Foreign Market Entry Strategies Adopted by Firms in Kenya's EPZ

Foreign Market Entry Strategies Adopted by Firms in Kenya's EPZ

The increasing globalization of business,the changing face of global political landscape, increased diffusion of political boundaries and the changing forms of governance structures for international firms requires a continuous examination and evaluation of factors that influence entry mode decisions in any foreign market.This study established that majority firms operating in Kenya EPZ were wholly owned and controlled subsidiaries,in the absence of host countries restrictions firms would be encouraged to go for more control and ownership structures in the Kenya’s EPZ.Technology and proprietary products only served to motivate firms to own their products or technology.This study has contributed to the theory of foreign market entry strategies in the International business literature, the study has provided insights on how to effectively deal with specific challenges of foreign market entry and Investments.The results of this study will help policymakers to create the appropriate environment for foreign investors to come in and help in the economic and social development of Kenya.

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New Industrial Spaces in Kenya

New Industrial Spaces in Kenya

This study endeavors to determine whether Export Processing Zones (EPZs) are new industrial spaces in Kenya by analyzing their evolutionary, structural and survival strategies. The regulation approach, enclave approach, factor analysis and the product cycle model are employed in understanding the evolutionary and operational characteristics of EPZs in Kenya. The analysis is based on information gathered from a sample of 25 EPZ firms and 250 employees. The findings indicate that although EPZ firms in Kenya exhibit evolutionary, structural and survival strategies similar to new industrial spaces in North America and Western Europe, their contribution to the host economy has not been very significant. Their contribution towards employment creation, backward and forward linkages with the host economy has been hampered by EPZ enclave nature. This study recommends that in order for countries like Kenya to achieve integrated national development through strategies such as EPZs, there is need to: select industries with strong backward and forward linkages; encourage local manufacturers to produce quality goods; and continuously evaluate success of the EPZ program.

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Comparing the Entry Mode Strategies of Large versus Small Firms

Comparing the Entry Mode Strategies of Large versus Small Firms

The worldwide market integration is based upon rules and regulations for trade to harmonize the incorporation of regions with economic specializations and comparative advantages encouraging the promotion of free commerce. For many large firms, an expanding market implies new business opportunities demanding adjustments to stay competitive. However, nowadays the European Union’s economy and its growth is dominated by Small and Medium size companies, therefore, a deeper knowledge of its behavior in local markets as well as its interactions across borders is relevant for the effectiveness of the policy making process as it is for the entrepreneurs competing in the market. This book applies some theories related to the internalization strategic decision making process of large and small firms in order to compare their entry mode strategies into foreign markets. The analysis considers Belgium as the home market and the brewing industry as the focal sector from which three companies were selected to analyze equity and non-equity entry mode strategies between large and small firms as well as the relevance of host markets for the entry mode choice.

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The Effect of Guanxi on the Foreign Market Entry Process into China

The Effect of Guanxi on the Foreign Market Entry Process into China

Business network theory believes that foreign market entry of a firm is the result of the interactions between the actors of the firm and the network. When entering into China, the Western firms have to face some new network conditions that derive from its socio-cultural environment. This study aims to test one of the cultural specialties, guanxi''s effect on the foreign market entry process of the Western firms into China. Using data collected from Swedish firms established in China, the study finds that under the influence of guanxi, the market entry process of Western firms into China appear to show some different features compared with that into Western country markets. It takes more time to become established in China, more social activities and more non-business actors are involved in the process. These social activities within business circles are shown to contribute to the longer establishment time for Western firms operating in China. The findings suggest the existence of a social dimension to the business relationships and the need of a multi-level perspective of business relationships and networks.

