Answer to Question #215678 in Management for Kathie

Question

Describe three modes of international market entry that allowed Samsung to expand globally. Use examples from the case study. 

Answer 1

Answer

Direct investment

Samsung has effectively entered the worldwide market through foreign direct investment, such as in China. The technique helped the corporation expand its global manufacturing and marketing capabilities.

Joint Venture (JV)

JV is one of the most common entry gates that has helped the company to expand internationally. It has used this strategy to build partnerships with Sony and other companies with similar platforms and capabilities, allowing them to penetrate the worldwide market.

Export

Export is a low-risk entry strategy for enterprises looking to expand into new markets, and it works particularly well in nations with low per capita income and political instability. For example, Samsung used the export mode to obtain access to the great majority of African markets.