The paper "Entry Strategies and the International Human Resource Strategies " is an outstanding example of marketing coursework. The rapid change in the business environment has made competition intensified as the business scramble for customers. In the phase of such competition, choosing to remain within the domestic markets is considered not the best strategy for the company to survive. International business experts now advise managers to seek opportunities abroad to increase their competitive advantages. The quick rise of globalization in the recent past majorly owing to advanced technology connecting business and locations, financial deregulation, increase removal of the trade-barriers and the growing new markets for the investments is some of the advantages companies can benefit from.
Therefore, the debate of the market entry strategies has continued to create a great interest in international business practitioners and academics (Alan & Wei 2009). Even as companies scramble for new foreign markets, such a move is not easy and is marred with political, economical and socio-political challenges. The companies must, therefore, choose the most suitable entry strategy which matches their internal objectives and reduces the risk of being overshadowed in the market.
Based on secondary research, this report will evaluate the entry strategies and the global human resource strategies and approaches which global firm commonly employs when entering a new international market. To understand the most suitable strategy, the report will compare the pros and cons of each strategy, analyze and recommend their applications to the companies. 2.0 International Business Strategies 2.1 Entry strategies and their pros and cons Anderson & Buvik (2002) defined the entry strategy as a method employed by a firm to begin conducting business transactions in foreign nations.
In brief, an entry strategy is described as an arrangement which facilitates entry of the company’ s products, management, human skills and technology into another nation (Arregle, Hebert & Beamish, 2006). Many types of entry strategy can be used by companies to get into international markets. International business experts have often differed on the number of modes of entry into the new market. While some claimed there are six modes of entry, others have argued there are four. Christoph (2008) claims four modes of expanding global which he ranked, from the highest risk to lowest risk, including wholly-owned foreign subsidiaries, strategic alliances, franchising and licensing, and exporting.
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