Why go global ? Trigger factors: Domestic markets are found ’bad’ ( - ) a push factor - qualitative and quantitative evaluation Foreign markets are found ’good’ ( + ) a pull factor - qualitative and quantitative evaluation The question of e.g. market share / scale - costs of keeping the domestic position vs penetrating foreign markets

Analyses. One) The SWOT Internal analysis: - S for Strengths - W for Weaknesses External analysis: - O for Opportunities - T for Threats

Analyses. Two) The PEST This is external, only. P for Political – situation in the nation E for Economical – situation… S for Sociol – situation… T for Technological – situation… Try ’PESTing’ the O & T of your SWOT, please.

Questions: 1)How does P, E, S and T affect the macro environment where your business operates ? 2)Does P, … environment support your business = make purchasing and consuming your product possible ?

Operation modes (How?). One: Trading Imports - indirect or direct Exports - indirect or direct These are strategies for entering / being on a market / exit. Are there ’easy’ and/or ’difficult’ modes of trading ? Learning ?

Operation modes (How). Two: Investments (FDIs) Acquisitions of existing operations / Take over - horizontal / vertical / diagonal integration Greenfield investment - horizontal / vertical / diagonal integration These are strategies ! Advantages and disadvantages ?

Levels of ownership are levels of commitment (?) Wholly owned (90% or more) Joint ventures: - major ownership (50% or more) - minor ownership (less than 50%) Portfolio investment (10% or less)

Other strategic decisions Deciding which markets to enter Deciding the marketing program (4 or more Ps) Deciding the marketing organization - towards a global organization / glocal organizations