In my observations, for a few years now, “leadership” has remained high on the list of “top buzz words of the year”. But what about the “follower”? The follower rarely receives attention.

Have a look at this video:

Let’s look at this from a business strategy perspective. I think “leader” can be compared to the first-mover concept or companies who are prime-providers in a particular industry, and “follower”, the second-mover concept or companies who are players in a competitive arena.

While developing their business strategies, organizations (especially start-ups) often craft their product positioning statement and vision statements to include something on being a leader in “x”. (Example: To become the leading providers of molybdenum to China for their infrastructure developments.)

Often, the “leader” status is seen as the ultimate badge of honour.

Being the “leader” is not the most ideal for all organizations; this video offers a fantastic message, which demonstrates the level of impact “followers” have to offer.

Let’s tilt a glass to the ambitious, local start-ups – may they continue to impact the world.

I feel satisfied that I finally found a relevant way to share this video – love the marketing message and high entertainment value. Hope you will take the time to watch.

Happy Holidays,

Esha

Copyright © Esha Abrol. Canada. December, 2011.

The authors, Blanchard, Hutson, Willis, provide the following anecdote in a chapter on performance management:
They talk about DW40’s CEO, Gary Ridge’s stance on leading people. At DW40, Gary employs a “don’t mark my paper, help me get an A” approach. Actions speak louder than words. This wasn’t something he just said. He was so insistent on this performance management system, that he has terminated managers of poor performers rather than the poor performers.

Dilatory behavior, mediocre quality work, minimal contributions are not a result of stupidity or laziness. These symptoms can be attributed to a root cause, poor team leadership.

A leader’s responsibility is to provide teammates support through good coaching, maximizing their ability to succeed. A question raised in the book: What if you work closely with an employee and they still don’t deserve an A? It’s possible that the job is just not for them – it doesn’t allow them to excel in the areas they are strong in. In this case, coaching is best to be shifted towards career development counseling, directing them in the right area for them.

The day I hired a group of talent for my company, I very quickly learned that my responsibility grew threefold. Not only was I responsible for the business (which involved me wearing multiple hats), but also managing my team’s productivity, and providing a clear vision though leadership.

I’ve worked with more than ten different employers, have asked for counseling from mentors, lead my own teams, and have given back though coaching aspiring entrepreneurs. Looking back, the strongest leaders I’ve worked with, share some common practices. I’ve grouped some like-practices/qualities I find important and listed them below (in no particular order):

1) Understand the Benefits of Good Coaching: Not only was when employees are off-base with their work, but providing employees with regular feedback on how they are doing in achieving their goals and the company’s objective, recognizing good intentions, offering development opportunities, both personal and career-wise contributes to engagement levels and helps build relationships. Coaching sessions can allow the leader to better understand their employees’ strengths to better leverage them in the team and ensure they are engaged and passionate about their role

2) OK with showing some humility: Demonstrating confidence, genuineness, and an approachable demeanor to connect with employees, creating a stronger team environment. If you’re the type that always needs to be right, consider opening-up to new perspectives and showing more openness towards new ideas by team members to create an environment that encourages creativity and innovation. You don’t even have to like the ideas, but appreciation for your teammates sharing through acknowledging the idea by taking note of it can create a very positive culture shift

3) Committed: Developing a set of goals and a plan for the year aren’t enough. Often, goals are jotted down in December while developing a plan for the next year, then, never looked at again. Rather, structuring all tasks around the end goal is a way to ensure high productivity. Focus and dedication are key, but also allowing some leeway can generate new ideas and improvements. Demonstrating enthusiasm and recognizing actions that work towards achieving strategic objectives ensure everyone has the ultimate goal in mind and continues to work towards it as a unit

4) Open-Minded: Although creative abrasion and different opinions/areas of expertise are necessary for innovation and continuous improvement, openness to new ideas and perspectives is essential in empowering everyone on the team to be a leader, to love what they do, encourage them to take initiatives, offer opinions, and work together to improve what they love, THEIR company

5) Strong Communication skills: This skill is an obvious one that never goes out of style. Being mindful of the words used to deliver a clear message in an open, honest, direct, and appropriate manner is a key quality. Imagine someone you know who is both, successful and well-respected. Odds are their communications skills are robust

Copyright © Esha Abrol. Canada. November, 2011.

