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Entry Strategies of MNCs in Bangladesh
Course Name: International Management
Course Code: MGT 3201
Submitted By:
Souman Guha
Id No: 16241002
Section: B
Batch: MGT 2016
Semester: 6th
Semester
Prepared for:
Lt. Col Md. Tauhidul Islam
Associate Professor
Department of Management Studies Faculty of Business Studies
Bangladesh University of Professionals
Mirpur Cantonment, Dhaka 1216
Date of Submission: September 26, 2018
A multinational corporation or worldwide enterprise is a corporate organization which owns or
controls production of goods or services in at least one country other than its home country.
A market entry strategy is the planned method of delivering goods or services to a new target
market and distributing them there. When importing or exporting services, it refers to
establishing and managing contracts in a foreign country.
There are several entry strategies for MNCS in Bangladesh:
1.Wholly owned subsidiary
2.Merger/acquisitions
3.Franchising
4.Licensing
5.Alliance
6.Joint Venture
7. Import/export
Organization Descriptions Entry Strategy
1. Amari Dhaka(Hotel Management
Chain)
Amari, formerly Amari Hotels
and Resorts is a Thai-based
hotel and resort chain
operating a network of mid to
upscale properties throughout
Asia and The Middle East .It is
now owned by ONYX
Hospitality Group - a hotel
management company based
in Bangkok.
Wholly owned
subsidiary
2.Banglalink(Telecommunication
Industry)
Banglalink is the third largest
cellular service provider in
Bangladesh. Banglalink
Digital Communications Ltd.
is fully owned by Telecom
Ventures Ltd. of Malta, which
is a 100% owned subsidiary of
Global Telecom Holding
Wholly owned
subsidiary
3. British American Tobacco
Bangladesh Limited (FMCG)
BAT Bangladesh is a part
of British American
Tobacco plc, one of the
world's most international
businesses, with brands sold in
more than 200 markets around
the world.
Wholly owned
subsidiary
4. Unilever Bangladesh (FMCG) Joint-Venture
5. Reckitt Benckiser Bangladesh
Limited (FMCG)
Reckitt Benckiser Group plc is
a British multinational
consumer goods company
headquartered in Slough,
England. It is a producer of
health, hygiene and home
products. It was formed in
1999 by the merger of the UK-
based Reckitt & Colman plc
and the Netherlands-based
Benckiser NV.
Wholly owned
subsidiary
6. Nestle Bangladesh (FMCG) Nestlé S.A. is a Swiss
transnational food and drink
company headquartered in
Vevey, Vaud, Switzerland. It
is the largest food company in
the world, measured by
revenues and other metrics,
since 2014.
Joint Venture
7. Sanofi Aventis Sanofi Bangladesh Limited is a
public limited company where
Bangladesh Government has
45.36% share.
Merger
8. Lafarge Surma Cement Ltd LafargeHolcim
Bangladesh Limited, a joint
venture of LafargeHolcim and
Cementos Molins is the only
fully
integrated cement company in
Bangladesh
Joint Venture
9. Marico Bangladesh Limited
(FMCG) Marico Bangladesh Limited is
amongst the top 3 FMCG
MNC companies and a trusted
brand in beauty and wellness
space in Bangladesh. The
company touches the lives of 1
out of every 2 Bangladeshis
with an array of brands in
various categories, including
hair nourishment, edible oil
and male grooming, through a
strong distribution network
that reaches more than 790,000
outlets throughout the country
Wholly owned
subsidiary
10.Berger Paints Bangladesh
Limited (Paint Industry)
Awarded 7 years in a row as
the best paint brand of
Bangladesh – Berger Paints
Bangladesh Limited is one of
the oldest names in the paint
industry, yet, it is one of the
most technologically
progressive companies in the
country.
Wholly owned
subsidiary
11. Chevron ( Petroleum Industry) Chevron Corporation is a
multinational energy
corporation. Through its
subsidiaries in Bangladesh,
Chevron produces natural gas
and condensate from three
fields in the northeast of the
country.
Wholly owned
subsidiary
12. Mobil ( Petroleum Industry) Direct Importing
13. Grameenphone Bangladesh
Limited (Telecommunication
Industry)
It is a joint venture
between Telenor and Grameen
Telecom Corporation, a non-
profit sister concern of
the microfinance organisation
and community development
bank Grameen Bank.
