BSMAN3007 - International Business: Wi Charge India Entry Strategy

This report delves into the market entry strategy of Wi Charge Limited, an SME utilizing Israeli technology, as it expands into India. It assesses franchising as the chosen entry mode, highlighting its benefits in risk reduction and resource commitment. The report analyzes success factors and potential weaknesses, such as technology compatibility and imitation risks, and proposes strategies to overcome them. It also examines the company's operational strategy, focusing on leveraging the increasing buying power of Indian consumers and implementing innovative technologies. Furthermore, the report discusses organizational design, financial capital requirements, and staffing policies to ensure the successful implementation of the chosen strategy within the Indian market. The importance of stakeholder communication and labor relations are also discussed, with suggestions on improving these to enhance the smooth running of the business.

Running head: ENTRY STRATEGY OF WI CHARGE LIMITED IN INDIA
Entry strategy of Wi Charge Limited within India
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1ENTRY STRATEGY OF WI CHARGE LIMITED IN INDIA
Executive Summary
This report will also explain the entry strategy of the company along with operational strategies
that is planned in order for this business to expand its business in international market. The
operational strategy of the company also considers taking advantage of gradual increase in
buying power of Indian consumers through implementation of innovate technologies. This
strategy implementation will also make to suitable for the companies in expanding as well as
attaining current market opportunities that can result in growth and development of the business
in Indian marketplace. The organization follows a top- down hierarchical model, which does not
facilitate communication between the subordinates and the managers. Franchising will be
helping the organization in undertaking contracts in the form of license agreements. The
agreements will be helping the organization in reducing the level of risk and lower resource
commitment.

2ENTRY STRATEGY OF WI CHARGE LIMITED IN INDIA
Table of Contents
Introduction..........................................................................................................................3
Chosen entry mode..............................................................................................................3
Success of venture...............................................................................................................4
Key core competency and major internal weaknesses........................................................5
Strategies to overcome weaknesses.....................................................................................7
Operational strategy and corporate objective......................................................................8
Organizational design..........................................................................................................9
Financial capital requirements...........................................................................................10
Staffing policy...................................................................................................................12
Conclusion.........................................................................................................................13
References..........................................................................................................................14

3ENTRY STRATEGY OF WI CHARGE LIMITED IN INDIA
Introduction
Wi Charge is positioned as an SME that uses Israeli based technology which is focused
on expanding its services and products within India that is anticipated to have successful market
opportunity (Robles, 2017). The company is also involved in solving the issue of modern devices
along with battery charging along with offering wireless charging service which surpasses
ordinary wireless charging of modern devices. The objective of the report is to analyze the
suitable market entry strategy used by the Wi-Charge Limited for expanding its business in
India. This report will also explain the entry strategy of the company along with operational
strategies that is planned in order for this business to expand its business in international market.
Moreover, the key core competency of the organization will also facilitate in promoting success
along with evaluating the major internal weaknesses against which effective operational and
corporate strategies will be developing in attaining business success.
Chosen entry mode
Wi-charge ltd might undertake franchising as their market entry mode while expanding
the Indian markets. Franchising will be helping the organization in undertaking contracts in the
form of license agreements (Saleem, Qayyum, Tahir & Khan, 2015). The agreements will be
helping the organization in reducing the level of risk and lower resource commitment. The
organization will be providing the franchisee with design of the product and the necessary
equipment’s. The franchising activity will be helping the concerned business in marketing their
products more efficiently in the Indian markets through the resources that will be invested by the
franchisee firm. Brunner and Kuhn (2014) stated that franchising is one of the preferred ways
through which an organization might undertake a rapid expansion in the host country. Therefore,

4ENTRY STRATEGY OF WI CHARGE LIMITED IN INDIA
franchising would be the best option for the concerned organization while making their
expansion in the Indian markets.
Kulkarni (2017) stated that the different changes that are undertaken by organizations are
dependent on the assessment of the needs of the customer base. The franchising activity will be
helping the concerned business in enhancing the marketing and distribution operations through
the support of the franchisees. The franchisees are well aware of the needs and preferences of the
customers in the nation. Therefore, the knowledge of the customer base will be assisting the
concerned business in undertaking wide expansion in the Indian markets (Chen, Kor, Mahoney
& Tan, 2017). On the other hand, the bilateral relations held by India and Israel will be helping
the organization in maintaining the efficacy of the operations.
Success of venture
Through implementing successful marketing entry strategy, Wi Charge Limited is
deemed to be successful based on its success factors. In analyzing the same, the weaknesses of
this new venture within India will be analyzed so that these can be addressed in ensuring the
success of the company (Murphy, 2018). The weaknesses those can be faced by the company
while entering the Indian market includes the fact that the chargers developed by this company is
observed to mostly not matched with the current mobile phone technology. In addition, it has
also been observed that the device developed by Wi Charge Limited occupies a considerable
area. In addition, it is also observed that the company relies on the standardization of wireless
changing batteries and along with that technology can be simply imitated by other
manufacturers. Due to lack of new and improved technology the company might deal with issues
related to attaining competitive advantages within Indian market (Tulung, 2017).

