Strategies for Global Market Entry: A Case Study on Averitt Express

This report provides a comprehensive analysis of global market entry strategies, focusing on the case of Averitt Express. It begins with an introduction to market entry strategies and their significance, followed by an examination of Averitt Express and its potential for international expansion. The report outlines the aims of the investigation, including determining entry strategies, understanding challenges, and exploring issues in the global business environment. It then provides a rationale for choosing the topic and a background to the research, followed by a literature review that explores various market entry strategies, challenges faced by organizations, and strategies to mitigate these challenges. The literature review covers topics such as joint initiatives, strategic collaborations, and the importance of market analysis. The research methodology section details the research philosophy, design, choices, data sources, and collection methods, including the use of questionnaires. The report concludes by summarizing the key findings and offering insights into the strategies that Averitt Express can employ to successfully enter and thrive in the global marketplace. References are included to support the research findings.

Global Economies and
International Market

Contents
INTRODUCTION...........................................................................................................................3
POTENTIAL TITLE...................................................................................................................3
AIMS OF THE INVESTIGATION / HYPOTHESIS / RESEARCH QUESTIONS.................3
RATIONALE FOR CHOOSING THE TOPIC..........................................................................4
BACKGROUND TO THE RESEARCH TOPIC.......................................................................4
CURRENT AND FURTHER READING SOURCES...............................................................4
LITERATURE REVIEW................................................................................................................4
To recognize the value of corporate market entry strategies when entering into the
international level:.......................................................................................................................4
To analyze the challenges facing organisation before entering into international market..........5
To explore the strategies which the corporation should follow in order to lessen challenges
associated with international market:..........................................................................................6
RESEARCH METHODOLOGY.....................................................................................................6
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Market entry strategies are primarily designed for distributions and selling of products and
services to new targeted market. Furthermore, it relates to the foundation, development and
maintenance of contractual agreements with an overseas nation. There are numerous market
penetration strategies, such as Strategic Alliances, Collaboration, Mergers and Acquisitions,
Franchise, Mutual Collaboration and plenty more. All this approach serves a significant role and
has an influence on overall productivity of the organization. Averitt Express has been taken into
account for present research (Glavas, Mathews and Bianchi, 2017).
Averitt Express company is privately-owned transportations and supply network services
corporation headquartered in the Cookeville, Tennessee. The corporation was formed as
the Livingston Merchant's Co-op in year-1958 and formed as the Averitt Express in year 1969.
Averitt is managed by the Gary Sasser, who acquired the corporation through its initial owner,
the Thurman Averitt, at age of Twenty in Oct 1971. At time of purchasing of the Sasser,
the Averitt worked 3 trucks including 5 trailers. Since about 2015, the corporation continues to
be nation's top providers of cargo shipping and supply chains operations. The greater authorities
of company Averitt Express is preparing to broaden its businesses in new Asian markets, and this
review is being carried out in attempt to see which market entrance approach is successful and
necessary for them. Analysis would include market penetration tactics along with their role in
preserving and retaining their strategic position in international marketplace. In conjunction, the
different research methods/techniques used together with Gantt chart are outlined in an
appropriate manner.
POTENTIAL TITLE
“To determine the strategies that can use by organisations for entering a global market
place.” A case study on Averitt Express.
AIMS OF THE INVESTIGATION / HYPOTHESIS / RESEARCH QUESTIONS
 To determine the entry strategies for Averitt Express to enter into global business
environment.
 To seek understanding about certain challenges Averitt Express will be facing to enter the
global business environment using identified strategies.