Joint-Venture
14. Nokia Siemens (Joint Venture of
Nokia and Siemens)
Nokia is a Finnish
multinational
telecommunications,
information technology, and
consumer electronics
company, founded in 1865.
Nokia's headquarters are in
Espoo, in the greater Helsinki
metropolitan area.
Direct Importing
15. Youngone (Garments Industry) Youngone Corporation is a
multinational apparel and
sportswear manufacturer
headquartered in South Korea.
The company manufactures
athletic clothing, textiles,
footwear and travel gear.
Wholly owned
subsidiary
16. HSBC (Banking Industry) HSBC Holdings plc is a
British[6]
multinational banking
and financial services holding
company, tracing its origin to
a hong in Hong Kong
Wholly owned
Subsidiary
17. Standard Chartered Bank
(Banking Industry)
Standard Chartered PLC is a
British multinational banking
and financial services
company headquartered in
London, England. It operates a
network of more than 1,200
branches and outlets across
more than 70 countries and
employs around 87,000 people
Wholly owned
subsidiary
18.Bata Bata is a Canadian
multinational Company,
operating in many countries
including Bangladesh in
footwear sectors.
Wholly owned
subsidiary
19. KFC KFC, also known as Kentucky
Fried Chicken, is an American
fast food restaurant chain that
specializes in fried chicken.
Licencing
Headquartered in Louisville,
Kentucky, it is the world's
second-largest restaurant chain
after McDonald's, with almost
20,000 locations globally in
123 countries
20. Pizza hut Pizza Hut is an American
restaurant chain and
international franchise founded
in 1958 by Dan and Frank
Carney. The company is
known for its Italian-American
cuisine menu including pizza
and pasta, as well as side
dishes and desserts
Franchising
21.Samsung (Mobile Company) Samsung is a South Korean
multinational conglomerate
headquartered in Samsung
Town, Seoul. It comprises
numerous affiliated businesses,
most of them united under the
Samsung brand, and is the
largest South Korean chaebol.
Direct Importing
22. RAK paint RAK Paints Limited produces
solvent based and water based
paints of premier quality.
Joint Venture
23. GlaxoSmithKline GlaxoSmithKline plc is a
British pharmaceutical
company headquartered in
Brentford, London.
Established in 2000 by a
merger of Glaxo Wellcome
and SmithKline Beecham,
GSK was the world's sixth
largest pharmaceutical
company as of 2015
Wholly owned
Subsidiary
24.MCC Transport Bangladesh MCC Transport is a regional
specialist handling all Intra–
Asia containerized cargo for
the Maersk Group in addition
to providing feeder services for
a wide range in Bangladesh
Wholly owned
Subsidiary
25.Coats Bangladesh Ltd. Coats Bangladesh Ltd. – a
Joint Venture between A. K.
Khan & Company Ltd. and
world's largest Sewing Thread
Joint Venture
Manufacturer Coats Vieylla
Group of UK
26. Coca-Cola Coca-Cola, or Coke is a
carbonated soft drink
manufactured by The Coca-
Cola Company. Coca-Cola, the
second largest player in the
carbonated beverage market in
Bangladesh
Licensing
27.Pepsico PepsiCo, Inc. is an American
multinational food, snack, and
beverage corporation
headquartered in Purchase,
New York. PepsiCo has
interests in the manufacturing,
marketing, and distribution of
grain-based snack foods,
beverages, and other products
Franchising
28.Robi Robi Axiata Limited, DBA
Robi, is the second largest
mobile network operator of
Bangladesh. It is a joint
venture between Axiata Group
Berhad, of Malaysia, Bharti
Airtel Limited, of India and
NTT DoCoMo Inc., of Japan
Joint Venture
29. TCI Bangladesh Limited Transport Corporation
of India Limited is an
integrated multi-modal
logistics and supply chain
solutions provider
in India with a Global
presence, headquartered in
Gurugram, Haryana, India.
Wholly owned
Subsidiary
30.Huwai Bangladesh Huawei Technologies Co., Ltd.
is a Chinese multinational
networking,
telecommunications
equipment, and services
company headquartered in
Shenzhen, Guangdong. It is the
largest telecommunications
equipment manufacturer in the
world, having overtaken
Ericsson in 2012.
