Post on 29-Jun-2020
© 2011 by Phil Corse
Connected
Where in the World is your Next Customer?
In a Flat
© 2011 Phil Corse philcorse@hotmail.com 847 778 7107
Borderless
Shrinking World
© 2011 by Phil Corse
Sales, marketing, new products and general management
Co-founded 5 companies in Asia/Chicago
Global marketing and executive education at Kellogg
New product development/innovation at Northwestern Univ.
China product sourcing
Marketing and strategy consultant
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My Background
© 2011 by Phil Corse
PhilCorse@hotmail.com P-Corse@kellogg.northwestern.edu
+ 1 847 778 7107 Mobile Phone
Division of Masterline Group, Lake Bluff, IL
Affiliate office in Hong Kong
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Marketing Connections
© 2011 by Phil Corse
Current/Past Clients
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© 2011 by Phil Corse
Small to medium size US companies
Companies relatively new to selling globally
Products and some services
High potential countries and mega cities
… specifically country selection, not strategy, research,
planning or financials
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Today’s Focus is on …
© 2011 by Phil Corse
Stage-gate process of market entry
How to choose foreign markets (countries/cities)
Selection criteria
“Show stoppers” + risk management
Information sources (secondary research)
Application examples and group exercise
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Key Themes are …
© 2011 by Phil Corse
Go global or stay home
Choosing countries
How many
Marketing mix
Staffing
Resources
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Tapping into global markets
© 2011 by Phil Corse 8
Is your company global-ready?
© 2011 by Phil Corse
How to win in global markets!
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© 2011 by Phil Corse 12Source: Doole & Lowe “International Marketing Strategy”
Social/Cultural
Language
Religion
Aesthetics
Values & Attributes
Social Origination
Material Culture
Legal
Local Domestic Laws
International Law
Home Domestic Law
Political
Operations
Restrictions
Discriminatory
Restrictions
Physical Actions
Technological
Satellite
Communications
ISDN
Internet
www
Electronic
Superhighway
Economics
Developed Economies
Emerging Economies
Less Developed
Economies
Currency Movements
Environmental
Influences on
Global
Marketing
Many Moving Parts … and Risk
© 2011 by Phil Corse 13
Risk Management
© 2011 by Phil Corse
Domestic Only
Export
Regional
Global
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HIghLow
Risk
HIg
hLow
Co
ntr
ol
Going to Market …
© 2011 by Phil Corse
Export
Regional
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HIghLow
Risk
HIg
hLow
Co
ntr
ol
Lower Risk … Moderate Control
© 2011 by Phil Corse
Gold hitting all time highs!
Developed countries down sharply
Connected consumers everywhere
Currency “management” for exports
The “New Normal”?
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© 2011 by Phil Corse
Where do you go? How many?
“Lead” countries?
How do you enter?
Which products or platforms?
“Product adaptation”?
What/Where is the Opportunity?
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© 2011 by Phil Corse
Where do you go? How many?
“Lead” countries?
How do you enter?
Which products or platforms?
“Product adaptation”?
What/Where is the Opportunity?
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© 2011 by Phil Corse
Where Do You Start?
Framework/roadmap
Ready, fire, aim
Learn/adapt as you go
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Global Stage Gate Process For Country Selection and Product LaunchTools for Going Global
© 2011 by Phil Corse
How to win in global markets!
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Distribution
“Innovative”
ProductsBrand
© 2011 by Phil Corse
Global Marketing “Musts”
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Distribution trumps
everything with
culture + guanxi
© 2011 by Phil Corse
Global Stage Gate Process
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Situation
Analysis
Country
Selection
User
Research
Market Entry
Strategy
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Launch
Plan
Management Green Light
Insights &Actions
Market Entry Plan
Launch
Global Deal
Breakers
Trade Barriers
CurrencyIssues
Political Instability
Customs/Religion
Objectives/Rationale
Scope/Resources
Risk Profile
Investment Objectives
Secondary Research
Product Platform Selection
Opportunity Assessment
Secondary Research
Primary Research
Product Adaptation
Messaging
5 P’s
Cultural Positioning
Channel Matrix
Business Case
Marketing Plan
Metrics &Measurement
FinancialsMode of Entry
© 2011 by Phil Corse
Country Selection
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10,000 Foot View
• CAGE
• Trading Blocs
• Major Deal breakers (tariff,
legal hurdles, political
instabilityBRIC
China
Shanghai
World
Country Specific Research
• Top down (e.g. Jupiter,
Euro monitor)
• Bottoms up (primary
research)
© 2011 by Phil Corse
Situation AnalysisStage Gate: Step 1
© 2011 by Phil Corse
Situation Analysis
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Scope/
Available
Resources
Risk
Profile
Business
Objectives/
Rationale
Investment
Objectives
Internal support
Invest human
capital
Utilize financial
resources
Mgmt
Green Light
MILESTONE 1
© 2011 by Phil Corse
Country SelectionStage Gate: Step 2
© 2011 by Phil Corse
Market entry strategy
Available resources
Management expertise
Network + relationships
Goals & objectives
Risk profile
Control & comfort
Which products or platforms
Product adaptation required
Web site hits
Internal Factors Drive Selection
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© 2011 by Phil Corse
Nothing more important than
finding your marketing “way” to
the country … and inside the
country …
Market Access trumps Market Potential
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© 2011 by Phil Corse
“Distance” (CAGE)
“Show stoppers”
Market entry strategy
Measurable
Accessible
Substantial
Actionable
Infrastructure
* Not an inclusive list
SWOT Determines Selection Criteria*
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© 2011 by Phil Corse
Trading Blocs
Trade shows/conferences
Country-of-Origin
Follow your customer
Technology advantage
Ecommerce potential
Exclusivity
Channel partners
* Not an inclusive list
Additional Selection Criteria*
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© 2011 by Phil Corse
Market size/growth
Competitors
“Organized” retail
Media costs
Access to web
Currency relative to USD$
Rule of law
Duties & taxes
* Not an inclusive list
Additional Selection Criteria*
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© 2011 by Phil Corse
Make several passes
Overweight “access”
Group/prioritize by region and
by trading blocs
Divide into “A”, “B” & “C”
countries/mega cities
“A” … highest priority
“B” … medium
“C” … lowest
Screen carefully …
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© 2011 by Phil Corse
Takeaways + Connections
Start with SWOT/internal factors
Use to determine selection criteria
Obtain management buy-in
Manage expectations
Be very patient
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© 2011 by Phil Corse
Takeaways + Connections
Use a stage-gate process
Target emerging middle classes
Cultural mistakes can kill you
Market entry and market expansion strategies may
(probably will) be in conflict with each other
2x as long and cost 3x as much35