Determining Strategies for Entering Emerging Markets: ASDA's Approach

This report examines the strategies employed by businesses to enter emerging markets, using ASDA as a case study. It begins with an introduction to globalization and its impact on business expansion, emphasizing the opportunities and challenges of operating in a globalized world. The report then outlines the research aims, objectives, and questions, focusing on identifying the various strategies businesses utilize to enter new markets, such as direct exporting, licensing, and joint ventures. A review of literature covers the concept of globalization and different market entry strategies. The research methodology section details the use of both primary and secondary research, including qualitative and quantitative methods, and the sampling method employed. The report concludes by discussing the advantages of employing different strategies to globalize business operations, such as increased market share and heightened competition, with a focus on how ASDA adapts its strategies to various emerging markets. The report provides a comprehensive analysis of the key factors influencing a company's success in expanding its operations globally.

Research Project

Title: “To determine the different strategies employed by business in order to enter
emerging markets. A study on ASDA.”
INTRODUCTION
Globalisation is a procedure of integration among companies, government, people in over
the world. It increases due to advancement in technology, communication and transportation that
provide opportunity to commercial activities to spread out operation at worldwide for generating
huge profitability level. Along with this, it also allows businesses as well as countries to produce
goods and services in order to accomplishing agonistic advantage from competitors at global
level. It also helps in gaining economic welfare by lower prices for customers. As per current
scenario, it refers to making world economy more connected and interdependent through which
firm can enlarge their commercial enterprise activities and maintain competitive image at global
level (Grant, 2016). In this regards company also use different strategies for entering into new or
emerging market so that they can amend the possibilities for attaining higher growth or success
as well. Therefore, it is crucial for business organisation to examine industry environment earlier
extend their business as it help in eliminating the possibilities of risk and conflicts. This will
directly contribute in attaining competitive success and acquiring bigger market share from
competitor. Current research is supported on ASDA, is a British supermarket retailer run their
enterprise worldwide with the purpose of accomplishing their positive brand image. Company
was founded in 1949 and offer number of services to customers in order to attain their higher
satisfaction. Report is going to discussed about globalisation concept and various strategies use
by company for entering into new market for gaining positive and competitive image so that
more and more customers get attracted and make it more successful.
Research aim:
“To determine the different strategies employed by business in order to enter in emerging
markets. A study on ASDA.”
Research objectives:
 To interpret the concept of globalisation.
 To determine the various strategies used by business to enter into emerging markets.
 To determine the advantage of using different strategies employed by business to
globalising their business.
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Research questions
 What is the concept of globalisation?
 What are the various strategies used by business to enter into emerging markets?
 What are the advantage of using various strategies employed by business to globalise
their business?
Rational of research
Present research focus on assorted strategies applied by firm for entering into new
market. In this globalisation is a wider concept and also include huge information that support
leaner to enhance their specified skills and knowledge that help them in improving their personal
and professional level. By this research, researcher also realize the effectiveness of different
globalisation strategies and how it is appropriate for firm to expand their operational activities
(Lebedev and et. al., 2015). In this context, researcher also analysis how different strategies are
helpful in entering into new market. This will aid in developing their skills related to different
entry modes which support them in undertaking research in future time frame. By this, research
worker easily take right and valid decision at the end of the investigation. .
Review of Literature
Concept of globalisation
According to Mathooko and Ogutu, (2015), now a days, every business organisation
wants to operate their operations at global level for accomplishing their target and gain higher
growth. At global level, company gain various opportunities like increased in competition, global
awareness, Location flexibility, increased market shares and many more. All these help
commercial activities to establish their competitive growth and at the same time also develop
new and innovative ways to serve their services. This will aid in raising the possibilities of
accomplish higher success at global level and also influence large number of customers. In
addition of this, globalisation is all about the opportunities or efficiencies to create open markets
in which company run their business to established their competitive image.
Different strategies used by business to enter into emerging markets
As per the view of McIntyre and Srinivasan, (2017), It is crucial for organization to select
effectual plan of action to enter into new market for increase the value of company and its
services to compete its competitors. By this, organization can enlarge their operations at global
