Strategies Employed by Businesses to Enter Emerging Markets: A Report

This report explores the strategies businesses employ to enter emerging markets, focusing on entry modes, factors influencing selection, and the challenges encountered. The research investigates various entry modes like direct exporting, licensing, franchising, partnerships, and joint ventures, highlighting their advantages and disadvantages. The report identifies factors such as market size, growth, and government regulations that affect the selection of entry modes. It also examines the challenges faced by businesses, using Matches Fashion as a case study, including monopolies, legal protection, and corruption. The research recommends partnership and direct exporting as suitable strategies for small and medium-sized firms, emphasizing the importance of expert consultation and evaluation of relevant factors. The report concludes with a reflection on the research process and its impact on the author's understanding of dissertation structure and research methodologies.

Table of Contents
Section 1 Research Problem..................................................................................................................3
Section 2 Literature Review...................................................................................................................5
Section 3 Research Methodologies........................................................................................................8
Section 4 Findings..................................................................................................................................8
Section 5 Analysis..................................................................................................................................9
Section 6 Outcomes of Report...............................................................................................................9
Section 7 Reflection.............................................................................................................................17
Section 8 Bibliography.........................................................................................................................18
APPENDIX............................................................................................................................................20

Unit 11: Research Project
Proposed title: The different strategies employed by businesses to enter
emerging markets

Section 1 Research Problem
1.1. Purpose of research:
The purpose of research is: The different strategies employed by
businesses to enter emerging markets.
Research Questions:
 What are the different entry modes that business used by businesses
to enter into emerging market?
 What are the factors affecting the selection of entry modes for
business expansion?
 What are the challenges faced by Matches Fashion entering in
emerging market.
 What are the ways to select suitable entry modes to Matches
Fashion to enter into emerging market?
1.2. Research's objectives:
 To identify different entry modes that business used by businesses to
enter into emerging market.
 To determine the factors affecting the selection of entry modes for
business expansion.
 To extract the challenges faced by Matches Fashion entering in
emerging market.
 To provide ways to select suitable entry modes to Matches Fashion
to enter into emerging market.
1.3. Intervention
The intervention: "action taken to improve area of research". From the
above analysis, it has been recommended by the researcher that the best
suitable strategy to enter in emerging market is Partnership and Direct
exporting.
This is because for small and medium scale firm, it is not possible to set
infrastructure, human resources and other things, so through direct
exporting, firms does not need huge amount of infrastructure and it is less
risky and one of the fast entry modes.
On the other hand, partnership is another most suitable and best strategy
as shared cost reduce the investment needed and also reduced several
risks.

In addition to this, researcher also suggested that, firm could consult expert
and evaluate all the factors which are important to consider in selection of
suitable entry modes as well as it also affect the the selection of entry
modes for business expansion.
1.4: Principal Outcome
To identify different entry modes that business used by businesses to
enter into emerging market.
1.5: Summary
In the research paper, I can feel my biggest change is in dealing with the
structure of whole article. I have learned how the dissertation structure is
prepared and on the basis of this entire research study is conducted. The
entire research is very fruitful and knowledgeable for my carrier growth and
development.
I have learned how to prepared the aims and objectives of the study as it is
one of the critical part of the research. It is very important that the research
aim and objectives reflect the entire issues of the study and I have made
my efforts to do so.
I have also provided the justifications of alternative research methodologies
which could be used in this research. After that, I have collected some
information to complete my literature review section of the research and I
have review various articles to gather the information.
I have determined the different strategies employed by companies to enter
into emerging market (China). A study on ''Matches Fashion''.
The reasons why I have chosen this project are as follows:
There has been extensive studies has been conducted ion globalisation. In this
present research, researcher has selected the topic the different strategies employed
by the business to enter in the emerging market.
The reason for choosing the topic is to develop the understanding over the meaning
and concept different strategies employed by companies to enter into emerging
market.
Problem Statement:
This present research is based different strategies employed by businesses to enter
into emerging market. There are different entry modes like direct exporting, licensing,
Franchising,partnering, joint ventures, merger and acquisition and some others
through that businesses expand there operations and function at global level. But,
companies faces many challenges in selecting the different strategies for the
business to expand such as market growth, infrastructure,government regulations
and many others. It is very important that there should be proper selection of entry
modes so that the business expansion could be successful.

