International Entrepreneurship: Expanding Luminary Bakery in Singapore and Finland

This report discusses the expansion of Luminary Bakery in international markets through effective research and market analysis. It covers topics such as product research, appropriate markets, country/region research, market entry strategies, marketing mix, and overall strategic recommendations.

International
Entrepreneurship

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
TASK 1............................................................................................................................................3
Research products/services.....................................................................................................3
TASK 2............................................................................................................................................4
Research appropriate markets.................................................................................................4
TASK 3............................................................................................................................................4
Research countries/regions.....................................................................................................4
TASK 4............................................................................................................................................5
Critically synthesize, analyse and evaluate your information................................................5
TASK 5............................................................................................................................................5
Decide on and justify two target markets to enter..................................................................5
TASK 6............................................................................................................................................6
Explain what market entry strategies.....................................................................................6
TASK 7............................................................................................................................................7
Marketing mix........................................................................................................................7
Overall strategic recommendations........................................................................................8
CONCLUSION................................................................................................................................8
REFERENCES:.............................................................................................................................10
Books and Journals...............................................................................................................10
Online...................................................................................................................................10

INTRODUCTION
The nature of business environment is dynamic. Globalisation has helped the businesses
to expand their operations in international market. There is need of carrying effective research
and choosing best market to enhance the operations (Perenyi and Losoncz, 2018). This report is
based on Luminary Bakery that follows the model of social enterprise model and has two
registered entities i.e charity and bakery. The firm is planning to expand their operation in
overseas market. The selection of best market for the business is important part of this report.
The right set of customers for the company in international market are mentioned. The market
entry strategy for the company is mentioned along with marketing mix of the company is
mentioned in the report.
MAIN BODY
TASK 1
Research products/services
Luminary Bakery provide employment and development opportunity to women. They
provide training to the women so that they are able to develop their skills and knowledge and
contribute to the development of Bakery. It is an opportunity for women to use the same bake
products for their earnings as well. The company provides various bakery items such as cake,
Coffee, hot drinks, Letterbox Brownie, pastry etc (Luminary Bakery products, 2022).
SWOT Analysis
It helps to know about the internal capability of the company. There is need of working in
such a manner that all the weakness is converted into strengths. The company must analyse
opportunities and take actions to achieve them (Zahra, 2021). The company must be prepared to
face the threats. AWOT analysis in regard to Luminary bakery is as follows:
Strengths
 They have wide variety of products that
helps them to serve the needs and wants
of the customers effectively.
Weakness
 They have to spend huge amount of
money on training and skill
development of employees.
Opportunity
 The firm has option of expanding their
Threat
 There are various competitors of

operations in different overseas market. Luminary Bakery that possess high
threat in market.
TASK 2
Research appropriate markets
Luminary Bakery was established in 2014 as an inspiration from women meeting in East
London. There were 2,661 baked food manufacturing enterprises in the UK. The company is
earning good amount of money with the help of their operations. The target customers of the
company can be evaluated with the help of STP model.
Segmentation: It is the process of dividing overall population into smaller groups such as
demographic, psycho-demographic, geographic, behavioural etc.
Targeting: In regard to Luminary Bakery they target the customers of the basis of their
demographic profile. All the households and residents are their target customers. Age for them
includes variety as they have different products to satisfy children and other for the adults.
Positioning: This is the strategy of creating image of the products of the company in the
mind of customers (Vadana and Et. Al., 2019). Luminary Bakery has positioned themselves as
quality products that satisfy the requirement of all age groups. They have high brand value
because they believe in women empowerment.
TASK 3
Research countries/regions
There is key role of analysing the right country in which the business will be able to
expand its operations effectively. The use of funnel model will help to decide the country choice
best for Luminary Bakery. There is need of considering the external and internal factors that will
impact the decision. In the first step the company sets objectives regarding expanding the
operations (Jafari-Sadeghi, Kimiagari and Biancone, 2019). Afterwards, Luminary Bakery will
analyse the external environment of various nations that have opportunity for expanding the
business. Opportunities and threats about the place will also be examined. The company will
explore their own strengths and weakness so that they are able to grab the opportunity. Selecting
best place is necessary for the success of their bakery.

TASK 4
Critically synthesize, analyse and evaluate your information
After carrying the research regarding the market there are key factors such as culture,
political condition, economic condition of the nation will be examined. There is need of
managing the work in such a manner that better results are attained. Luminary Bakery has
effective resources and good brand image that will help them to manage their work in best
suitable manner. There is need of expanding their business and grab the opportunity that is
present to carry on the work. It becomes important to carry on the work in such a manner that all
the problems that may take place are eliminated (Baier-Fuentes and Et. Al., 2019). The Bakery
supports the women and this helps them to carry on their work in overseas market effectively.
All the countries have their own risk and opportunities so it is important to examine best place to
expand their operations.
TASK 5
Decide on and justify two target markets to enter
The business will be expanded in Singapore, Asia and Finland, EU.
External Factors
 Economic position of Singapore is stable and they encourage business to operate there.
Along with that Finland is also Finland is ranked 6th among 45 countries in the Europe
region, and the company will be able to earn effectively over there.

