Strategy option for competing and entering in outside market

Question

What are strategy options for competing and entering in outside markets?

Answer 1

Strategy options for competing and entering within outside markets are as follows:

There are a host of general strategic choices for an organization that decides to expand outside its domestic market and fight globally or internationally:

i. Maintain a national (one-country) production base and export products to outsider markets – using either foreign-controlled or company-owned forward distribution channels.

ii. License outsider firms to use the company’s technology or to generate and distribute the company’s products.

iii. Employ a franchising strategy.

iv. Follow a multi-country strategy – altering the company’s strategic approach from country to country in harmony with local circumstances and conflicting purchaser preferences and tastes.

v. Follow a global strategy – using basically the similar competitive strategy approach in all country markets where the company has an attendance.

vi. Use strategic alliances or combined ventures with outside companies as the primary vehicle for entering outside markets – and perhaps using them as an ongoing strategic arrangement aimed at strengthening or maintaining its competitiveness.