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Lecture International business - Chapter 12: Analyzing international opportunities

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In this chapter, you will explore how companies screen international business opportunities. You will also: Examine the difficulties of conducting international market research, learn about sources of secondary market research data, and understand methods of conducting primary international research.

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Analyzing International  Opportunities

12

Trang 2

Explain each of the four steps in the market-

and site-screening process

Describe the three primary difficulties of

conducting international market research

Identify the main sources of secondary

international data and explain their usefulness

Describe the main methods used to conduct

primary international research

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• Entered Europe and then China

• Success rooted in market research

• Focus on coffee and societal needs

Trang 4

Screening Markets and Sites

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Available resources

Basic demand

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What are the four

main steps in the

process of

screening potential

new markets and

sites for operations?

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The first step is to identify a

location’s basic appeal in terms of

product demand or resource

availability The second step is to

analyze all forces in the national

business environment The third

step is to measure market or site

potential by collecting data on each

one being considered The fourth

step is to select the best market or

site by taking field trips and

performing competitive analyses.

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Social unrest can drive out international companies

Source: imago stock&people/Newscom

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Country finances

Currency and liquidity

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Other Forces

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The key element of

political risk that concerns

companies in markets

abroad is .

a Slowing innovation

b Spiking logistics costs

c Unforeseen political change

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The key element of

political risk that concerns

companies in markets

abroad is .

a Slowing innovation

b Spiking logistics costs

c Unforeseen political change

Trang 21

The main components of a

market-potential indicator are

market size, market growth rate,

market intensity, market

consumption capacity,

commercial infrastructure,

economic freedom, market

receptivity, and country risk The

indicator provides a quantitative

measure of market size when data

is limited in emerging markets.

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Marketing strategy Field research

Data analysis

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Cultural differences

Availability

of data

Comparability

of data

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Top Research Firms

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Trade shows and missions

Interviews and focus groups

Consumer panels

Environmental scanning

Surveys

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Printed in the United States of America.

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