RIM is choking on a piece of rotten fruit, it has been for a while — why are they only seeking medical attention now? RIM needs CPR, now. No miracles needed, just a lot of focus and strong leadership can bring it back to life.

Yes, I DO think Research in Motion’s business is fixable.

As I work on finalizing a business plan for a new business to be fully launched in early 2012, I am relieved I’m almost done with this dreadful phase of developing a start-up. Putting together a good business plan is always painful because of the countless hours of work and re-work required. However, after discussing sections of the document with my business partner last week, of course, we were reminded of the importance of this thing. It forced us to look into areas we didn’t think of before, to answer questions that we didn’t ask ourselves before. And, this is exactly what a strategic business plan should do, if done properly.

Addressing areas of the business that were not previously looked at or answering questions that were never asked should be approached with strategy, supported with clear business objectives. Now, I think most would agree – this all sounds logical, simple and straight-forward, but business decisions are often made without any strategic- thinking. 

Without strategy, business operations can quickly become tactical and meaningless. Multiple activities being performed, just for the sake of getting something done because you have realized action needs to be taken. That can work for a while. After sometime, this approach can lead to a domino effect — one, tactical quick-fix will eventually lead to another, and so on. Although everyone is busy, productivity sinks. Business operators become caught-up in getting things done without stepping back for a minute to ask, WHY.  We forget to evaluate the impact of business activities being performed and exploring better of doing things. There may be approaches out there now that are more cost-effective, efficient, or just cooler that can provide a competitive edge.

In my opinion (there are currently a lot of these on RIM), I do think RIM’s business is fixable.  But they need to go back to the original business plan template and write-up a plan.

Leadership has moved at pace which can be called reactive, or worse. In the competitive mobile communications space, the first-mover advantage can be vital, especially when your competitors are Apple and Google. Blackberry’s R&D seems to be based on Apple’s or Google’s actions with iPhones or the Android system.

To get the obvious out of the way: Yes, support for innovation is weaker in Canada, than in the U.S., but Canada does have a large pool of talent. So I do think RIM is comparable to Apple and Google.

For example, we only heard about the Playbook, which was then called the BlackPad, after the first iPad was already launched. Was it smart business to take-on the heavy costs that would eat-up cashflow to develop a product so quickly even though the competitor had already had the chance to develop, launch, test, and learn from their mistakes?

The problem is, I don’t think they can honestly answer this question even now.

The company’s failure to understand their competitive edge and to fully capitalize on it has been the ultimate cause of their current position. Eventually, their reactive, tactical approach was bound to catch-up to them. With financial analysts and investors’ reduced confidence, a disoriented team culture (with the recent news of laying-off 2,000, or 11% of their workforce), tough critics, and even tougher competition, RIM’s got a bit of work to do. 
 

Copyright © Esha Abrol. Canada. August 15, 2011.

Excellent, now I’ll get some sleep and tomorrow, change the world.

It’s 6:00 a.m. the next morning, before the morning jog, I review the notes I took a few hours ago and question my sanity. “How am I going to implement this?”. Unfortunately, “reality” kicks in.

My name is Esha and I’m an entrepreneur and 1/3 of the Avacano team. As we countdown until the launch of our latest start-up, Avacano, I wanted to take some time to share progress. The soft launch will be held on Monday, June 27th, at 7:00pm. Do register to celebrate entrepreneurship with Avacano:  http://avacano.eventbrite.com/ 

The Team: Behzad Malek, Dominque Noisette, and me. We’re from Ottawa, Canada.

We’ve been working quite diligently on our business, Avacano, not only do we want to promote our business, but we also want to promote entrepreneurship in Ottawa because Ottawa’s got talent, and as Desiderius Erasmus once said, “no one respects a talent that is concealed.”

