Export based strategy
The term export can be defined as a means of shipping goods and services from a countries port also known as selling goods from ones country to other countries or other markets overseas. Export strategy is a way in a company sets its rule of operation in the export business helping it to achieve the objectives set. With an export strategy a company will be able to will clearly define its raw materials, finances and the personnel to help it achieve its goals. It helps a company to provide quality services to the customers both new and old helping also to deal with service providers. The company will emerge as well organized one with clear goals and strategies to attain the goals. (Foley, J. F. 2004:22).
In case a company wants to be successful in their export business the following should be considered. The goals of a company are in harmony with the exporting business and what the company wants to gain from the export. The main company resources such as, capacity of production finances, management and personnel, that the export process will need. The last factor a company should consider is whether the cost incurred in the business will yield the required or worth profit/ benefits.
If a company has set its objectives there is need to look into the following. Which countries are their target market and who are the consumers and how or which marketing strategy should they use to reach the consumers. The company needs to know what products are best for their chosen customers and if there may arise a need to adjust the company should be ready for it. The other thing they should consider are the import regulations in their country, market and the global rules also should focus on the competition involved looking...
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...he market and lack of an all-round business plan covering all aspects. For the company’s discussed it will be very easy to achieve the goals and be one of the successful company’s in the country and global wise.
References
Adams, R., & Adams, T.(2003). Start your own import/export business: Your step-by-step guide to success. Irvine, CA: Entrepreneur Press.
Foley, J. F. (2004). The global entrepreneur: Taking your business international. United States?: Jamric Press International.
Loos, N. (2006). Value creation in leveraged buyouts: Analysis of factors driving private equity investment performance. Wiesbaden: Deutscher Universitäts Verlag.
Woodward, D. (2001). The next crisis?: Direct and equity investment in developing countries. London: Zed Books.
Woznick, A., & United States (2000). A basic guide to exporting. Novato, CA: World Trade Press.
Every company has internal and external forces that effect how they operate within the community in which they are located and also within their own walls. These internal and external forces play a strong impact on the company’s profitability and success. These forces have an effect on what consumers they attract or ignore and how they are perceived by those who have the buying power. A mistake any analyzing and implementing measures to assist with these factors could greatly affects a company’s bottom line and success. This is why any company wanting to grow and be successful will need to take all of these forces; sociocultural, technological, economic, environmental and political-legal into consideration in creating their strategic plan.
Last year, Canada received 443 billion dollars in revenue from exporting goods throughout the world. Almost 54% of that was covered by Canada’s three major exports (Stat Can.) - mineral products, transportation items, and electrical equipment and machinery. While preparing theses resources for export may be difficult, it is worth it. This essay will review the large role exports play in Canadian economy by being a immense source of income, allowing Canada to maintain robust trade routes and relations throughout the world, and providing Canadians with many jobs.
Exportation: This is the phrase in the team transfers team member’s expertise and enthusiasm to those members who will carry out the team’s activities by bringing the teams creation into display for the organization and the market place to buy in. It is bringing the team’s creation, activities to display. After this display the teams get feedback from the organization and the consumers about their product display. The main activities for the teams in this phrase include Task coordination and ambassadorship. The leadership activity here involves a lot of relating with the organization and the customers.
Many business owners and entrepreneurs are doubtful about the global opportunities available to their business. In other words, business owners don’t give consideration to the world markets, instead they tend think locally in terms of gaining customers. This doubt however is unfounded. The international trade commission reported that 70% of the world’s purchasing power and 95% of the world’s consumers are located outside of the United States, which means that there is a massive market that is currently untapped by 99% of business in America. In addition to doubt, there is the uncertainty about exporting to other countries, this uncertainty may stem from lack of knowledge about foreign trade and the international laws. A business owner may be uncertain about how, when, where, and to whom it is legal to ship their products. Although, this uncertainty is understandable it is not required for businesses that are conducting business legally within the United States, business owners should remain mindful of this so that they can push their uncertainties aside. The last factor that deters businesses from international trade is Fear. Fear that there will be unforeseen and uncontrollable issues with transporting goods such as: theft, loss, damages, diversions, and/or regulatory penalties that may be imposed on the business. Although, there is a
1. The product, country to export and the size of the market is $ terms.
The international business development has heightened the importance of international market selection (IMS) of companies, especially for their exporting strategy. However, not many companies really comprehend the geographical, social, economic characteristics of foreign countries in comparison with their home countries (Cavusgil, 1985). This fact has challenged many studies to create the optimal approach for IMS. The major question is: Which foreign market should a company enter? Thus, this report focuses on providing a practical consultancy to evaluate and determine its most appropriate foreign markets.
There are numerous advantages to Maxons of exporting their products: firstly, it is a low cost entry mode because you are not using intermediaries meaning that Maxons will not need to pay many other businesses for their sweets to reach the new market (Delaney, 2017). Furthermore, exporting helps reduce risk by spreading it out over a larger customer base and protecting the business if demand in one country falls dramatically thus meaning that Maxons will still be creating revenue (HM Government, 2017). On the other hand, there are numerous disadvantages to this entry mode including; Maxons having to handle all of the logistics of exporting themselves such as; whether they will export via air or ocean and whether they will need an export license (Delaney, 2017). Exporting would be the best option for Maxons as afore mentioned there are less costs which for a small business is highly important as they cannot afford the high set-up costs associated with other methods.
Exporting is the commercial activity of selling and shipping a good or goods to a foreign country. Importing is the commercial activity of buying and bringing in goods from a foreign country. The benefits of exporting and importing are good to a countries economy as it creates local jobs. The Honda plant in Alliston exports the Honda Civic (a three door hatchback and four-door sedan) as well it is the only facility in the world that builds the full-size Odyssey minivan and the Acura MDX sport utility vehicle.
15. Hill, Charles W.L. International Business: Competing in the Global Marketplace. New York : McGraw-Hill, 2007.
Without a successful business strategy put in place the company would fail and be unable to compete with competitors. There would be on way of knowing what resources are required. No planning for the future of the business. If there are no targets set out to achieve there would be no way of measuring how successful the company has been.
stripping them off their assets and saddle them with debt, private equity firms build companies; they
Regarding the international expansion, a great concern of a firm is to identify it promising markets. That is the problem of answering the questions: How does a firm evaluate its targeted markets? What criteria helps select the market? For these reasons, this report will develop a practical guide with highly recommended practice for the firm to evaluate and identify its attractive export markets.
Daniels, J. D., Radebaugh, L. H., and Sullivan, D. P., (2011). International Business: Environments and Operations. Prentice Hall, Upper Saddle River, New Jersey.
There are many competitors; there are various rules and regulations to deal with in the expansion program. The company also considers the economic environment as it can adversely affect the performance of the company. Technology is another factor which cannot be left out. Geographic factors, demographic factors and the environmental factors also impact the company’s business. To start with, the competitors of the company incudes McDonalds and other such as the Burger Kings. The competition is stiff and for the company to remain afloat, it must ensure that the audience knows of the product for easy penetration. Failure to tis would bring the company to its knees and fail. The geographical factors also affect the company in that the consumption patterns of some products are affected by climate patterns. The company should maximize in the high seasons and reap big profits then. The legal factors also impact the company. In the expansion plan, the company intends to spread her services to other states. In the country, there are many states which have different rules and regulations governing the conduct of a business. This also relates to the type of advertisements that the company can bring forth, thus, for the company to cushion against such forces as the legal differences, there should be proper analysis of the legal requirements in the northern states before venturing into the business. The demographic environment is
It is highly recommended that company officials visit the countries to examine the markets where they are considering selling their products before any transaction occurs