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« The Analysis of the International Marketing Environment and the Use of Appropriate Marketing Tools | Main | International Market and Marketing Research Methods and Techniques for Gathering Intelligence »


Identifying International Market entry methods and strategies and the barriers to market entry

Identifying International Market entry methods and strategies and the barriers to market entry


International entry methods in marketing is not that easy to achieve given the fact that barriers to market entry is possible and is happening in the business for example, there encompasses market entry strategies as strategies are evaluated as being alternative to service exporting as well as foreign investments, assumed the entrant can foresee reaction of rival, take into account at the time of global entry, explaining choice between foreign investment and acquisition as global market entry modes. One method caters to internationalization such as proponents Buckley and Casson (1976) envisaged organization as internalized bundle of resources which can be allocated between product groups, and between national markets and focus on market versus firm solutions highlighted strategic significance of licensing in market entry, involving interdependent decisions on location and mode of control.  Thus, global marketers introducing global product to market faces difficult decision, should the product be marketed primarily by captive agents or by independent intermediaries, an issue of downstream vertical integration, develop scales to measure key variables in logistic regression model of what factors affect the form of the distribution channel chosen in various foreign markets.


The usage of expert systems in international marketing, Cavusgil (1990) noted feasibility, justification and appropriateness, development of expert system would be feasible if experts within the domain of application and can articulate expertise, consensus on solutions can be reached.  Thus, the development of expert system technique for international market strategy can be desirable within the domain of international marketing. There were criteria of feasibility, justification, and appropriateness are easily met within that domain (Cavusgil, 1990). Expert knowledge is scarce and fragmented in international marketing. Expert systems are practical tools that can preserve and disseminate scarce expertise making it readily available to novices or less experienced people (Ozsomer et al., 1992). The decision makers in international marketing are faced with many challenges as outcome of complex and uncertain environment in which they operate. Moreover, many companies tend to focus on domestic operations and overlook attractive international business opportunities because of various attitudinal, informational, or operational barriers (Cavusgil, 1980).


Furthermore, such systems can be customized for the user and offer practical, concise and efficient training tool for managers (Evirgen and Cavusgil, 1994). The system will point to the relevant and critical dimensions and issue to consider and provide a systematic approach to problem solving. No matter what its domain of application is, an expert system will “have an impact on an organization’s ability to achieve its objectives, as well as on overall performance” (Ozsomer et al., 1992, p. 25), international marketing decisions provide attractive platforms for the development of fruitful expert systems applications (Cavusgil, 1990). In fact, comprehensive research project at the Center for International Business Education and Research at Michigan State University has been involved in developing expert system applications in various decision areas in international marketing.



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