Today, let’s talk about the unfortunate ”reality” I mentioned earlier. Ottawa has been described as the next “Silicon Valley”. I feel very fortunate to live in a city with many entrepreneurial minds. A lot of ideas. Unfortunately, commercialization, not so much.

What is this “reality” that comes in the way of ideas crystallizing? Is it lack of funding? Is it risk-averse attitudes? Perhaps lack of networking opportunities or lack of confidence? Hard to say. However, I do think perceptions and mindset has a lot to do with it.

My Speaking Opportunity at Operation Come Home

Last week I was invited to speak to a group of young people, from ages 17-19, about entrepreneurship. I think it’s unfortunate that often young people feel that starting a business is something that is too out-of-reach. Because “starting a business” sounds hard, doesn’t it? How about “doing what you love”? Now, that actually sounds fun. I feel this resonated with the bright group of students I had the chance to chat with. The feedback I got was “It was cool to learn that it is doable at a young age”.

At Avacano, we get to do what we love everyday. We want to encourage you to do the same. Avacano is about customer-focus, confidence in our value proposition, hard-work, and contributing to the development of future advancements. We think challenges are fun. A few months ago, we were able to identify a problem in a specific market, brainstormed ideas, and just did it. We developed a unique, yet simple communications solutions, offering organizations with an efficient and effective option to build relationships with customers.

While growing this, it is not unlikely that we will come-up with other cool ideas at 1:00am while counting sheep or reciting positive self-talk. The next day, we will implement. Because the reality is, we can, and you can too.

“Attitude determines the altitude of life.” – Edwin Louis Cole.

Cheers, Esha

Copyright © Esha Abrol. Canada. June 21, 2011.

The Forum for International Trade Training (www.FITT.ca) is a non-profit organization that helps build international business capacity by providing the highest level of excellence to assist individuals develop skills and knowledge in the challenging space of international business.

I want to congratulate the folks I had the chance to share the stage with – I had the opportunity to chat with most of the other CITP recipients in attendance and was blown-away by the passion and appreciation they shared for global business. No words for the ambience and energy in the room. Honored to be a part of this group. 

Also in attendance were, Canadian exporters from all industries, and industry experts, including Stephen Poloz, CITP and President of Export Development Canada and Peter McGovern, Canada’s Chief Trade Commissioner from DFAIT, who was given an Honorary CITP in recognition for his contributions to the Canadian trade economy.

For those considering the CITP Designation, I have written about the FITT program in the past, I would recommend it. Like any post-secondary educational program, it is demanding, but a worthy investment.  
Upon completion of the program, I was equipped with a thorough understanding of how international business “works” and the success factors when considering foreign expansion.  The program takes a hands-on approach, yet very comprehensive. If you’re considering taking the program and have questions, drop me a line.

I also want to take a moment to formally thank everyone for the nice messages of congratulations – it made the achievement that much more special.

Cheers,  

Esha

Copyright © Esha Abrol, Canada.June 13, 2011.

Indonesia is a country I would definitely love to visit – I hope to visit Bali, Indonesia in early 2012. I’m a fan of the beautiful and colourful culture. And I would say, the art found in Indonesia is a direct byproduct of it’s rich culture.  Each piece is unique. Each piece holds a unique story.

Why not bring some of this rich, Indonesian culture and ancient stories in our own lives and homes? Would you have a look at the pieces of Indonesian artwork in the gallery below (click to for larger view) and answer the questions at the end of this blog, please?

View This Poll
View This Poll
View This Poll

For additional feedback, please comment below or email me.

Cheers, E.

Copyright © Esha Abrol, Canada. May 30, 2011.

This particular row of books was dedicated to stories of people who were unhappy with their lives and what they did to ameliorate their situations. In the pursuit of happiness, they decided to make changes in their lives whether that be by: traveling to places they’d never been, ending a marriage, changing careers, trying new foods, etc…

There was a high supply of books on “pursuing happiness” or “finding your passion”, which speaks volumes for the demand for this kind of stuff.