 To explore the issues and problems which exist in international business environment and
market for Averitt Express.
RATIONALE FOR CHOOSING THE TOPIC
The key reason or ration for which the researcher will be conducting the specific research on the
topic of global business environment is to determined and seek knowledge about all the
strategies which are available for businesses to enter a global market while seeking opportunity
to expand and develop further.
BACKGROUND TO THE RESEARCH TOPIC
The background of the research is simple as the investigators will be discovering and collecting
sufficient data or information over the presented topic and title of the work.
CURRENT AND FURTHER READING SOURCES
The company Averitt Express is an a privately owned company which operates in travel
and tourism sector of Hospitality industry. The company was founded in 1958 and use to be
known as Livingston Merchant's Co-op. The headquarters of the firm are in Cookeville,
Tennessee and has around 5000 employees which makes it a large organisation. The
organisations are domestic and wishes to expand and grow further in the world which clarifies
the reason for company to move abroad and raise their revenue as well as profits. Thus, while the
research is conducted the focus for its findings will be over the aim of research that are finding
strategies to expand in global market, the obstacle company will face and the challenges present
in international market for the entity (Shardina and Galkina, 2019).
LITERATURE REVIEW
To recognize the value of corporate market entry strategies when entering into the international
level:
As per Dahms, (2019), there are certain methods for entering the foreign market, like joint
initiatives, strategic collaborations, purchases, licences, mergers and consolidations. These
are quite critical tactics that help to grow the market at a large level. In line with existing market
environments, there is a greater degree of competition occurring on the marketplace and hence it
is necessary to broaden business at world stage. In the sense of the Averitt Express, which is
primarily operating in UK, it is important to expand business in various countries around the

globe. To grow and broaden businesses at the global arena, management must have a strong view
of the potential systems and services needed to diversify.
Nowadays in attempt to stay on the industry for a prolonged span of time this is crucial to
implement modern and innovative expansion tactics. Furthermore, it is therefore important to
conduct essential market analysis in attempt to acquire sufficient knowledge on the global
market place. Through entering a foreign market, the company will reach a worldwide audience
that would pump up its brand value and render it easier to gain a large profitability. Through this
the corporation would be enabled to strengthen its position in the international markets, which
would further contribute to faster development and prosperity.
To analyze the challenges facing organisation before entering into international market.
As per Nee, (2019), there are many obstacles and hurdles that businesses face at phase of
growth. Here the corporation is intending to expand businesses at the global arena where it can
encounter a range of cultural, value, infrastructure and other restraints. It is evaluated that for
growth, the company would spend a larger volume, which would decrease the total sales and
profit margins. In the light of the Averitt Express, it is struggling with supply chain
infrastructure facilities as well as has to confront a wide variety of challenges when extending its
activities at global scale in multiple nations. All contribute to prices, variations in society,
regulation and more. Moreover, there is still an immense risk involved with this, since it is likely
that foreign consumers would not approve products/items and services. Furthermore,
cultural and ethical values often cause challenges when expanding business, as there are various
communities present in different nations in Asia that influence the perception of different
customers. Small companies and start-ups don't even have substantial resources to splurge in
expansion, which could put a major restriction on their development and performance. In
addition, management are expected to examine existing policy, patterns emerging at global level
in various nations to develop strategies that would take a significant amount of time. Company
activities, rules in various nations are often varying, but administrators also need to change their
existing plans and initiatives. There are however, various obstacles that need to be met by an
organisation when exploring activities at a large level.

To explore the strategies which the corporation should follow in order to lessen challenges
associated with international market:
From the point of view of Massot, (2020), the corporation has to confront a variety of
obstacles at the phase of the expansion of business. There’re certain approaches/ways to resolve
these obstacles, such as recruiting native workers, planning proactive plans, evaluating business
dynamics, and much more. It is watched that administrators face immense expense difficulties
when exploring the market. In order to achieve this, they ought to plan an acceptable budget,
including the streams of revenue, the distribution and more. It would help to enlarge the market
at predefined prices. Executives of the Averitt Express Company are expected to plan successful
plans to address the complexities of expansion. Moreover, to resolve compliance concerns,
businesses can make improvements to their current practices in compliance with established
legislation. Towards this point, top managers should take the aid of a native specialist to provide
the appropriate assistance. Any of these adjustments ought to be made to current taxation and
transportation laws in order to simplify international transactions. It would make it possible for
them to address the expectations and standards of the foreign customers in a practical style. It is
also not straightforward to reach a fresh market, particularly at the global arena, but there are
some techniques that can be employed to address these obstacles and to retain a sufficient
revenue and profit margins.
RESEARCH METHODOLOGY
Research methodologies are characterised as an convenient approach employed by the
researcher to collect sufficient data on a specific subject or analysis. Which is one of crucial
topics that specifically showed the methodology of analysis applicable to the report. The
researcher discusses how essential evidence and knowledge support the research purpose and
goals that have been established. In relation to this key rationale and reasoning for the study
design, information sources, information gathering, research approach, methodological methods,
research tools, reliability and validity employed are set out below:
Research Philosophy: In research, there have been primarily two aspects for research
philosophies, like the interpretivism as well as the positivism. The existing research
interpretation philosophy has also been adapted to the assessment of evidence in a correct way. It
can help to make significant inferences and make a concrete conclusion by analysis. In the other

