Analyzing International Opportunities. © Prentice Hall, 2006International Business 3e Chapter 12 - 2 Chapter Preview List each key factor to assess in.

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Analyzing International Opportunities

© Prentice Hall, 2006International Business 3e Chapter Chapter Preview List each key factor to assess in national business environments Discuss measuring potential in emerging and industrialized markets Identify three key market research difficulties Explain the usefulness of each secondary data source Describe each method of primary research

© Prentice Hall, 2006International Business 3e Chapter Screening Markets and Sites Step 1 - Identify basic appeal Step 2 - Assess national business environments Step 3 - Measure market or site potential Step 4 - Select the market or site

© Prentice Hall, 2006International Business 3e Chapter Identify Basic Appeal Basic demand - Climate - Absolute bans Available resources - Labor - Materials - Financing

© Prentice Hall, 2006International Business 3e Chapter National Forces: Culture Market selection - Global product - Tailored product Site selection - Education level - Technical skills - Work ethic

© Prentice Hall, 2006International Business 3e Chapter National Forces: Political/Legal Government regulation - Investment barriers - Profit repatriation Government bureaucracy - Administrative delays Political stability - Unforeseen political change

© Prentice Hall, 2006International Business 3e Chapter National Forces: Economic/Other Country finances Trade and investment policies Currency and liquidity Logistics Country image

© Prentice Hall, 2006International Business 3e Chapter National Forces: e-Business Infrastructure and market access - Internet access - Content and standards Legal matters - Privacy and security - Intellectual property Financial issues - Electronic payments - Tariffs and taxation

© Prentice Hall, 2006International Business 3e Chapter Potential: Industrialized Markets Demographics Competitors’ market shares Import/Export volumes Distribution network Marketing approaches Retail sales levels Income elasticity

© Prentice Hall, 2006International Business 3e Chapter Potential: Emerging Markets Market size Market growth rate Market intensity Market consumption capacity Commercial infrastructure Economic freedom Market receptivity Country risk

© Prentice Hall, 2006International Business 3e Chapter Select the Market or Site Field trips - Engage in negotiations - Gain firsthand exposure - Contact customers / others Competitor analysis - Access to inputs - Competitors’ numbers/shares - Competitors’ strategies - Channel access - Customer loyalty

© Prentice Hall, 2006International Business 3e Chapter Market Research Difficulties Availability of data Comparability of data Cultural problems

© Prentice Hall, 2006International Business 3e Chapter Secondary Data Sources International organizations Government agencies Industry/Trade associations Service organizations Internet and World Wide Web

© Prentice Hall, 2006International Business 3e Chapter Methods of Primary Research Trade shows and missions Interviews and focus groups Surveys Environmental scanning

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