Market Entries for Various Types of Enterprises

Cite this

The organizational structure of a unit has always been directly dependent on a series of factors, such as culture and local market assessment. For this purpose, analysts decided to examine the peculiarities of market entries for various types of enterprises in order to limit the crisis risk. The notion of market entry stands for an enterprise’s process of introducing its product to the new market segment, differing in terms of geographical distribution, social group, or business environment. Hence, researchers claim innovative strategies to be one of the most beneficial ways to enter the market with minimum competition and risk (Balsmeier et al., 2016). The scenario provided deals with the peculiarities of presenting an innovative product to a radically different target audience. In terms of the following discussion, a detailed scenario examination will be conducted in order to estimate the potential effects of such a step.

On-Time Delivery!
Get your customized and 100% plagiarism-free paper done in as little as 3 hours
Let’s start
322 specialists online

When dealing with entering a new market, the decision-making process requires much contemplation on whether the new stakeholders will affect the overall company’s culture and organizational peculiarities. In the scenario describing the US fishing boat manufacturer’s case, the enterprise’s mission is depicted quite vividly. The company, by all means, puts customer satisfaction and innovative approach to manufacturing at the center of a unit. Hence, when entering Indian marketing, it is of crucial importance to preserve the sense of revolutionary production and user orientation. Speaking of company culture, the enterprise employees are engaged in democratic patterns of communication, paying equal attention to each individual. Hence, when deciding on entering the market, it is important to realize the responsibility it takes in order to choose the team properly. Another important aspect to consider is the organizational structure modification once the target market is expanded, as there will be the need to form a functional management unit to establish cooperation with headquarters.

Organizational structure is one of the most important aspects when defining cooperation patterns between the company’s units. In the case of the scenario, entering the new market is complicated in terms of location and cultural gap. Hence, the organizational structure model should be agile enough to adjust to the new environment. When flexible enough, the organizational structure is a definite advantage in the situation. However, once the structure is too focused on strict hierarchy or bureaucracy, a new market segment might face some serious challenges in terms of managerial patterns.

There is a variety of reasons that led the company to a decision to enter the Indian market. The US-based enterprise, being a fishing boat manufacturer, has an opportunity to increase profit rate due to the fishing industry’s extreme relevance in the region. The most popular company’s products are the motor-free boats designed for professional yet accessible fishing. India, claiming to make up 7% of global fish exports, would be extremely interested in modernized models of the company’s products. US enterprise investing in the country that exports fishery to more than 75 states can become a profitable step for further market expansion (NFDB n.d.). Furthermore, the emerging market appears to be the fourth-largest fishery producer in the world (Hanko Hackberry Group, n.d.). Various authorities encourage local residents to get involved in the industry, increasing the demand for fishery equipment.

While Indian residents are promised impressive income from their engagement in the fishing industry, it is of crucial importance for the company to issue a product statement that would benefit the customers. Hence, the financial aspect of production plays a major role in the interaction process. A modernized foldable fishing boat would be a revolutionary product in terms of the local customer demand. The modernization should concern the overall weight and size of a boat when folded to create a unique proposition in the market. In terms of design creation, it is also important to consider the options for the medium used to create boats, taking into account quality, ecological advantage, and cost.

In the context of the design thinking process, there are some options to consider closely to avoid the potential risk. To begin with, global legal systems should be taken into account when creating a proposition value. Both universally accepted and local patterns of manufacturing contribute a lot to the overall economic outcome. Secondly, the emerging market culture is extremely different from the US culture, making it important to pay close attention to ways of communication accepted within Indian enterprises. The market culture concerns average price policy and working patterns, which is crucial for the market entry planning stage. The company’s ethics is also crucial in terms of the designing stage, as the enterprise is determined to cause minimum harm for the environment while making a quality and affordable product. Such an ethical statement also matters a lot when considering the overall market entering strategy, as the developing Indian market is driven by other policies based on financial advantage. In order for this integration to be successful, both the US and Indian stakeholders are to reach a consensus in terms of the company’s culture and value assessment.

References

Balsmeier, B., Fleming, L., & Manso, G. (2016). Escaping competition and competency traps: Identifying how innovative search strategy enables market entry. Working Paper, University of California at Berkeley.

Yes, we can!
Our experts can deliver a custom Market Entries for Various Types of Enterprises paper for only $13.00 $11/page
Learn More
322 specialists online

Hanko Hackberry Group. (n.d.). Fisheries industry. Web.

National Fisheries Development Board (NFDB). (n.d.). About Indian fisheries. Web.

Cite this paper

Select style

Reference

BusinessEssay. (2022, January 23). Market Entries for Various Types of Enterprises. Retrieved from https://business-essay.com/market-entries-for-various-types-of-enterprises/

Reference

BusinessEssay. (2022, January 23). Market Entries for Various Types of Enterprises. https://business-essay.com/market-entries-for-various-types-of-enterprises/

Work Cited

"Market Entries for Various Types of Enterprises." BusinessEssay, 23 Jan. 2022, business-essay.com/market-entries-for-various-types-of-enterprises/.

References

BusinessEssay. (2022) 'Market Entries for Various Types of Enterprises'. 23 January.

References

BusinessEssay. 2022. "Market Entries for Various Types of Enterprises." January 23, 2022. https://business-essay.com/market-entries-for-various-types-of-enterprises/.

1. BusinessEssay. "Market Entries for Various Types of Enterprises." January 23, 2022. https://business-essay.com/market-entries-for-various-types-of-enterprises/.


Bibliography


BusinessEssay. "Market Entries for Various Types of Enterprises." January 23, 2022. https://business-essay.com/market-entries-for-various-types-of-enterprises/.