Go Global or No?

The company has been functioning well in terms of generating profit and demand so far. However, there will be a 20% increase in demand for the next month of operations as predicted by management, and the production and supply management's problems may come as a problem they can no longer afford.

2) Explain the role of channel intermediaries in the product distribution process. Why is their role important?

3. What does your strategic group map of this industry look like? How attractively is Netflix positioned on the map? Why?

Traditionally, USA has been major market followed by Europe and Japan. The top 20 companies account for 77% of the market share (see figure 1). The HHI index is 378 indicating a highly competitive market. Porter’s 5 forces analysis indicate that:

Discuss the market factors (level 2). How do the relevant market factors affect the performance of the focal organization?

It is inevitable if firms increase their global operations because every country has something different to offer, something new, and without the current innovation being promoted to the market, the company will start to lose its edge on

All of the above industries have their relations with the consumers of the world, as well as the competition in the same industry. The world is changing every day with new ideas every day all industries.

Exporting has become a very important business strategy nowadays. In order for firms to expand to the international market, and also to maintain and grow their share of market in whatever industry they are in, depending on their goals and objectives, any company must at least explore this possibility. A few and important advantages might come into place, in that they can extend their sales potential of their existing products, increasing margins through a larger customer base. Also, these small to large businesses can consolidate by gaining global share of market, they can reduce their dependence on their existing markets,

Make a customer analysis and segment the market. What impact does your analysis have on the current business model of the company?

High cost of entering new markets International growth is expensive. Entering new markets with a new brand

Draw upon market data which is available, to support your conclusions on “Market Structure” with in this industry sector.

The trucking industry is the “life blood” of the United States economy. Carrying 9.2 billion tons in freight accounting for a little over 600 billion dollars in total revenue. (7: http://tinyurl.com/n5hfx3r)Whiles these numbers represent the trucking industry as a whole, AM trucking will be specializing in a certain field known as “oilfield trucking”. Oilfield trucking is largely dependent on the oil and gas industry, which is continually booming. With fossil fuel rich regions in Wyoming, North Dakota and Texas, the United States is set to surpass Saudi Arabia as the biggest oil and gas producer in the world. (6: p39lj94). With such a positive outlook for the future of the oil and gas industry, it insures a positive outlook for the oil field trucking industry, because everyone needs trucks, from moving rigs and equipment, to hauling oil and water away, and ‘frack’ sand and base rock. “Right now, every company is hurting for that.”(In reference to oil field trucking companies) (7: n5hfx3r)

Opportunities: international market; co- operation with other bigger companies; launching of the new products; increasing tendency of the customer demand etc.

|the industry and its challenges it is important to understand its various phases of growth so far. |

Companies can decide to go global or to enter international markets for various reasons, and these different objectives at the time of entry that enable the business to produce different strategies and the performance goals, and even forms of market participation.