1. INTERNATIONALIZATION STRATEGY
JONIS MAHMUTLLARI, JULIA OHRANKÄMMEN, ESSI PORKKA, SARA REPONEN

2. MARIMEKKO IN BRIEF Finnish design company
Products sold in ca. 40 countries, over 150 stores globally
Key markets:
Northern Europe
North America
Asia-Pacific region
In 2015 worldwide brand sales 186 M€, net sales 96 M€
500 employees
Strategy aims at strong international growth, while maintaining the market position in Finland

3. HISTORY 1950-1960 1970-1980 1990-today 1991: Sold to Kirsti Paakkanen
Mika Ihamuotila takes Marimekko’s internationalization to a new level
1974: Listed in Helsinki Stock Exchange
1951: Marimekko is founded
1985 Sold to Amer Group
1990-today
2006: Network of 28 stores is being built in Japan
2011: License agreement with Converse
China, Berlin, South Korea, showrooms in USA….
1960: First retail store in Sweden
Licensing to Japan
Sales and distribution subsidiaries to USA, agent contracts terminated
1959: Exporting starts through an agent in the US

4. ANALYSIS - LUOSTARINEN MODEL
Product Strategy
Goods
Focus on sale of goods
Services: online stores, store concept renewal, sewing service
Services
Systems
Know-how
Operation Strategy
NIMOs
Exporting
Sales subsidiaries
Licensing
Contract manufacturing
DIMOs
NIPOs
DIPOs
Market Strategy
Geographical
1956: Exports begin (Sweden, Belgium, USA)
1960: First retail store in Stockholm
1972: Japan
: New York, Australia, Hong Kong, Berlin, Malmö, South Korea, Shanghai, Beijing...
Cultural
Economical

5. ANALYSIS - UPPSALA MODEL
FDI
ANALYSIS - UPPSALA MODEL
Mode of operation
No exporting
Exporting via an agent
Foreign sales subsidiary
Foreign production and sales subsidiary
Market A
Market B
Market C
Market D
Market N
Market (country)
Increasing market commitment
Increasing geographic diversification
Increasing internationalization

6. ANALYSIS – MARIMEKKO`S Internationalization Stages
Similarity to UPPSALA´s 1977 model
Market commitment increased gradually with new market expansion
Difference in Stages: No export via an Agent
UPPSALA´s Revised theory, networking naturally implemented

7. RECOMMENDATIONS
Good or bad decision to sell the company to Amer Group in 1985?
 internationalization process was not successful
Effort in unique concept stores, customer is not only buying products
Cooperation with fashion brands
Brand ambassador
Marimekko’s board of directors and management

8. FUTURE PLANS Growth in the Asia-Pacific region, Japan
New market areas: Bangkok, Singapore, Dubai
New store openings in Japan, estimated rate of 5 stores per year
Australia
Marimekko needs to ensure continuous business opportunities through networks