FSN 400 Lecture Notes - Lecture 6: Contract Manufacturer, Franchising, Outsourcing
Document Summary
You have a killer product concept, now what: the product/service needs to enter the marketplace, consumers need to be aware of the (killer) product/service. Market entry mode/type: business strategies employed in successfully bringing a product or service to market, market entries fall into 2 categories, market development. Introduce an existing product/brand into a new market: market diversification. Introduce a new product into a new market. In a foreign business to acquire a controlling interest. It may include building facilities, operate the business, and incur in costs and risks: ex. Fruit of the loom both manufactures and retails in mexico. Licensing: giving permission to manufacture a product for a specified payment, purchaser market share, strategy works best if the purchaser has a relatively large share of foreign market. Knock offs/counterfeit/fakes: 3. 3% of global trade, the practice is as old as money itself, global growth, 1. 2 trillion usd in 2017 will reach 1. 82 trillion usd in 2020.