Organisations are looking to move at global level in order to achieve the highest
growth and success in the market. Thus, by conducting this research, researcher
has identified the mos tsuitable and appropriate entry modes to enter into emerging
market.
Personal interest:
On the other hand, the motive behind the choosing is academic interest on
globalisation, entry mode strategies,evaluation of research methodologies, data
collection techniques etc. Thus, with the study,research has gain understanding and
knowledge of all the elements of the research topic.
Section 2 Literature Review
2.1. Different entry modes that business used to enter the market
According to the Kolvereid and Isaksen, (2016) Globalisation term refers to the
integration of the markets in the global economy which lead for increasing and
raising the interconnectedness of the national economies. Globalisation is a
procedure of the integration and interaction among government, companies, and
people worldwide. There are some factors which easily affect the entry mode which
is for exploring the international and traditional expansion is entry mode.
However, Zahra, (2015)focusing on direct exporting is one of the way to directly sell
into market for choosing the first instance of own resources. It also established the
programme of sales which turns into agents and also distributors represent in the
further market. It is one of the typical but easiest way to enter into global market. Its
all possible because of globalisation and all the products and services are exported
in the foreign countries which is sourced from the
home country. The main advantages and aims is to enter into new market is to
avoiding the expenses for establishing the operations of the countries. It is term
which refers to the marketing and promoting the products which is a conceptual need
of the organisation.
According to the Meyer (2016) there are so many modes for entering into market
such as licensing is one of them where is sophisticated arrangement for the
organisation to take the transfer for the rights to use the products or services of
another organisation. It is one of the important strategy when the purchaser of the
licenses have relatively share of the market in the market where it wants to enter,
However, Osland, Taylor and Zou, (2015) this research will depend upon
Franchising is a process for the rapid expansion in the market and it also gains the
traction of the part in the world. It works well for entering into new market such as it
is one of the repeatable business models and another is joint ventures where the
organisation work together in a particular and certain market either its products or
geographic for creating the third company for undertaking this.

According to the Kolvereid and Isaksen, (2016) Partnership is one of the way to
entering into new market because it is one the most necessary part which has been
required where it takes variety of forms for the arrangement of the simple co-
marketing for the strategic alliance for manufacturing. Partnership is one of the
entering mode which has been focused by the company because it is useful strategy
in the market. It is for the development of the successful business,
strategic relationship, long term between suppliers and customers which is based on
achieving the best sustainable competitive advantages and practices. From
partnership of the business it lowers the burden of the work and investment as well.
2.2. The factors affecting the selection of entry modes for business expansion.
According to the Osland, Taylor and Zou, (2015) there are some factors which
affects the selection procedures such as one of the external factors is market size
which is not only the key factor because organisation has to keep in mind that the
international marketer selecting mode is on because it justifies the large size of the
market of the entry modes where it requires the commitment for long term
investment which is wholly owned the equity participation and subsidiaries.
However, Zhao and Olsen, (2018) said that market growth is one of the factor which
affect the selection of entry modes for the expansion of the business in which most
of the large markets and established markets such as China where organisation has
to enter and it has more and less for reaching the point of the saturation for
customers goods according to the products and services. The growth of the market
in the China is attracted day by day because of long term commitment and
investment of more resources in the market for the higher growth potential.
According to the government regulations is affecting the mode of selection which is a
great extent by the legislative framework for the overseas of the market.
Governments regulations means it is mandatory for the foreign organisation for
having the local partners. It also having the political risk such as the instability in the
political environment and turmoil dissuades organisation for committing more
resources to the market.
2.3. The challenges faced by Matches Fashion entering in emerging market.
According to the Ramaseshan and Patton (2016) there are so many challenges
faced by matches Fashion entering and emerging in the markets such as
Monopolies which represent the situation at very serious barrier of the entry because
monopoly only occurs when one organisation is one of the main provider for the
products and services in the market. It might be stated for owned and it can be
created for the takeover of the competitive organisations. And on the other hand
Porter, (2016) the legal protection is another challenge because from poor legal

protection provided and available to the foreign countries which also act as the
barrier and when company cannot assume the protection of their intellectual property
such as patents, copyrights and trademarks etc.
However, the Brouthers, Brouthers and Werner (2017) said that bribery and
corruption is a challenge faced by the organisation which commonly based on the
activities of the firm and sped up or made possible through the payment and cost of
the bribes. It is one of the key officials and makers of the decision will easily demand
form of the payment for allowing the transactions for proceeding. It is one of the
public opinion for targeting the countries against so many practices which remain for
the reality.