This leads me to my question, is the world becoming a less happy place? Here are my thoughts:

I don’t know if we have become unhappier, but I do think the world has become more competitive. Globalization has made the world a smaller place and cool, new innovations have opened up doors to great new opportunities that were never available before (i.e. Facebook, smartphones, etc). More people are pursuing higher education to equip themselves with the knowledge they feel they need to compete and be “successful”. I believe the issue starts here. Let me try to explain.

A highly educated and ambitious population is a good thing, isn’t it?

True. But, there is a but. In short, I don’t think people are pursuing higher education for the right reasons. Knowledge can be gained from books and compiled within a matter of minutes using Google, but obviously there are advantages in pursuing a higher education that only Google and books cannot provide.

Here’s a very short list of a few of the things I gained from my years as a student:
-Stronger work ethic: provided greater discipline, allowed me to realize the strong correlation between high-quality work/effort and success.
-Further developed interpersonal skills/networking opportunities through working with other competitive students, professors, and industry experts
-Helped me learn more about myself: Through being told what to read, study, and write, I learned very quickly what I enjoyed doing and things I didn’t enjoy. This also helped me realize my strengths and weaknesses.

Now, this list looks simple and not very shocking – have a look at items that have appeared on the lists of others I have talked to:

Things they said they gained from their education:
-An iron ring
-College diploma/University degree (Bachelors, Masters, PhD)
-Can recite pie backwards up to the 10th decimal
-Have secured a job that pays the average salary, based on their education and years of experience

How does the latter list differ to the above?

Most importantly, the first list acknowledges personal development, whereas the second fails to acknowledge the skills developed. Rather than pursuing a higher education for a diploma, a degree, or an iron ring, the focus should be on the skills desired and why acquire them. Rather than chasing goals to acheive what you are passionate about, the goal becomes to merely receive a piece of paper.

Unfortunately, degrees, diplomas, iron rings, knowledge of random facts and figures do not have any effect without action. Action on knowledge or achievements can change the world. To act upon the things we know, passion is needed. Examples of people who have acted upon their passions and knowledge include: Michael Jackson (music and dance), Donald Trump (leadership, real estate, hair), Walt Disney (story-telling, psychology), Terry Matthews (entrepreneurship, telecommunications), Steve Jobs (marketing), Jack Welch (psychology, management), etc…

The reason these people have seen extraordinary levels of success is partly due to the fact that they know their strengths and where their passion lies. Their passion for what they do/did shows.

Often, I see many pursuing things that make them miserable. Or people who try to be the jack of all trades. My question is, why? Why not focus on one thing you enjoy and are passionate about instead? Having a single-minded attitude towards what you do best and what you enjoy, in my opinion, can result in extraordinary level of success – whether that be financial success, personal satisfaction, etc…

How do you know what your passion is?
One of my favourite things to do, would definitely be meeting other motivated, hard-working, young entrepreneurs or aspiring entrepreneurs. Recently, at GenYOTT, a social networking event in Ottawa, I had the opportunity to meet Nimit Malavia, a talented, illustrator. His passion for what he does is very evident. As we chatted, I asked him what his key driver was, what keeps him motivated. He said, “I feel sick when I don’t draw”. Enough said.

Another example, a non-profit organization that I feel very fortunate to have done some work with, Human Mobility International (HMI)  is made of pure passion, wherein the founder, Briton Amos “provides high-end wheelchairs to improve the quality of life of people suffering from the after-math of living in conflict zones and areas of natural disasters. These clients will primarily be found in third-world countries where they cannot afford these wheelchairs in order for them to re-integrate into their society.”

Ultimately, to avoid the need for books on “how to be happy” later in life, I think we need to do the following:

1) Understand the reasons for our decisions and how we choose to spend our time. These decisions should follow with goals. It’s important to understand that to achieve goals, you must have set goals.
Remember:
a) Goals should be ambitious, but realistic
b) There should be a reason for wanting to achieve these goals

2) Also, keep track of how you spend most of your time. Is the work you do mostly busy-work? Measuring your productivity should not be based on how much time you spend in front of your computer, answering e-mails, or in meetings. My favorite time management tip is, ask yourself: “Am I being productive or just active?” – @tferriss, The 4-Hour Workweek.

