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How to succeed in foreign markets

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Эссе*
Код 291713
Дата создания 05 июля 2014
Страниц 3
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Описание

When we speak about operating on the foreign markets, we have to understand that the most important thing for producers is to choose right strategy because the benefits that firm will receive in future depend increasingly on it. ...

Содержание

Let’s speak about carmakers, which set their manufacturing bets beforehand. They appeared to do best from the emerging-market boom. The reason is that developing countries use high import duties in order to support local producers and to urge on investing in the expansion of national car industries. It is also important for car firms to be on the spot in order to know local conditions. Each BRIC market is various and it is essential for producers to know characteristics of the foreign markets and to use special strategies to do well in them.

Введение

When we speak about operating on the foreign markets, we have to understand that the most important thing for producers is to choose right strategy because the benefits that firm will receive in future depend increasingly on it.

Фрагмент работы для ознакомления

There is another situation in Brazil. They operated without local partners and the Brazilian market is dominated by the four firms: GM, Ford, VW and Fiat. In order to satisfy domestic demand for new
cars, Fiat, the market leader in Brazil, is working three shifts a day. It is one of the most productive car manufactures in the world, which produce 800,000 cars a year.
Nowadays, Fiat and VW produce some of their newest cars in Brazil, and what is more some cars are created especially for Brazilian market, which means that Fiat and VW are good at satisfying customers’ demand.
But the biggest problem is that there are many competitors in car industry such as PSA Peugeot Citroën and Renault, Toyota and Honda. Probably, Brazil will be the sixth in the world in producing cars.
AS for the Russian market, after the economic downturn, Russians bought used imported cars. It was unprofitable for Russia, so the government established high taxes for foreign carmakers. However, Russian carmakers did not use this advantage and, consequently, the gov’t took a decision to place foreign car manufactures in Russia. But they didn’t start forcing to organize joint venture like in China.
After the liberalization of the economy in India in 1990s Hyundai entered the Indian market and decided to move to full manufacturing because of high import duty. Nowadays Hyundai is the only car firm in India to produce a complete range of cars locally.
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