hand, positivism theory is not suitable for modern science, since it would not serve to derive the
requisite conclusions (Zou and Yu, 2020).
Research Design: This is described that the inductive as well as deductive methods are
employed by an investigator to collect more and more accurate knowledge on research. Where,
inductive analysis seeks to create a novel approach whereas deductive study deals with current
hypotheses. Proper inference is made in inductive analysis on the grounds of accessible evidence
and interpretation. The inductive technique is more feasible for present research, because it can
serve to produce better results and to collect relevant knowledge. It will be useful and will
support the researcher in prospective research.
Research Choices: Qualitative as well as Quantitative being two main forms of research study.
There are many approaches of qualitative analysis, like interviewing, group conversation, and
other techniques used to collect accurate knowledge about the participants. Comprehensive as
well as in-depth information/data will be gathered by the prosecutor, who could further help in
the decision-making process. On the other hand, objective analysis results are compiled in form
of statistics, percentages and figures. It is known to be more credible and accurate since it is
dependent on estimates. Both forms of study are of their own value and implement as needed.
Qualitative analysis is more suitable for this study, as it can allow researchers to derive the
correct inference by obtaining appropriate responses from applicants.
Data sources: In research, there have been primarily two ways for the processing of both
primary, secondary statistics and details. In conjunction, all of these approaches are important for
the execution of present investigation to facilitate the investigator in presenting accurate and
relevant evidence. For the gathering of principal data, questionnaire is produced as it tends to
gather quantitative input which are conveniently observable and helps to acquire greater
understanding of the views of others on given subject. As far as secondary approaches are
concerned, diverse outlets are accessible to scholars, such as books, journals, papers,
publications and so forth. Both the main and secondary approaches have therefore been used
in execution of present investigation and have been completed for a length of time (Ahi,
Baronchelli, Kuivalainen and Piantoni, 2017).
Data collection methods/tools: In research, there are varying techniques for data
collecting, such as observations, survey, questionnaires, concentration analysis, and plenty more.
This are the principal techniques of data collecting for the processing of knowledge on market

access approaches. In the current study, a questionnaire is being used to gather information. The
principal explanation for using this technique is to allow investigator to obtain accurate and
relevant evidence, and even to requires lesser time for researcher to contrast with other
approaches. The questionnaire for respective case research is stated below:
Question 1) Do you all have an awareness of the business penetration
approach used by companies to enter the global marketplace?
Frequencies
a) Yes 26
b) No 14
Question 2) In your view, what market strategies is acceptable and
successful for the Averitt Express Company to enter into the global
marketplace?
Frequencies
a) Joint-Venture arrangement 12
b) Mergers & Acquisitions 19
c) Franchises-stores/premises 9
Question 3) In your opinion, what are main obstacles facing the company
when joining the world market?
Frequencies
i) Distinct cultural values and beliefs 17
ii) Relevant laws, statutory policies and legislations 14
iii) No effective knowledge of new-market 9
Question 4) What tactics will the company follow to decrease the
demands of the foreign market?
Frequencies
i) Evaluating market trends 14
ii) Hiring native personnel 9
iii) Following all applicable laws and policies 17
Question 5) In your view, does the execution of market entrance tactics
have an effect on business competitiveness and profitability?
Frequencies