3) Unfortunately you may have to do things you don’t enjoy. Getting things that need to get done efficiently and effectively to focus on what you are passionate about should be the underlying objective. (For example, completing linear algebra class to get to exciting calculus. To get to calculus, you must put in the effort by completing algebra.)

I would like to keep this blog short, which is a bit challenging because there’s much to say. To sum up, passion and knowledge can change the world. Everyone has the potential to make an impact. Unfortunately, many do not take the opportunity when given the chance – I hate seeing smart, talented people that are lazy. As the folks at Nike would say, just do it.

To end, I’m a huge fan of this Steve Jobs presentation – I think it fits with the theme of this entry, check it out

Cheers, Esha

Copyright © Esha Abrol, Canada. October 20, 2010.

This has been one of the most creative Twitter campaigns yet -  it was certainly very successful.  It was an excellent example of the guerrilla marketing opportunities social media Websites, like Twitter  offer.

In short, what they did:

1) “Promoted” ‘Old Spice’ as a “trending topic” (“x” = Twitter lingo)

2)  Throughout the day, they replied to tweets using personalized videos. (observation: they  targeted many social media heavyweights, who would further spread  the word, ie Kevin Rose, founder of Digg.com)

3) Their Twitter campaign was an extension of their current marketing  campaign (TV ads). In their reply videos, they use the same concept  and actor (aka “Old Spice man”) from their TV ads

4) Their content was entertaining, relevant, fresh, and out-of-the-box, which made it viral. Most importantly, they got the attention  of their target market (as well as celebrities, including “top influencers” on Twitter, like Ellen Degeneres, Ashton Kutcher, and Isaac “Biz” Stone (co-founder of Twitter), who helped them further spread the word by joining the conversations).

They did this through simply listening to their target  market and responding to them using SM tools readily available.

Have a look at some of the content from this campaign:

Kevin Rose tweeted: “Day 6 of the fever/pneumonia, first day I’ve felt semi normal, fever @ 99F, now back to bed, enjoy your saturday all, make the most of it!”

Old Spice Man’s reply:

Additional content from this campaign:

1) Old Spice’s YouTube Channel: http://www.youtube.com/user/OldSpice

2) Old Spice’s Twitter page: http://twitter.com/OldSpice

3) This link includes info on how the videos were made: http://bit.ly/9SboAd 

Copyright © Esha Abrol, Canada. 2010

Cultural differences and cultural sensitivity will hold strong importance on business trips across cultures. Recognizing the difference through the following concepts will allow the team to effectively communicate information and build strong relationships:

1) Understanding the difference between high-context cultures and low context cultures;

2) Applying Hofstede’s power distance theory when comparing cultures;

3) Complying with the proper business etiquette in the new target market

Eighty-five percent of communication is non-verbal. Haptics, posture, and kinesics all contribute to the manner in which a message is conveyed and how an audience may perceive the message. Non-verbal communication can be intentional or unintentional. Different communication styles require consideration when communicating across cultures. Through building solid foundations on different cultural differences, one can become more successful in social interactions when in a new cultural environment. As you prepare for a business trip in a foreign country, it is essential the team acknowledges the cultural differences in order to fully take advantage of this market. Failing to recognize and adapt to differences may result in miscommunication, leading to incorrect assumptions. Miscommunication may also lead to your party unintentionally disrespecting your counterparts, or your party appearing overly aggressive or uninterested. Such interpretations may occur through the use of the use of slang, excessive use of gestures, poor dress sense, and indirect language. Exploring the targret market’s high-context culture or low-context culture will shed light on the major differences between the two countries’ communication styles. Understanding Hofstede’s main cultural dimensions, focusing on power distance will make certain differences more prevalent. The knowledge of common business etiquette will ensure operations flow smoothly during the business trip, allowing our team to build a strong relationship with your counterparts.