5ENTRY STRATEGY OF WI CHARGE LIMITED IN INDIA
To deal with such weaknesses associate with business of Wi- Charge Limited, the
company will employ certain success factors in order to attain competitive edge within Indian
market. The charging devices will attain increased success in the Indian market for its products
offered have consume friendly features such as simplicity, user friendliness, wireless along with
having compatibility with multiple devices or USB (Tallman, 2017). Moreover, success of this
venture in the new market is also ensured because of its competitive advantage based
opportunities of developing new related services, attaining partnerships with other busineses
along with observing that all mobile phones need charge and therefore the will be a huge demand
for these products (Shaw, 2015). Moreover, certain other success factors attained by this new
venture in entering Indian market includes its innovative technology of offering a wireless
charging service that can offer wireless charging options to the mobile devices in which a device
can be placed above the wireless charging unit. Competitive advantage can be attained by its
products through offering an attached wireless charging unit within any ceiling in which it can
serve as a normal light and charging devices through infrared beans attached to their devices
(Cohen & Scatigna, 2016).
Key core competency and major internal weaknesses
The major weaknesses that are faced by the organization are:
Poor stakeholder management due to lack of communication- The lack of proficient
communication between the management and the workforce affected the smooth functioning of
the business units. The organization follows a top- down hierarchical model, which does not
facilitate communication between the subordinates and the managers. It has resulted to clashes
and conflicts in the workforce with no mitigation. The different changes that are planned by the

6ENTRY STRATEGY OF WI CHARGE LIMITED IN INDIA
business are affected through the lack of integration in the workforce. Gruber, MacMillan and
Thompson (2013) stated that communication acts as an efficient tool in connecting the different
departments of an organization while operating on the common goal of the business. On the
other hand, Rivera and Oh (2013) stated that communication helps an organization in
maintaining the transparency of the operations which helps in encouraging the mass involvement
of the stakeholders in the business processes. Lack of proficient communication with the
stakeholders has affected the organizational operations through disintegration. On the other
hand, the poor stakeholder management and lack of communication has also affected the
inventory management systems of the business. It has resulted to degradation in productivity of
the business (De Nicolo, 2015).
Rising labor costs- The rising labor costs are one of the major competencies that are
faced by the organization. It has affected the smooth functioning of the processes as planned by
the business. Lack of proficient communication with the Labor Unions has also affected the
supply of labor in the concerned venture resulting to diminishing productivity. On the other
hand, the rising labor cost challenges the financial capabilities of the concerned business, which
affected the productivity of the same while operating in different international markets.
Inappropriate resource allocation- The lack of coordinative functioning of the
managers in the different departments has affected the organizational capabilities of resource
allocation as per the demand faced by the same in the global markets. De Villa, Rajwani and
Lawton (2015) stated that lack of proper resource allocation affects the positioning of the
organizational product offerings in the global markets. On the other hand, Brunner and Kuhn
(2014) stated that lack of efficiency of the organizations in allocating resources might result to

7ENTRY STRATEGY OF WI CHARGE LIMITED IN INDIA
huge loss for the venture. Therefore, the concerned organization face an issue relating to lack of
proper collaboration among the stakeholders resulting to poor resource allocation capabilities.
Strategies to overcome weaknesses
The strategies that might be utilized by the organization for mitigating the issues are:
Establishing proper communication medium- The organization might take steps to
establish proficient communication medium in order to induce collaborative functioning of the
different departments. Gruber, MacMillan and Thompson (2013) stated that communication
helps an organization in integrating the workforce and thereby guiding the same to achieve the
common goal of the business. Enhancement of the communication medium will be helping the
organization in encouraging the involvement of the stakeholders in the business processes that
are planned by the venture. On the other hand, the enhanced communication between the
stakeholders will be helping the organization in identifying the issues that are faced by the
stakeholders and mitigate the same for supporting the smooth functioning objectives. The
induction of suitable communication medium will be helping the organization in maintaining the
change readiness among the stakeholders. Laufs and Schwens (2014) stated that change
readiness helps an organization to implement a modification more efficiently. Therefore, the
induction of proper communication will be helping the organization in maintaining the efficacy
of the processes as per the objectives of the business.
Negotiating with the Labor Unions- Undertaking negotiations with the labor union will
be helping the organization in minimizing their expenses. On the other hand, frequent
communication with the labor union will be helping the organization in undertaking a detailed

