BU530As a member of the Allied Sanitation Company (ASC) executive team considering producing, marketing, and distributing its sanitation product to the global community, there is a faction on the team that wants to market this product through e-commerce rather than through traditional sales channels in order to keep sales costs low. What are the challenges the organization will face when electronically marketing and selling this product outside of the United States? What are some of the issues the team needs to be aware of before launching this product for sale electronically? Provide a summary of the issues ASC must analyze prior to entering the global market through electronic means.
The University of Queensland 1 MANAGEMENT MANAGEMENT International Business Individual Lecturer: Student Submitting: Due Date: 16/10/2021 Abstract Companies has to consider different while entering in to international market. A small change in the international will directly influence the internal and external operations of the business. COVID 19 pandemic provided opportunities to new companies to came up with innovative ideas and plans. The market for sanitizers are increasing day by day, for capturing the market share, the companies has to come up with new innovative sanitation product. In this research paper we are analysing the steps the new company has to consider prior to entering the international market. To get success in their global initiative the managers need to understand the cultural differences. Their strategies should consider this aspect as what is right for one culture may not be right for another one. Due to the impact of globalization, whole world is considered as a single market. For going beyond the boarders the managers to consider different internal and external factors influencing the business. Now we can analyse the steps the new company has to consider while entering in to the international market. Reviewing the internal and external strengths of the company For entering in to international market first of all, the company has to assess its own strengths and weakness (Dang et al 2020). The managers have to ensure that the company have the capacity and ability to expand in to other countries and they also have to consider the availability of the resources for managing the day to day operations of the company. The company also has to analyse the quality of the manpower they have for controlling and managing the operations in other countries. Developing an entry strategy and executing the strategy at right time After reviewing the internal and external strengths and weakness of the company the company has to select a market entry strategy based on nature and cost of the product. As per the report of Business Insider (20190 companies are using different market entry strategies such as; 1. Franchising 2. Merger and Acquisition 3. Takeover 4. Direct Exporting 5. Licensing For the sanitizer company, it is better to select option of direct exporting, it helps for selling the products directly to the buyers in other countries. Direct exporting provides more freedom and control to the company and it also helps for understanding the customer requirements (Ref et al 2021). Direct exporting also helps the company for understanding the consumer preference and interest. Selecting skilled and competent employees For managing the competition in foreign country, we required the support of skilled workforce. The company has to select skilled and competent employees for managing the operations and the company also has to provide training and development programs to the employees. Assessing the competition The company also has to conduct detailed research for understanding the strategies and tools used by the national and international competitors. The company has to develop effective strategies for managing the competition from other companies. While analysing all these aspects we can understand that before entering in to the international market the companies has to consider different factors. References Dang, Q. T., Jasovska, P., & Rammal, H. G. (2020). International business-government relations: The risk management strategies of MNEs in emerging economies. Journal of World Business, 55(1), 101042. Ref, O., Feldman, N. E., Iyer, D. N., & Shapira, Z. (2021). Entry into new foreign markets: Performance feedback and opportunity costs. Journal of World Business, 56(6), 101258. 4