Question

List and explain the essential information components for assessing a global market opportunity.

Answer 1

The readiness of the organization: The company should be well equipped to study the market and also to enter the market. The company should have enough resources to support the business expansion. They evaluate whether the product or service they are selling can attract customers in the new market.

Product Sustainability: The company needs to know if the product they have developed is sustainable in the new market they are planning to enter. The market should not demand frequent changes to the product and this might involve huge investments. The product should also last long without the complaints from the customers.

Entry mode and barriers: The company should know what is the best way to enter the market and how they can establish their business in the market. Some of the commonly used methods are franchising, licensing, partnership, direct selling etc. The company also needs to know what are the barriers to run the business in the new market. The company should conduct the PESTLE analysis and see if there are any negative factors that impact the business.

Market Potential: The company would like to know the competition in the market in the same industry. This will help the company in coming up with a strategy that can create a competitive advantage for them in the new market. A good amount of market share should be available to capture and the potential customers should be open to new brands in the market.

Sales and Marketing potential: The company should be able to forecast the sales in the new market and also to what extent they can reach the target audience with their marketing strategy. The company should build an excellent sales and marketing team that can help them in increasing the revenue by acquiring new customers.

The demographics: The company needs to know about the target customers and what is the majority of the age group in a specific market. The company can plan their approach based on the customers. They can customize the product accordingly and also change their marketing strategy so that it reaches the target audience quickly.