ARCTIC INNOVISION CASE

ARCTIC INNOVISION CASE 1
ARCTIC INNOVISION CASE
Felipe Biraghi Fantinatti, Gene Marco Oledan, Mary Ann Blando, Rani-fay Llamido and
Tarek Fakih.
Group number: 4
Professor: Debbie Patterson
Date: 2019-05-24

ARCTIC INNOVISION CASE 2
SITUATIONAL SUMMARY
Augmented reality has been a major trend to the modern world
wherein the real and digital world blends in together. This has been a dream
come true for the owner of ARctic Innovision when he was once inspired by
the movies such as “Ironman” and “Pacific Rim”.
ARctic Innovision (“ARI”) is a five-year old successful augmented
reality business in Canada. Having two major locations across Canada,
Toronto and Vancouver, the organization has made millions of dollars profit
and is considered as one of the widely known companies specializing in
augmented reality. The company’s main expertise concentrates on
production and selling of augmented reality hardware and software to its
Canadian database. The company’s secondary product is to provide training
and technical consulting to its clientele. The group of professional within the
company expertise in management, programming, consulting, research and
development as well as production of augmented reality devices.
Financially, ARctic has been heavily supported by the family members
of the owner and this has been one of its strengths as it has taken its own
time to prosper and be successful in the augmented reality industry. As part
of the company’s business expansion, the owner targets to enhances its
presence globally hence, planning on international business operations.
The owner has chosen the country of Brazil to start off with its global
expansion. The destination country comes with its own opportunities and
risks for the global expansion and the company is willing to take one step
further to expand to this country for numerous reasons. Brazil has been a
good steppingstone for the global market and without any restriction on the
company’s financial terms, the plan for expansion is win-win situation.
Given the technical expertise of ARI for augmented reality products
and management, an international alliance from a company in Brazil will

ARCTIC INNOVISION CASE 3
certainly build the bridge of the company towards international expansion.
Important decision making on the control and acquisition of the Canadian
business will have to be settled between the two merged companies in order
to come up with a successful business plan mutually beneficial for them.
PROBLEM ANALYSIS
The case has been contributing to the insight of augmented reality,
which has been a major trend in the modern world. ARctic Innovision (ARI) is
a profitable and successful augmented reality organization in Canada. It has
diversified into two big cities of Canada i.e. Vancouver and Toronto and has
highly competent personnel having expertise in research & development,
programming, production, consulting, and business management of
augmented reality devices. The problem, which has been identified as the
organization has been reluctant to risk legal complications by exporting
virtual reality to different countries. It is quite evident that augmented reality
software might not be effective in the country, which they are willing to
expand and commonly have low adoption rates in the digital world. It can be
associated with the bureaucracy and high extent of regulations that prevent
to train artificial intelligence algorithms (Harley, Lajoie, Tressel, & Jarrell, 2018)
It is stated that major concentration should be based on the human-
capital interaction of those solution to assist with adoption. Virtual reality is
mostly utilized for gaming as it can be used for work-related applications and
replace real-world objects. This situation is emerged, as they need to
generate a strong appetite for augmented reality internationally. It is very
risky and complex due to the reason that it is slightly difficult to expand the
business in another country as it projects too much confusion, which leads in
digital data as well as privacy invasions and physical security risks (Scholz &
Smith, 2016).
There are organizational strategic consequences in making a decision
regarding Meganational approach is that several people become familiar with

ARCTIC INNOVISION CASE 4
the AR entertainment applications such as mobile app Pokémon Go and
Snapchat filters and generates connection among machines and humans. It
is quite evident that ARctic Innovision recently delivers products to Canadian
clients and need to expand into another country i.e. Brazil because there is a
diversified market for a ‘click to buy’ utilization of AR and distance learning
in the near future. They are following a Joint venture with Brazil, which can
create the client’s real world into digital content. It is seemed to find cultural
differences in Brazil as it is seen that their people are more open-minded
when it comes to embracing new technologies. As compared to Canada, their
people are more confused regarding virtual items in meeting digital
consideration (Ocampo & Palaoag, 2019).
It is stated that the policy implications of Canada are generating
support in maintaining augmented reality business and generating value in
the future. As compared to Brazil, policy initiatives are taking credibility to
maintain new customers and encourage the Brazilian AR market. The joint
venture is effective for ARI, which assists in generating competitive
advantage and profitability. However, it is required to diversify the business
in Brazil as it assists in maintaining growth and profitability by interactive
software applications at an effective price. By implementing these changes
will offer potential opportunities to expand the business and attain growth. It
is stated that these issues are significant to generate success in the
organization so that they can generate a position in the new diversified field
(Block & Walter, 2017).