8ENTRY STRATEGY OF WI CHARGE LIMITED IN INDIA
analysis of labor supplies. It will be helping the organization in planning the processes as per the
capabilities of the same (Foss, Lyngsie & Zahra, 2015).
Undertaking meetings with the managers- The organization must take steps to
communicate with the managers of the venture in order to identify and assess the resource
capabilities of the same before allocating. Kulkarni (2017) stated that resource allocation is one
of the major steps that are undertaken by the organizations in order to facilitate the smooth
functioning of the processes. Meetings with the managers of distinct departments will be helping
the hierarchy in identifying the crisis that is faced by the venture and thereby mitigate the issues
in order to enhance the processes as per the needs of the business. The meeting with the
managers will also help the organization in managing the inventory as per the demand faced by
the same. It will be helping the organization in enhancing the processes.
Operational strategy and corporate objective
The operational strategy developed for Wi-Charge Limited in successfully entering
Indian market considers improving consumer experiences through offering convenient, stable
and meaningful power which can offer an effective building block for next generation access
control solutions (Yanow & Adams, 2018). The operational strategy of the company also
considers taking advantage of gradual increase in buying power of Indian consumers through
implementation of innovate technologies. This strategy implementation will also make to
suitable for the companies in expanding as well as attaining current market opportunities that can
result in growth and development of the business in Indian marketplace. Moreover in
implementing the innovation strategy for attaining competitive advantage, the new venture will
develop a stylish integration like prototype in order to indicate the limitless possibilities from

9ENTRY STRATEGY OF WI CHARGE LIMITED IN INDIA
integrating leading edge charging technologies with modern generation power delivery (Burton
& Obel, 2018). Moreover, in order to successfully compete within Indian market, the new
venture will integrate its long range wireless power system with increasing advanced charging
device replacements along with highly desired feasibilities for modern cellphones (Liao et al.
2017).
The corporate objective of Wi- Charge Limited is focused on offering highly desired
capabilities along with offering exceptional solutions for charging issues intended for modern
mobile devices. Constant business innovation is the major corporate objective of the new venture
employing which it intends to attain competitive advantage within the international market.
Focused on such objective, Wi Charge Limited will also focus on offering long range wireless
charging facility that will be combined with magnetic induction charging technology that can
offer power charging in any tablet without consideration to power outlets proximity (Kabue &
Kilika, 2016). The company’s corporate strategy is also focused on entering the new market
through its innovative technology implementation by means of franchising that can facilitate the
company in introducing high-desired abilities for consumers which can also be added by
manufacturers.
Organizational design
The new venture of Wi Charge Limited will follow an organizational design of offering
global product through franchising in India. The global product offering of the company will
make sure that it is safe to use and as per the global digital trends In offering as global product
within Indian market, the new venture will also demonstrate its technology within the market
that is deemed to progressively increase the delivered power with reducing the cost of hardware

10ENTRY STRATEGY OF WI CHARGE LIMITED IN INDIA
used in charging devices (Král & Králová, 2016). The organization follows a top- down
hierarchical model, which does not facilitate communication between the subordinates and the
managers. It has resulted to clashes and conflicts in the workforce with no mitigation. The
different changes that are planned by the business are affected through the lack of integration in
the workforce. Wi-Charge Limited in successfully entering Indian market considers improving
consumer experiences through offering convenient, stable and meaningful power which can offer
an effective building block for next generation access control solutions (Foss, Lyngsie & Zahra,
2015). The operational strategy of the company also considers taking advantage of gradual
increase in buying power of Indian consumers through implementation of innovate technologies.
Moreover, in offering global product, the new venture will focus on simplicity, centricity and
automation.
Franchising will be helping the organization in undertaking contracts in the form of
license agreements. The agreements will be helping the organization in reducing the level of risk
and lower resource commitment. The organization will be providing the franchisee with design
of the product and the necessary equipment’s. In global product will invest wisely and heavily in
order to increase the number of innovative products along with anticipating and managing
consumer expectations long with tailoring pricing and promotions accordingly (Liao et al. 2017).
Financial capital requirements
The financial capital requirements is developed that can support successful entry of Wi
Charge Limited.
ONE TIME START UP EXPENSES AMOUNT

11ENTRY STRATEGY OF WI CHARGE LIMITED IN INDIA
One Time Start-Up Costs:
Rent Deposit 1050
Furniture & Fixtures 1100
Equipment 1150
Build out/ Renovations 1200
Decorating, Painting and Remodeling 1250
Installation of Fixtures & Equipment 1300
Starting Inventory 1350
Deposits with Public Utilities 1400
Legal and Other Professional Fees 1450
License and Permits 1500
Advertising and Promotion 1550
Consulting 1600
Software 1650
Cash 1700
Other: 1750
Other: 1800
Other: 1850
Other: 1900
Total One Time Start-Up Costs: 26550
Monthly Expenses:
Bank Charges 400
Debt Service (Principal & Interest) 300
Insurance 300
Membership & Dues 250
Maintenance & Repairs 200
Marketing & Promotion: Advertising 155
Marketing & Promotion: Other 110