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Retail Entry Strategies for emerging markets

Retail Entry Strategies for emerging markets

Available evidence on foreign direct investment often call for firms to try to reduce their stake in uncertain markets by utilizing the collaborative entry strategy in these markets. Based on a case study of over a dozen foreign retail firms in an emerging market in sub-saharan Africa, this project provides arguments to show the reverse could be the case for such uncertain markets because of very important market conditions peculiar to these developing markets taking into consideration also, the transaction cost of operation in such markets and the institutional dynamics in the market. So apart from the various firm characteristics discussed, several formal and informal institutional factors especially as they relate to the retail sub sector are also investigated and discussed to provide a better understanding of international retail entry strategy. The findings provide some valuable theoretical, empirical, and managerial contributions. This further broadens our knowledge base and opens up the argument on what factors to critically consider as retail firms invest in foreign emerging markets. Practitioners, students and academics will benefit greatly from reading this book.

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Business across Borders

Business across Borders

Since the large-scale liberalization of trade launched in 1990s, radical transformations have been taking place in the social and economic systems of Bangladesh and resulted in an increasingly liberalized government regulation toward business operations, which to a certain extent set foreign firms free to pursue their preferred entry mode strategies. Bangladesh has the benefit of location economies being situated in the middle of the world’s three highest growth areas - China, India, and Southeast Asia. In 2006, Bangladesh has been included in N11 countries as the successors of BRICs economies by Goldman Sachs. JP Morgan has also included Bangladesh in the ‘Frontier Five’ economies. Considering the market attractiveness, companies are, therefore, approaching to enter the Bangladeshi market proactively. Although a firm may enter into the foreign market by using different modes, it is difficult to find out the appropriate mode of entry that conforms to both firm’s resources and country specific challenges. This book attempts to find out the most efficient international market entry strategy for the firms contemplating its market expansion into Bangladesh.

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Strategies for a Successful China Market Entry

Strategies for a Successful China Market Entry

China is one of the fastest growing markets in our time. Due to globalization and shrinking trade barriers China becomes more and more attractive for foreign investments. How to enter this specific emerging market? The purpose of this book is to analyze the important facts that can lead to success or failure of foreign small and medium-sized enterprises. In order to describe the different strategies of China market entry the Author uses unique projects with a high practical orientation to make the theory applicable.

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Entry Strategy of Foreign SMEs in Emerging markets

Entry Strategy of Foreign SMEs in Emerging markets

This study examines and considers the effects of country conditions in Russia on entry strategy selected by small and medium foreign manufacturing enterprises (SMMEs), which is a SME in manufacturing. The purpose of this exploratory study was to further contribute to the development of the theory of the entry strategy of SMEs in emerging markets, currently being in its infant stage. The theoretical framework employed in this study was Dunning’s (1993) eclectic model. Specifically, the framework is used to study how the similarities and differences in country conditions affect the entry-strategy choices of foreign SMMEs and large manufacturing multinational enterprises (MNMEs) in the emerging market of Russia. Based on these similarities and differences, the conclusions and propositions concerning foreign SMMEs’ choices of entry strategy in emerging markets were developed. The international market entry strategy consists of a timing of entry, place of entry (as well as the choice of a place within the country), and a scale of entry. This qualitative study combined analysis of secondary data analysis with face-to-face interviews (with foreign firms’ decision makers in Russia.

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ANALYZING COMPETITIVE STRETGIES OF FOREIGN BANKS IN EMERGING MARKETS

ANALYZING COMPETITIVE STRETGIES OF FOREIGN BANKS IN EMERGING MARKETS

The technological speculations in day to day competitive field of global markets that continually shifts and change markets through their actions.. Even in the 21st century in developing countries particular from Asia, Africa, and Latin America countries lacking of competitive strategies in the banking sector. The study of foreign banks concentration increases obstacles to obtaining finance, but only in countries with low levels of economic and institutional development. The emerging markets are the higher prices for financial products and less access to finance, especially for smaller firms. Others have shown that it can lead to the entry of fewer new firms, less growth for younger firms, and delayed exit for older firms. We analyze the global competition such as measures of market concentration, or the Herfindahl index (another measure of market structure), are commonly used as indicators of competition based on the Structure- Conduct-Performance paradigm. The international banking system need appropriate theoretical framework to measure the degree of competition and their strategies of foreign banks

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