Icebreaker decision maker
Last updated on October 4th, 2019 at 04:46 pm
What key problems and/or opportunities does the decision maker face in the case study?
Icebreaker decision-makers were faced by various challenges while deciding the best way to enter into the US market. Holding the fact that the company was originally operating in a market where demographics, environment and other marketing factors were different from the US, it was a challenge therefore to learn the customer’s tastes and preferences, economic grouping and other factors which are said to be relevant while making market entry decisions (Root, 56). Cloths are more associated with the local’s culture and therefore it was a challenging moment for the decision-makers to analyze them holding the fact that the top decision-makers were new to the new business environment. Another noticeable challenge was to strategize the best way to formulate a unique marketing strategy that will help them have an easy market entry. Comparing other market player’s products and their own was a challenging task and costly one. Besides all these challenges, the company had one advantage where its product materials were different from that of the majority players, hence giving them an edge (Root, 12). The fact that the company’s products were made of wool sourced from its mother country provided a distinct advantage as other local companies used different materials. This could help them create their own profile as a unique products provider in a clouded market.
What could the decision maker do to address the problem?
Prepare a list of alternatives. Decide which are feasible, given financial, operational, marketing and managerial constraints.
To understand the market, the company’s key decision-makers ought to resolve various decisions, the important ones of which are mentioned below:
- Market survey
- Employing the locals
- Initiating social related development
Market survey is an indispensable tool they should conduct, irrespective of the financial constraints they are in. This will help the company’s management to make prudent and realistic decisions while managing the company’s affairs. Employing the locals is a beneficiary move since it will not only be more economic but will also give the company a chance to connect with the locals, hence helping it sell its products and break the entry barrier with the locals well. This also helps the company extend its interests as well as understanding to the local’s culture, demographic challenges among other advantages. The decision of starting a social responsibility program is not an economically viable move and it should be held until the company achieves its goals and objectives. This move is meant to pay back to the society at a point when it cannot be used as a marketing strategy at the entry point.
What should the decision maker do?
Recommend a specific course of action and steps to take to solve the problem. Support your suggestion with information from the case.
The best and the first action to carry out by a decision maker is a market survey with an intention to understand the targeted customer’s tastes and preferences, economic capability and culture associated to them. Another reasonable action that needs to be implemented well by the decision-makers is the geographical environment of the region. This will give them a chance to be able to decide the quality and nature of the cloths expected by the targeted customers. The third rational step to take was to analyze other market player’s production and their targeted customers. With this, the management will be able to channel its capability against the competitor’s weaknesses as well as improving their areas where their competitors are strong. The last course of action by the management was to analyze the customer’s economic capacity and the purchasing power of the different targeted customers’ grouping, their location and other cultural aspects held by them.
All the above courses of actions of decision maker are visible as they are primary objectives that a company or any other organization should ideally take while entering a new market. To make it economical, it is advisable for a marketing survey to be done to ease the decision making challenges. This will also reduce the risk factor that the company can face in a new market setting (Murray, 45). Clothes are basic products but poor analyses can lead to heavy losses to the new entrant. It is also advisable to note that this market is characterized by a high competition rate which discourages new investors as well as subjecting them to a possible risk. Prudent management also has no alternative than to resolve the prevailing decision making challenges with the above strategic moves to solve the challenges. For example, it was necessary to understand why the local companies use other materials to make clothes and if they have used wool and failed earlier. This is an important move and management has no alternative but to explore all these options before proceeding so they can succeed in their venture.
Murray, John A., Constantinos Markides, and Robert Galavan. Strategy, innovation, and change: challenges for management. Oxford: Oxford University Press, 2008. Print.
Root, Franklin R.. Entry strategies for international markets. Rev. and expanded. ed. New York: Lexington Books; 1994. Print.
Order My Essay
Why choose Lifesaver Essays for your custom essay writing needs? Maybe because you are looking for cheap assignment writing services which ensure 100% plagiarism-free essay. Maybe you are googling “write my essay” or “buy term paper online”. Or maybe you have a looming deadline and have not even begun brainstorming psychology assignment ideas. Whatever be the problem, Lifesaver Essays has the solution for you. All you need to do is place a simple order with us and let us take care of your psychology term paper writing needs.