It is important to understand how the target market’s culture differs from that of the Canadian culture in terms of how ideas and thoughts are most effectively shared. Canada possesses a low-context culture. Low-context cultures tend to communicate in a manner which is concise and direct. Generally, the presentation of information will include well-researched facts to support a position, it will be clear, and will include limited use of gestures, long-winded explanations or examples, and indirect or implied messages. Evidence and support will include technical information and be based on logic and mathematical theories. Low-context cultures are associated with the western world. In comparison, high-context cultures will appear to look at situations through the perspective of a relativist. High-context cultures tend to communicate in a manner which may involve more indirect messages and implied messages. When the presenter is sharing information they may tend to share information with no clear implication. Positions will be supported on evidence which is based on emotions and feeling that are non-rational. The high-context culture is associated with the east. Seeing that there are major differences in the delivery of information, the Management Team will require to understand the perspectives their counterparts will have. As technical evidence involving mathematics and logic may not be as appreciated, therefore; less valuable, when presenting ideas, two perspectives require consideration: the emotional/intuition and rational side.

Hofstede created concepts in relation to relationships within organizations to better understand the self as well as others. Though the compilation of the data collected was from a corporate population, the finding very well relate to society at every level. The dimensions he studied included: Power Distance, Masculinity, Uncertainty Avoidance, and Individualism. For now, let us focus on the power distance dimension. Power distance measures the equality distributed amongst people carrying different roles in society on a hierarchical basis. For example, a boss and a subordinate. The data Hofstede complied shows that Italy possesses a value of 50, while Canada only, 39, illustrates Italy has greater power distance. In cases of high power distance, power tends to be greater at the top of the pyramid. Subordinates may feel uncomfortable addressing their boss by their first name and may feel uncomfortable having a informal conversation with the boss due to the inequality of status and power. In contrast, areas where power distance is less, power tends to be distributed more and groups members tend to have flat hierarchies wherein members hold equal power. As power distance is greater in Italy, when dealing with those with notable positions in an organization, addressing them with proper respect and formalities would allow you to assimilate. Not only would you require to address your Italian counterparts accordingly, it would be as important to regard co-workers with equal respect in the presence of your Italian client and colleagues.

Blending into Italy’s business environment requires knowledge of the business etiquette followed. Dress sense, conversation, how you address your Italian counterparts, negotiating styles, and gift-giving will all contribute to your success. Professionalism is greatly valued in the Italian culture, this is also displayed through the dress sense. Formal, business clothing is crucial during business interactions as it insinuates your, “social standing and relative success, as well as your competence as a businessperson.” Style and elegance should be studied should you be out-of-touch in the fashion world. (Endnote 1) Engaging in general conversation is very welcome. Conversation regarding the weather, Italian landscape, sports are examples of welcome topics. (Endnote 2) Using titles and surnames is a business norm in Italy. Unless one is invited to do so otherwise, addressing your Italian counterpart by their title or surname would be strong business etiquette. Gift-giving is welcome; however, more appropriate upon receiving one first. Good gift ideas include: quality, vintage wine, a fine pen, calculator. Gifts to avoid: chrysanthemums as they are used at funerals, red flowers as they indicate secrecy, yellow flowers as they indicate jealousy. Also, please note: do not wrap gifts in black or purple, as black is traditionally a mourning colour, while purple is a symbol of bad luck. (Endnote 3)

Acknowledging and respecting the cultural differences in Italy will allow one, new to the culture, to better relate to their Italian counterparts and ultimately display a higher degree of cultural sensitivity. Failing to see a difference and behaving without monitoring the audience may result in the formation of incorrect interpretations by your counterparts, giving them the wrong impression. Appraising the environment to recognize the cultural differences and similarities between Italy and Canada will allow you to realize the appropriate etiquette. Adapting to the high-context culture through the addition of emotional evidence, along with technical data, while presenting information will allow for stronger relationship building through more effective communication. In addition, status and power must be respected. Effectively utilizing this knowledge the Italy culture will ensure strong relationships with your Italian clients and colleagues and a overall successful business trip.

