxy for quality (medical and non-medical staff) would enable a more reliable comparative analysis of obtained results. Future studies on this subject include variables related to the portion of unemployed females in the market since female family members more often provide informal care, and at the same time, they are more likely to be employed in formal long-term care institutions.

The Effect of Legal Uncertainties on the Pharmaceutical Industry

The pharmaceutical industry operates under stringent legal frameworks that are subject to frequent changes and interpretations, creating a landscape riddled with uncertainties. These uncertainties can impede strategic decision-making, regulatory compliance, and stakeholder engagement. This study aims to elucidate the effects of legal uncertainties on the operational, strategic, and interpersonal facets of the pharmaceutical industry, offering insights into how companies navigate these challenges. A qualitative research design was utilized, involving semi-structured interviews with 28 professionals from various sectors of the pharmaceutical industry, including regulatory affairs, R&D, legal, and corporate governance. Theoretical saturation was achieved to ensure comprehensive coverage of the topic. Data were analyzed using NVivo software to perform thematic analysis, allowing for the identification and exploration of recurring themes and concepts within the collected data. The analysis revealed three main themes: Regulatory Compliance Challenges, Strategic Decision-Making, and Stakeholder Perceptions and Reactions. Regulatory Compliance Challenges included subthemes such as Licensing Processes, Legal Risk Management, and Impact on R&D. Strategic Decision-Making covered Market Entry Strategies, Product Life Cycle Management, Investment Uncertainty, and Corporate Governance. Stakeholder Perceptions and Reactions encompassed Industry Reputation, Regulatory Relationships, and Employee Impact. Each category was populated with specific concepts illustrating the pervasive and varied impact of legal uncertainties. Legal uncertainties significantly influence various dimensions of the pharmaceutical industry. Effective navigation of these uncertainties requires robust compliance structures, proactive strategic planning, and vigilant management of stakeholder relationships. By understanding and addressing these challenges, pharmaceutical companies can enhance their resilience against legal risks and better support their operational and strategic objectives.