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4 Considerations for International Market Entry (Understanding Risk and Return)

In this video, we explore the different levels of risk and return associated with various market entry strategies. From low-risk exporting to high-risk direct investment, each approach offers unique advantages and challenges. We’ll discuss exporting, licensing, franchising, contract manufacturing, joint ventures, and direct investment, highlighting the balance between risk and potential profit. Discover how businesses can make informed decisions on their international ventures and learn from real-world examples. Join us as we delve into the intricacies of market entry strategies! This video is an introduction to the various aspects, however for a better understanding please check out the links from the "Additional Reading" section below and continue on your learning journey. #MarketEntry #RiskAndReturn #InternationalBusiness #Exporting #Franchising #JointVentures #DirectInvestment #BusinessStrategy #globalmarkets I hope the video takes you beyond the definition & helps to make the learning process a little more tangible. Please subscribe & feel free to share. Video inspired by Entry mode decision - Internationalisation - Global Marketing    • Entry mode decision - Internationalis...   –––––––––––––––––––––––––––––––––––––––––––––––––– Video Content 0:00 - Introduction 0:14 - Going Global 1:12 - Why is Choice of Entry Mode Important? (Scenario) 2:34 - 4 Specific Factors to Consider 3:23 - Internalization or Externalization 3:55 - Entry Mode: Establishing Sales & Production Subsidiary in the UK 4:46 - Establishing Sales & Production Subsidiary Explained 5:57 - Internal Factors: Establishing Sales & Production Subsidiary in the UK 7:05 - Internal Factors Explained 9:13 - Entry Mode: Establishing UK Based Agent 10:30 - Establishing UK Based Agent Explained 11:50 - External Factors: Establishing UK Based Agent 13:29 - External Factors Explained 16:08 - Transaction Specific Factors 17:04 - Transaction Specific Factors Explained 18:09 - Desired Mode Characteristic 18:58 - Desired Mode Characteristic Explained 20:17 - Summary of the 4 Specific Factors –––––––––––––––––––––––––––––––––––––––––––––––––– Came across a great saying: If everyone is thinking alike, then somebody isn't thinking. - George S. Patton –––––––––––––––––––––––––––––––––––––––––––––––––– Additional Reading: The ultimate guide to market entry https://kadence.com/ultimate-guide-to... The knowledge of entry mode decision for small and medium enterprises https://www.sciencedirect.com/science... HOW TO ENTER A FOREIGN MARKET https://www.workspace.co.uk/content-h... Internationalization https://en.wikipedia.org/wiki/Interna... Choose a market entry strategy https://global.vic.gov.au/for-exporte... Foreign market entry modes https://en.wikipedia.org/wiki/Foreign... –––––––––––––––––––––––––––––––––––––––––––––––––– School of Learning Arnav Dutta   / arnav-dutta-a2020a44