Global Expansion Proj final

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ppt_beverage_kings_2.ppt
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Beverage Kings, Inc.

Entering a Foreign Market

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SPECIFIC MARKET: PARIS

  • Paris is a large city and the capital of France.
  • The city has a high population.
  • There will be plenty of customers
  • High volume of tourists
  • Products will be moving fast.

Paris is the specific market that Beverage Inc. will be entering. The city is well located and has a large population of people, which will make it easy to market. It is also a well-known tourist destination, so we could reach a global customer base.

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STRATEGIES FOR ENTERING THE MARKET

  • Strategic possibilities:
  • Licensing
  • Wholly owned company
  • Joint ventures
  • The best strategy is joint ventures
  • Team up with a French company
  • Gain a customer base

Entering a market requires some specific strategies depending on that type of market. In this case the company has three potential strategies to use. The management should choose one among the three strategies which will suit the company best. In this case joint ventures is the best strategy. The company will work together with another similar company based in Paris.

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PLAN

  • Form agreement with a French beverage company
  • The agreement should benefit both parties.
  • Find a local manufacturer
  • Identify a suitable location for headquarters.
  • Market towards:
  • Hotels
  • Restaurants
  • Small shops/Grocers

Before entering a new market, there should be a laid out procedure to ensure that all processes in the new market flow well. The management should locate a partner and form a mutually beneficial agreement. There should be a headquarters for business transactions and customer service.

We will also need to find a local manufacturer or use our partner’s manufacturer.

The company should strategically locate its outlets in areas where there is a large population of people who highly consume beverages.

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PLAN CONT.

  • Pricing Strategy – Penetration
  • Price sensitive
  • Advertisement should begin immediately
  • Create new beverage that may suit French customers
  • Eventually branch out to smaller cities

After the agreement is agreed upon by both parties, Beverage Kings should choose the best pricing strategy for their products. The best strategy in this case is penetration because it attracts price sensitive consumers. This forms a large number of the population. In order to create awareness for the product, the company should enter into a massive advertising period in order to familiarize itself with possible clients. Due to the different tastes and preferences, beverage kings should come up with products that suit the needs of the clients. If all goes well, which we believe it will, then we should evaluate other cities in France in which to branch out.

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CONCLUSION

  • Paris is a good market for Beverage Kings.
  • Strategies benefit consumers and the company.
  • The plans should be well implemented.
  • This will be a good way for Beverage Kings to increase its profits.
  • We are excited for this new adventure!

Paris is a good choice of market for Beverage Kings to enter. The strategies are fair enough when venturing the market.

The plans should also be well implemented. When they are all put in place, entering the market will be successful.

This will be a good way for beverage inc to increase its profits.

We predict a large success in Paris.

Thank you!

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