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a company in the global airline sector, and you will be the CEO

Economics

a company in the global airline sector, and you will be the CEO. (No existing company, No joint Venture, you invent a company) ? For example: ? Company CEO – Kate ? Company name – Kate Inc. ? Company activity – Global airline ? Company size - Mid – size Paper structure: ? Introduction - 100 words ? Say what your industry is ? Summarize the industry: ? For example: ? My industry is the global PC sector. ? It has sales of US Dollars billion ? Growth is slow – moderate – fast ! ? Discussion - 400 words ? You shall present your plan ? You shall explain why you have chosen this plan ? You shall explain the opportunities ? You shall explain the challenges ? You shall explain why your plan: ? Maximizes the opportunities ? Offsets the challenges ! ? Conclusion - 100 words ? You will conclude by summarizing: ? Strategy chosen ? 2 major reasons why you chose it ? 2 major risks to your strategy! ? Your company is in a period of slow growth, so you decided to plan a foreign expansion strategy. ? Company character: mid-size; you are not a market leader; limited pricing power; attempt to establish a strong position by going abroad. ? Foreign experience: You're a beginner, do not have a dedicated export team, nor dedicated international division. Therefore, you hired an expert in this field, and this person will help you in design strategy. We go international ! • • • • • • • • We need to make a plan We need to look at many factors We need to look at: Our position in the sector Growth prospects: Domestic International We know international better than domestic / home ! 1 We need to look at our product ! • We need to look at product – standard – non standard • We need to look at brand – strong – weak • We need to look at need to produce locally: • Weak • Strong • We need to look at capital investment: • Strong • Weak 2 Organization! • • • • We need to look at current organization We are given this organization We are a domestic focused company We have a simple organization ! 3 Organization ! Very Simple ! • • • • • • • We are organized by function: Sales Marketing Production Finance We are not organized by product ! We are not organized by region ! 4 Will we need to change our organization ? • • • • Will you need to change your organization ? Will you need to establish a: International division Product management structure ? 5 Marketing Strategy ! • • • • Marketing Strategy: Home replication Global multi-product Use these two basic models! 6 Finance ! • Finance – explain if + finance necessary yes – no • Finance – if + finance necessary where will more finance come from: • Current owners • New investors • Banks • This can be very brief ! 7 Export or FDI ? • • • • • Will you sell from the home office ? Will you produce in your target market ?

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