Section 3 Research Methodologies
Research methodologies
It is a process and term which refers to collection the data and information for
making the decisions of business. It involves so many methodologies of research
such as surveys, interviews, publication research and techniques of the research. It
also involves the both the historical and present information and data.
Research methodology has two types such as Qualitative and Quantitative.
Qualitative research is a basically exploratory research which used to gain the
understanding and knowledge for underlying the motivations, opinions and reasons.
It also provides the facility of the for in sighting the problems and also help for
developing the hypotheses and ideas for the potential research of qualitative.
Quantitative research is structured for analysing and collecting the data which
obtained from different sources. Researcher has apply the qualitative research
because it provides independence to the researcher where it only focuses on the
collection of information and data and less on the metrics (Kumar, 2019.).
Research approach
It is a plan and procedure for consisting the steps towards the broad assumptions
for detailing about the methods of all the data analysis, interpretation and data
collection.
It generally means it develops and makes a pattern and theory on the basis of the
collected data and information.
There are three types of the research approach such as deductive research
approach where it is a set of hypotheses and concerned about the existing theories
and it also designs the strategy for testing the hypothesis, inductive research
approach is only concerned with the new generation of new theory for
emerging the data. Abducting research approach is a set of weakness of both the
approaches.Researcher has applied the Inductive research approach because it
gets the work with all the probabilities and it begins with the specific observation and
interference.
Research planning approach
Research planning term relates to the part of grant application where it describes all the principles of
investigator of proposed research. The plan research provides a investigator principle for discussing
the opportunity of proposing the research. It also states the importance of research which has
conducted.
Section 4 Findings
Covered in PPT

Section 5 Analysis
Research project planner
1. Interview
Researcher can get detailed information about personal feeling, perception and
opinions (Mackey and Gass, 2015).
2. Questionnaire
(APPENDIX)
Section 6 Outcomes of Report
3. Observation
Qualitative function of data collection, like observation, interviewing, and document
analysis, have been involve under the umbrella term of "ethnographic methods" in
recent years.
The purpose and aim of this paper is to discuss observation, particularly participant
analysis, as a tool for collecting and gathering data in qualitative research studies.
Aspects of all the analysis and observation discussed herein include different
definitions of observation participant, some history of its using, the purposes for
which such observation is used, the stances and roles of the observer, and
additional information about when, what, and how to observe.
4. Use a personal records
5. Data analysis
Data analysis is a basically term that refers to the systematically applying of the
tools, techniques & logical techniques for illustrate, evaluate & describing the of data
evaluation. Researcher will implement & apply the Qualitative Thematic data
analysis because it is one of the simple & common forms of the analysis for
emphasizing the recording patterns, examining, and pinpointing etc. within the data

analyses. Thematic data analysis are patterns across the sets of data which is
important for the description of the phenomenon and it also associated with the
specific questions of research(Taylor, Bogdan and DeVault, 2015).
6. Action research
Action research include actively participating in the change situation, often via an
existing organization, whilst simultaneously conducting research. Action research
can also be undertaken by larger organizations and institutions, assisted & guided
by professional researchers, with the aim of improving their strategies, practices and
knowledge of the environments within which they practice. As designers &
stakeholders, researchers work with others to propose a new course of action to help
their community improve its work practices. It depends upon nature of the people
involves all the action research as well as the person(s) organizing it, there are
different ways of describing action research.
7. Focus groups
It is a method of qualitative research consisting of interviews in which a group of
people are asked about their perceptions, opinions, beliefs, and attitudes towards a
product, service, concept, advertisement, idea, or packaging. Questions are asked in
an interactive group setting where participants are free to talk with other group
members. During this process, the researcher either takes notes and record the vital
points he or she is getting from the group. Researchers had selected the members
of the focus group carefully for effective and authoritative responses.
3.2. Maximum fashion retailers were operating in fashion industry for last 5 to
7 years

PARTICULARS FREQUENCY
2 to 5 years 5
5 to 7 years 4
7 to 10 years 10
10 years and above 3
Interpretation:
The above questionnaire conducted from 25 different fashion retailers and it is
identified that maximum number of fashion retailers were operating in fashion
industry for last 5 to 7 years as 10 retailers were supported. They have enough
experience in fashion industry. Whereas, there were 4 retailers who has experience
of more than 4 years and less than 5 but they are also eligible to answer the
questions. Moreover, there are 4 retailers who has experienced for 5 to 7 years and
rest of 3 have more than 10 years of experienced.

Section 6: Research Ethical Approval form