i) Yes 23
ii) No 17
Sampling: This is specified as the numbers/size of population considered for data collection.
There are predominantly two styles of sampling approaches which are the probability sampling
as well as the non-probability samplings. The sampling method often includes stratified,
judgmental, systematically and random-basis sampling. Throughout the current
investigation, random samplings procedure is adopted, which is form of the probability
sampling. The key justification for using this sampling approach is to offer all participants a fair
opportunity. In additament, it helps to establish accurate and credible evidence in an appropriate
way that results in reasonable conclusion. For the current investigation, the sample scale of Forty
respondents who are personnel of the Averitt Express Company shall be selected.
Ethics: They are essentially the ethical concepts used by the investigator, independent of venue
and duration. In conjunction, there are multiple ethical standards that the investigator must rely
on in attempt to minimise the degree of harm, prevent misleading activities, allow for the
privilege to withdrawal, maintain privacy and personal rights, seek explicit consents, and so
forth. All of these would allow the investigator to finish the study in both an ethical and a
comprehensive way (Park, 2020).
Reliability And legitimacy: These are known to be another approach that relies primarily
on questionnaire. In conjunction, it is a valuable data collecting tool that aims to verify the
authenticity and efficacy of the operations and the outcomes of the investigation.
Costs, Access and Ethics Concerns: In order to undertake an analysis, the researcher must rely
on different factors in order to produce the findings of the study. In response to this, analysis
demanded a reasonable sum of funding to perform those aspects in a comprehensive manner.
This allows researchers to perform both main and supplementary research in such an acceptable
way. Accessible to a few of the references is often rendered in preparation by the investigator. It
would allow the researcher to finish the study without even any ethical concerns. In addition, the
range of ethical guidelines is often adopted by the author in attempt to conclude the analysis by
addressing considerations such as secrecy, integrity, affirmative consent, etc (Watson and et.al.,
2018).

Gantt Chart
This is primarily a visual method that supports and assists the investigator in the
recognition of initial time-frame and target duration of the tasks connected with the study, that
further contributes to the success of a project over phase. The fundamental idea of Gantt chart is
to plan out which functions could be completed in conjunction and which have to be performed
consecutively. If one pair this with operation resources, they will discuss trade-off between reach
(doing somewhat tasks), expense (utilising almost funds) and specific project levels (Jin and
Hurd, 2018). By providing new money or decreasing the scale, project manager would be able to
see impact on end date. In addition, it assists in arranging tasks alongside time that provides an
approximate longer to accomplish the research-study. d Gantt chart base
on respective case study and current research is presented below:

Budget:
It is required for researchers to produce a budget-plan by evaluating all research objectives
as reasonable. It is studied that the creation of an appropriate budget would contribute to the
proper implementation of operations leading to positive outcomes. Budgeting is necessary for the
conception of every large business venture. Without an efficient budget, projects will be slowed
away and stopped unfinished. Budgetary control is not a straightforward procedure, though since
plans can be set or variable dependent on the sector wherein a project is being undertaken and
on accessibility of external streams of revenue (Mersland, Nyarko and Sirisena, 2020). However,
budgeting presents a variety of distinct benefits that project managers can acknowledge. The
estimated budget allocated for present investigation is around $15000, which includes the
evaluation of various data collection records, the website, stationery and much more. A well-
founded budget will improve the appraisal of the study project by observers and the financing
source. The most critical aspect of this is the analysis of the schedule and the checking of

expenditures and calculations. It is best if other participants of research team will study the
project schedule and re-calculate costs thoroughly. If a budget has been developed, the task
planner can then calculate how much capital can be invested on each aspect of research. The
budget-plan requires those responsible for purchases to decide what proportion of the money
accessible should be assigned to the components of the research itself. This offers an incentive to
assess whether or not research will be done with the budgeted costs.
CONCLUSION
This has been inferred from the aforementioned study that there are various market
entrance tactics/strategies implemented by companies to extend their corporate activities at
global scale. In additament, it is necessary to select the right entrance approach such that the
penetration of the marketplace is advantageous and financially viable for the business. There are
numerous obstacles that businesses face when joining the international market, such as
regulatory issues, diverse regulations, political concerns, and so forth. It is crucial for the
investigator to choose the correct approach for data collecting as it straightforwardly affects the
consistency and quality of data and also the findings of the study.