Answer Market Entry Strategy Description Nike products are sold in many countrie

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Answer Market Entry Strategy Description Nike products are sold in many countries throughout the world. Nike manufactures their shoes in China and Vietnam. A California winery produces seven varieties of wine at their vineyard and sells them in 20 countries across the globe. Coca Cola manufactures and sells concentrates and syrups to bottling companies in many countries. The bottling companies then manufacture, package and distribute the Coca Cola branded products to customers and vendors. Exporting A. Outsourcing B. Partnership C. Suppose you are a manager for a multinational company that produces a variety of beauty products. Heartland Company was founded in 1942 and began making shampoo and soap products. Heartland, headquartered in St. Louis,Missouri, now sells hair care, soap, and makeup products in 22 countries across the globe. Heartland holds the majority market share in the U.S. and is largely regarded as a trend-leader in hair and beauty products. As the Global Brand Vice President, you have been tasked with taking the brand to Brazil, considered to be a large cosmetics market in the next few years. The Brazian cosmetics and hair care market is largely dominated by Belleza who currently holds a 60% market share. Belleza is marketed toward young, fashion-forward women. The second largest company, Botánico, holds just a 20% share of the market. Your research suggests that while Botánico has efficient manufacturing and distribution, young consumers see them as being a brand for their mothers and grandmothers. iven the information above, what is the best market entry strategy for this company? Outsourcing Exporting Partnership

Explanation / Answer

In my opinion, the best market strategy in this case would be Partnership. Heartland already has been exporting its products to 22 countries across the globe and is a trend leader in US. But the export market in Brazil is not so strong for the company as competition is very high. The market is already largely dominated by Belleza co's products with 60% market share. However, Botánico holds just 20% market share, which makes it less of a competition than Belleza. Morover, Botànico has a good distribution network and is popular as an elderly brand. Thus, a partnership with Botánico can provide an exposure to the Brazilian market and Heartland's trendy product can capture the young generation as well. This way a partnership can provide a strong entry to Heartland and both the companies can benefit from this in the long run.

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