Directly Importing
31. Holy Crab BD It’s an American restaurant
chain shop.
Franchising

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List of Bangladeshi Multinational Companies and their entry strategy

  • 1. Entry Strategies of MNCs in Bangladesh Course Name: International Management Course Code: MGT 3201 Submitted By: Souman Guha Id No: 16241002 Section: B Batch: MGT 2016 Semester: 6th Semester Prepared for: Lt. Col Md. Tauhidul Islam Associate Professor Department of Management Studies Faculty of Business Studies Bangladesh University of Professionals Mirpur Cantonment, Dhaka 1216 Date of Submission: September 26, 2018
  • 2. A multinational corporation or worldwide enterprise is a corporate organization which owns or controls production of goods or services in at least one country other than its home country. A market entry strategy is the planned method of delivering goods or services to a new target market and distributing them there. When importing or exporting services, it refers to establishing and managing contracts in a foreign country. There are several entry strategies for MNCS in Bangladesh: 1.Wholly owned subsidiary 2.Merger/acquisitions 3.Franchising 4.Licensing 5.Alliance 6.Joint Venture 7. Import/export
  • 3. Organization Descriptions Entry Strategy 1. Amari Dhaka(Hotel Management Chain) Amari, formerly Amari Hotels and Resorts is a Thai-based hotel and resort chain operating a network of mid to upscale properties throughout Asia and The Middle East .It is now owned by ONYX Hospitality Group - a hotel management company based in Bangkok. Wholly owned subsidiary 2.Banglalink(Telecommunication Industry) Banglalink is the third largest cellular service provider in Bangladesh. Banglalink Digital Communications Ltd. is fully owned by Telecom Ventures Ltd. of Malta, which is a 100% owned subsidiary of Global Telecom Holding Wholly owned subsidiary 3. British American Tobacco Bangladesh Limited (FMCG) BAT Bangladesh is a part of British American Tobacco plc, one of the world's most international businesses, with brands sold in more than 200 markets around the world. Wholly owned subsidiary 4. Unilever Bangladesh (FMCG) Joint-Venture 5. Reckitt Benckiser Bangladesh Limited (FMCG) Reckitt Benckiser Group plc is a British multinational consumer goods company headquartered in Slough, England. It is a producer of health, hygiene and home products. It was formed in 1999 by the merger of the UK- based Reckitt & Colman plc and the Netherlands-based Benckiser NV. Wholly owned subsidiary 6. Nestle Bangladesh (FMCG) Nestlé S.A. is a Swiss transnational food and drink company headquartered in Vevey, Vaud, Switzerland. It is the largest food company in the world, measured by revenues and other metrics, since 2014. Joint Venture
  • 4. 7. Sanofi Aventis Sanofi Bangladesh Limited is a public limited company where Bangladesh Government has 45.36% share. Merger 8. Lafarge Surma Cement Ltd LafargeHolcim Bangladesh Limited, a joint venture of LafargeHolcim and Cementos Molins is the only fully integrated cement company in Bangladesh Joint Venture 9. Marico Bangladesh Limited (FMCG) Marico Bangladesh Limited is amongst the top 3 FMCG MNC companies and a trusted brand in beauty and wellness space in Bangladesh. The company touches the lives of 1 out of every 2 Bangladeshis with an array of brands in various categories, including hair nourishment, edible oil and male grooming, through a strong distribution network that reaches more than 790,000 outlets throughout the country Wholly owned subsidiary 10.Berger Paints Bangladesh Limited (Paint Industry) Awarded 7 years in a row as the best paint brand of Bangladesh – Berger Paints Bangladesh Limited is one of the oldest names in the paint industry, yet, it is one of the most technologically progressive companies in the country. Wholly owned subsidiary 11. Chevron ( Petroleum Industry) Chevron Corporation is a multinational energy corporation. Through its subsidiaries in Bangladesh, Chevron produces natural gas and condensate from three fields in the northeast of the country. Wholly owned subsidiary 12. Mobil ( Petroleum Industry) Direct Importing