Endnotes:

(1) http://globaledge.msu.edu/CountryInsights/culture.asp?countryID=59&CategoryID=2,1

(2) http://globaledge.msu.edu/CountryInsights/culture.asp?countryID=59&CategoryID=3,1

(3) http://www.kwintessential.co.uk/resources/global-etiquette/italy-country-profile.html

Prepared for: Professor Peter Koppel

Prepared by: Esha Abrol CITP (Candidate)

Date: January 29, 2009

Copyright © Esha Abrol, Canada. 2009

My Answer: Definitely not.

Then why waste the time and effort in developing such lengthy documents?

An international business plan will force you to answer specific questions – it will provide you with the opportunity to go and gather high quality research (including primary research) to back-up your answers. Jotting down a plan on paper… or on your hard-drive… will allow you to share ideas with colleagues and create an organized implementation plan (based on research). (Remember, the goal is to mitigate risks that come with international business. Research will help, but always have contingency plans)

So, what’s the difference between a marketing plan and an international marketing plan.

My Answer: Your market choice rationale along with strong research on the target market. I have heard many global SME’s mention that they wished they had done more research before they had entered certain foreign market.

For example, we hear a lot about opportunities in emerging markets. Sure the BRICM countries are lucrative economies, but are they right markets for your particular product/service? Is your product/service appealing to the cultures? Will it require modification or re-positioning to become more appealing? (The common example being, McDonalds in India where veggie burgers replace their famous hamburgers in order to better connect with the largely vegetarian population), Is there a demand for your product/service? Is the market already saturated? What are your competitive advantages?, etc…

I will be providing excerpts from an international marketing plan I developed and provided consulting on for an existing marketing/advertising firm. Below you will find parts of the Market Rationale section.

Now let’s call the company [X Company] for now.

A bit about the domestic firm: [X Company] is a marketing/advertising firm. They provide a range of marketing/advertising tools; from print media, web development (site maintenance, HTML programming, Macromedia Dreamweaver, Macromedia Flash MX ), corporate identity (product design), and advertising campaigns.

Market of Interest: California, United States of America

Excerpt

Market Entry Rationale

Since [X Company] is a relatively new firm there is still room for more experience and it lacks a large network of potential clients. Considering the timing and the age of the firm, [X Company] should expand to the United States of America. However, the U.S., on a whole, is a significantly segmented market. The population of the country is 291 million and it is broken-down into many environmental differences and different customer profiles, therefore, creating a separate international marketing plan for each region would be most practical. To start, [X Company] will first expand to California. Exporting [X Company]’s  marketing/advertising services to the U.S., from Ontario, Canada, will not require much product/service modification due to many similarities between the markets, such as language and culture. Fewer modifications and close proximity to the market will help keep costs low.

Also, expanding to the United States will help develop international business skills for the future when expanding to other countries which will require more skills, costs, and time. Exporting to California, from Canada, will be a comparatively less complex endeavor as the U.S. highly values foreign investment, possess’ a stable currency, has a solid political structure, is Canada’s neighboring country, and there are many similarities in culture; therefore, [X Company] should use this as a learning experience while working to achieve the highest market share. 

The U.S. has the highest expenditures in the world in adverting while Canada takes eighth position according to Zenith Media. Advertising plays an important role in the U.S. culture. California is also well-known for its many larger companies such as Walt Disney Co (spend 1260.4 million $ for worldwide advertising in 2001), and Hewlett-Packard (spent 618.4 million $ for worldwide advertising in 2001). California contains a massive clientele base which ultimately leads to more potential for increased revenue.

Important grounds in which California selected as the first international market is due to the relatively low risks associated with doing business in the state. Since going international can be costly endeavor taking appropriate precautions and avoid risks at all times is the ideal way [X Company] should carry out their business. California’s stable political structure and currency help alleviate risks involved.

The proximity and cultural similarities of California will have a positive impact on [X Company] ability to do business. The primary risks which may affect a business negatively are: currency risks, collections of goods, and political factors in the targeted market. Fortunately, [X Company] will not have to be concerned with these factors since the U.S. dollar continues to remain strong, and stable, collections of goods will not have to be a concern since they are exporting no tangible goods, and the U.S. is a politically stable country.   (Copyright © Esha Abrol, Canada. 2006)

Copyright © Esha Abrol, Canada. 2010