Evaluate And Select Specific Foreign Markets

1. WHICH
MARKET
TO ENTER?

2. Which
Market
to Enter?
How many
markets to
enter at a
time?
Evaluation of
Potential
Markets
Markets in
Developed
vs.
Developing
nations

3. HOW MANY MARKETS
TO ENTER?

4. Strateg
y
Waterfall Sprinkler

5. Region 1
Region 2
Region 3
Region 4
MARKET ENTRY
WATERFALL
STRATEGY
(Less burden on resources)
Followers of this strategy

6. SPRINKLER
STRATEGY
(High resource requirement. Helpful in
technology based products)
MARKET ENTRY
Region 1 Region 2 Region 3 Region 4
Followers of this strategy

7. DEVELOPED
VS
DEVELOPING MARKET

8. DEVELOPED NATIONS
(Lesser Demand and morespending power)
Developing nations
(Moredemand and lesser spending power)

9. SOME STATISTICS...
DEVELOPED NATIONSACCOUNTFOR ONLY 20% OFTHE POPULATION
DEVELOPING MARKETSMAKE UP 40%OF CADBURY’SMARKET,50% OF TUPPERWARE’SMARKET
COCACOLA EARNS15%REVENUEFROM THETHREELARGESTEMERGINGASIANMARKETS-INDIA,CHINAAND
INDONESIA

10. SERVING
DEVELOPED
NATIONS IS

11. MARKETING
FOR
DEVELOPING
NATIONS IS
AN ART

12. EXAMPLES
Grameenphone marketed cell phones to
35,000 villages in Bangladesh by hiring
village women as agents who leased phone
time to other villagers, one call at a time.
Colgate-Palmolive rolled into Indian
villages with video vans that showed
the benefits of tooth-brushing

13. Smaller packaging and lower sales prices are often
critical when incomes and housing spaces are limited.
A Western image can be helpful. It symbolizes values of
modernity and affluence.
SOME STRATEGIES FOR
DEVELOPING MARKETS

14. EVALUATION
OF
POTENTIAL MARKETS

15. FACTORS THAT NEED TO BE CONSIDERED
WHILE EVALUATION
1) DEMOGRAPHIC
2) ECONOMIC
3) SOCIOCULTURAL
4) ENVIRONMENTAL
5) POLITICAL-LEGAL

16. GEOGRAPHICAL PXOXIMITY
(U.S. &CANADA OR U.S. & MEXICO)
PSYCHIC PROXIMITY
(PREFERENCE OF U.S. TO SELL IN ENGLAND AND AUSTRALIA RATHER THAN GERMANY
AND FRANCE DUE TO FAMILIAR LANGUAGE, LAWS AND CULTURE)

17. THANK YOU

18. Created by Akash Yadav, IIT Kharagpur, during an
internship by Prof. Sameer Mathur, IIM Lucknow.
www.IIMInternship.com