 There is low political risk seen in Finland then other countries in EU (BEST BUSINESS
ENVIRONMENTS IN THE WORLD, 2022). Singapore remains one of the world's
strongest economies.
 Culture followed in most of the part of EU is same and this helps the Luminary Bakery
to expand the operations effectively. Singapore has modern culture that consists of
combination of Asian and European cultures.
Internal Factors
 The staff of the company is highly trained and ready to work in best suitable manner that
helps them to operate effectively.
 They have good resources as well that assist them to expand the operations without
problems.
TASK 6
Explain what market entry strategies
There is key role of analysing the best market entry strategy that will help Luminary Bakery
to expand their operations. The different strategies are mentioned below:
Direct export: It is one of the common and widely used strategy to sell the products and
services in foreign market. There is need of having distribution network to the overseas ad then
selling the product directly over there. There are less risks present in this method.
Licencing: It is one the sophisticated arrangement that allows a firm to transfer the right to
use a product or service to another firm (Verbeke, and Ciravegna, 2018). It helps in the situation
when purchaser of the license has a relatively large market share.
Franchising: It is similar to the licensing strategy of expanding the business. In this model
the same type of outlet is being opened by the franchisee in the foreign market. The company get
the competitive advantage and is able to operate effectively in the new market.
Joint venture: It is a type of partnering under which one domestic firm partners with
foreign firm. The company has synergy from both the forms. It is necessary to work with the
capabilities of both and attain advantage. It is seen that the foreign firm is able to get benefits as
they are aware about the market and the capability of older firm can be used. In relating to
Luminary Bakery, they must use this option to expand their operations in Finland and Singapore.

The local taste and preference will already be known and the brand name of Luminary Bakery
will be used.
Buying a Company: In this case, the company directly purchases the company in the
international market. They are able to gain competitive advantage because they already have
existence in the market.
Piggybacking: In this strategy the company enters the new market and start their operations
as a new company over there. It is necessary for the company to understand the operations of the
international market and start own operations.
Luminary Bakery must go on for joint venture strategy and this will help them to take
benefit of both the organisations.
TASK 7
Marketing mix
Marketing mix contains multiple areas of focus as a part of marketing strategies. Marketing mix
is fundamental model used in production, launching, branding and promoting. The 4P’s ae
mentioned below:
 Product – This represents the service or item designed to satisfy customers according to
their needs. Luminary Bakery will maintain high quality of their products so that they are
able to gain lead in international market. The product will be altered as per the needs and
wants of the customers.
 Price – Price of the product play vital role in sales of company. It refers to the pricing
strategy and how it will impact customers (Sadeghi and Et. Al., 2019). Luminary Bakery
will use penetration pricing in order to attract the customers.
 Place – Placement and distribution of product is important in marketing mix, as it is
easily assessable to its customers. Luminary Bakery is planning to expand their
operations in Singapore and Finland. Along with that the company will use online mode
to operate.
 Promotion – The use of social media strategy and other offers in the starting will be
given by Luminary Bakery in order to attract the customers.

Overall strategic recommendations
 Luminary Bakery must use the innovative ideas at the time of entering the market. The
use of latest technology will help to attract the customers.
 There is key role of carrying research so that right decision is taken by the company.
CONCLUSION
From the above report, it is concluded that there is key role of research in expanding the
business in international market. The sue of models and theories is done to find the best market
for the business. The evaluation of best choice of country and the mode of entry is important part
of this report.

REFERENCES:
Books and Journals
Baier-Fuentes and Et. Al., 2019. International entrepreneurship: a bibliometric
overview. International Entrepreneurship and Management Journal, 15(2), pp.385-
429.
Jafari-Sadeghi, V., Kimiagari, S. and Biancone, P.P., 2019. Level of education and knowledge,
foresight competency and international entrepreneurship: a study of human capital
determinants in the European countries. European Business Review.
Perenyi, A. and Losoncz, M., 2018. A systematic review of international entrepreneurship
special issue articles. Sustainability, 10(10), p.3476.
Sadeghi and Et. Al., 2019. International entrepreneurship by particular people'on their own
terms': a study on the universal characteristics of entrepreneurs in evolving
economies. International Journal of Entrepreneurship and Small Business, 37(2),
pp.288-308.
Vadana and Et. Al., 2019. Digitalization of companies in international entrepreneurship and
marketing. International Marketing Review.
Verbeke, A. and Ciravegna, L., 2018. International entrepreneurship research versus
international business research: A false dichotomy?. Journal of International Business
Studies, 49(4), pp.387-394.
Zahra, S.A., 2021. International entrepreneurship in the post Covid world. Journal of World
Business, 56(1), p.101143.
Online
Luminary Bakery products, 2022. [Online] Available through: <
https://luminarybakery.com/collections/all/pastry?sort_by=title-ascending >
BEST BUSINESS ENVIRONMENTS IN THE WORLD, 2022. [Online] Available through:
<https://www.businessfinland.fi/en/do-business-with-finland/invest-in-finland/business-
environment/why-invest-in-finland/safe-playground>