  • 5. 13. Grameenphone Bangladesh Limited (Telecommunication Industry) It is a joint venture between Telenor and Grameen Telecom Corporation, a non- profit sister concern of the microfinance organisation and community development bank Grameen Bank. Joint-Venture 14. Nokia Siemens (Joint Venture of Nokia and Siemens) Nokia is a Finnish multinational telecommunications, information technology, and consumer electronics company, founded in 1865. Nokia's headquarters are in Espoo, in the greater Helsinki metropolitan area. Direct Importing 15. Youngone (Garments Industry) Youngone Corporation is a multinational apparel and sportswear manufacturer headquartered in South Korea. The company manufactures athletic clothing, textiles, footwear and travel gear. Wholly owned subsidiary 16. HSBC (Banking Industry) HSBC Holdings plc is a British[6] multinational banking and financial services holding company, tracing its origin to a hong in Hong Kong Wholly owned Subsidiary 17. Standard Chartered Bank (Banking Industry) Standard Chartered PLC is a British multinational banking and financial services company headquartered in London, England. It operates a network of more than 1,200 branches and outlets across more than 70 countries and employs around 87,000 people Wholly owned subsidiary 18.Bata Bata is a Canadian multinational Company, operating in many countries including Bangladesh in footwear sectors. Wholly owned subsidiary 19. KFC KFC, also known as Kentucky Fried Chicken, is an American fast food restaurant chain that specializes in fried chicken. Licencing
  • 6. Headquartered in Louisville, Kentucky, it is the world's second-largest restaurant chain after McDonald's, with almost 20,000 locations globally in 123 countries 20. Pizza hut Pizza Hut is an American restaurant chain and international franchise founded in 1958 by Dan and Frank Carney. The company is known for its Italian-American cuisine menu including pizza and pasta, as well as side dishes and desserts Franchising 21.Samsung (Mobile Company) Samsung is a South Korean multinational conglomerate headquartered in Samsung Town, Seoul. It comprises numerous affiliated businesses, most of them united under the Samsung brand, and is the largest South Korean chaebol. Direct Importing 22. RAK paint RAK Paints Limited produces solvent based and water based paints of premier quality. Joint Venture 23. GlaxoSmithKline GlaxoSmithKline plc is a British pharmaceutical company headquartered in Brentford, London. Established in 2000 by a merger of Glaxo Wellcome and SmithKline Beecham, GSK was the world's sixth largest pharmaceutical company as of 2015 Wholly owned Subsidiary 24.MCC Transport Bangladesh MCC Transport is a regional specialist handling all Intra– Asia containerized cargo for the Maersk Group in addition to providing feeder services for a wide range in Bangladesh Wholly owned Subsidiary 25.Coats Bangladesh Ltd. Coats Bangladesh Ltd. – a Joint Venture between A. K. Khan & Company Ltd. and world's largest Sewing Thread Joint Venture
  • 7. Manufacturer Coats Vieylla Group of UK 26. Coca-Cola Coca-Cola, or Coke is a carbonated soft drink manufactured by The Coca- Cola Company. Coca-Cola, the second largest player in the carbonated beverage market in Bangladesh Licensing 27.Pepsico PepsiCo, Inc. is an American multinational food, snack, and beverage corporation headquartered in Purchase, New York. PepsiCo has interests in the manufacturing, marketing, and distribution of grain-based snack foods, beverages, and other products Franchising 28.Robi Robi Axiata Limited, DBA Robi, is the second largest mobile network operator of Bangladesh. It is a joint venture between Axiata Group Berhad, of Malaysia, Bharti Airtel Limited, of India and NTT DoCoMo Inc., of Japan Joint Venture 29. TCI Bangladesh Limited Transport Corporation of India Limited is an integrated multi-modal logistics and supply chain solutions provider in India with a Global presence, headquartered in Gurugram, Haryana, India. Wholly owned Subsidiary 30.Huwai Bangladesh Huawei Technologies Co., Ltd. is a Chinese multinational networking, telecommunications equipment, and services company headquartered in Shenzhen, Guangdong. It is the largest telecommunications equipment manufacturer in the world, having overtaken Ericsson in 2012. Directly Importing
  • 8. 31. Holy Crab BD It’s an American restaurant chain shop. Franchising