2. Objectives: Enter Russian consulting market $100 million revenue by 2020 Current situation: In the period 2010-2020 the Russian consulting market will grow 20% (YoY) and be worth an estimated $24 billion in 2020 ( see Appendix 1) On the basis of Porter 5 Forces Analysis we have concluded that Russian market penetration will be challenging but beneficial (see Appendix 2) Objectives and current situation analysis
3. Product Accenture should penetrate the market with all 7 service lines in portfolio (see App. 4). After thorough examination of A’s potential ( see SWOT-analysis in App.3) and the most promising dimensions for entry ( see Expert evaluations in App. 5) we have selected Process&Innovation Performance and Supply Chain as the core lines followed by Strategy and Customer Relationship Management as the lines of the 2nd priority. Focus industries: Manufacturing, Telecoms&Transport, Mining, Wholesales&Retail Trade (see Appendix 1). Price The chosen strategy (see App. 4) is based on price diversification: In core services charge of high price of approx. $300k (for M+2 team ( see p.2 of the case)); In non-core services - $200-250k. The annual price rise of around 20% is expected in the coming decade. The Company introduces the system of discounts for: established global clients and loyal Russian clients; complex solution of set of problems. Penetration strategy5P Model
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5. Doing business without advertising Promotion is like winking at a girl in the dark. Stuart Henderson Britt To achieve set number of projects Accenture need to implement aggressive promotion strategy: PR (creating positive image in mass-media, views of our consultants on main economic and industry-related issues in top mass-media; Accenture Case Club); Advertising (in economic-related papers Newsweek, Expert, RBC daily, Vedomosty); Sponsorship ( sports events, patronage of orphanage) Corporate image ( Accenture football team, publishing manuals on consulting problems) Penetration strategy5P Model