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level and also may increase their profitability level. Selecting appropriate market strategies is
highly depending on the company as per their requirement. This will contribute in accomplishing
success at competitive advantage. In this regards, there are some entry modes that can be used by
company for entering into rising industry are as follows:
Direct exporting is allow company in directly exporting goods and services in another
market with the aim of expanding their business activities. In this type of method includes
relatively low financial exposure that help company in acquiring proper knowledge about the
local market. This will increase the chances of attaining success at global market.
Licensing is also consider as an effective strategy in which company sign contract with
foreign companies that allow them to manufacture and sell their products in market place for
generating larger profitability level. With the use of this entry mode, company easily enter into a
new market and also expand their business. One of the main advantage of using this mode is it
includes low cost of entry into global market by reducing the political risk.
Joint ventures one of the important mode of entry in new market in which two different
companies are combine their resources to sell their products and services in market place. Along
with this, if firm wants to expand their business at international level that they use joint venture
with local business. In this both companies share risk, rewards and profits acquired by business.
All these help company in globalising their functional activities at global level that may
immediately impart in accomplishing competitive success.
Advantage of using different strategies employed by business to globalise their business
According to O’Hara, (2015), At worldwide, various strategies are used by company to
expand their commercial activities. In this, firm also tries to acquiring large market share form its
competitors. While operating globally company also get various advantage that help in
establishing their competitive image and sustain for longer period of time. In this regards, the
most crucial strategic decision of international business is to operate their business for gaining
competitive success. Mainly, market enter strategy is considering as a planned methods of
delivering better goods and services to a target market for establishing competitive image. In this
context there are some advantage of using different strategies are:
 Raise market share
 Increased competition level
 Invite more and more consumers
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Research time plan
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Research methodology
Primary research: It is a process of gathering information from original sources for
undertaking investigation. In this, data and information can be obtained through survey,
observation, mail, face to face interview and many more (Opresnik and Taisch, 2015). All these
assist in perceptive answerer opinion towards the specified theme and investigation area.
Secondary research: In this data is collected by someone else that is already published
and undergone. Mainly, it is available from different sources that aid in render in-depth
evaluation about the particular area. This is gathers from different books, journals, articles,
magazine and so on. By this, investigator can take right and valid decision.
For undertaking current investigation, researcher will use both primary and secondary
method for collecting data and information through which positive and reliable results can be
easily attained.
Qualitative method: It is scientific method of observation that help in gathering in non-
numerical data in order to collect relevant data and information in an effective manner (Oskam
and Boswijk, 2016). This will support in attaining positive and reliable outcomes.
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Quantitative method: It includes statistical, numerical analysis of data collection in which
researcher includes questionnaire, survey and many more aspects to gather relevant data and
information through which investigator can gain reliable results.
Sampling method: This is type of procedure for selecting sample size from the large
number of population for gathering authenticate data towards the selected topic and area as well
(Rauter, Jonker and Baumgartner, 2017). This will help in improving the possibilities of succeed
valuable outcomes at the end of the research. It includes probabilistic and non-probabilistic
method. In this, investigator use random sampling method to select sample size of 40
respondents.
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REFERENCES
Books and journals
Grant, R. M., 2016. Contemporary strategy analysis: Text and cases edition. John Wiley & Sons.
Lebedev, S. and et. al., 2015. Mergers and acquisitions in and out of emerging
economies. Journal of World Business. 50(4). pp.651-662.
Mathooko, F. M. and Ogutu, M., 2015. Porter’s five competitive forces framework and other
factors that influence the choice of response strategies adopted by public universities in
Kenya. International Journal of Educational Management. 29(3), pp.334-354.
McIntyre, D. P. and Srinivasan, A., 2017. Networks, platforms, and strategy: Emerging views
and next steps. Strategic Management Journal. 38(1). pp.141-160.
O’Hara, M., 2015. High frequency market microstructure. Journal of Financial Economics.
116(2). pp.257-270.
Opresnik, D. and Taisch, M., 2015. The value of big data in servitization. International Journal
of Production Economics. 165. pp.174-184.
Oskam, J. and Boswijk, A., 2016. Airbnb: the future of networked hospitality
businesses. Journal of Tourism Futures. 2(1). pp.22-42.
Rauter, R., Jonker, J. and Baumgartner, R. J., 2017. Going one's own way: drivers in developing
business models for sustainability. Journal of Cleaner Production. 140. pp.144-154.
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