Planning helps firms manage external factors to achieve goals. International planning incorporates long-term goals, while strategic planning sets short and long-term goals. Tactical planning implements strategic plans in specific markets. Exporting allows minimal risk and is common for new and mature international firms. Licensing and franchising transfer technology with low capital. Strategic alliances share risks and resources. Joint ventures create separate legal entities for partnerships. Consortia pool resources for new markets. Direct investment establishes new operations or acquisitions.

2.  Planning is an attempt to manage the effect
of external, uncontrollable factors on the
firm’s strengths, weaknesses, objectives and
goals to attain a desired end.
 Benefits of global markets:
 Allows rapid growth of the international
function
 Changing markets
 Increasing competition

3.  International corporate planning:
 Is incorporating generalized gaols for the
organization as a whole in the long run
 Strategic planning:
 Is conducted at the highest levels of
management and deals with product, capital,
resources, short and long goals of the
company
 Tactical planning:
 Allocation of resources used to implement
strategic planning in a specific market

4.  Phase one: Preliminary analysis and
screening-matching company and country
needs
1. Company needs evaluation of potential
markets is the first step in the planning
process. Deciding which existing country
market to make an investment. How?
 This depends on checking company's
strength, objectives and product and match
them with most suitable foreign country’s
market.

5. Phase2: Adapting the marketing mix to target
market
Incorrect decision at this point leads to product
inappropriateness for the intended market or
costly mistake in advertising, pricing and
promotion.
Phase3: Developing the marketing plan:
At this stage the market planning process is
developed for target markets
Phase4: Implementation and control

6.  Exporting: This can be either direct or indirect
export.
 Direct exporting: the company sells to a
customer in another country. This method is the
most common approach employed by companies
taking their first international step. Why? because
the risks of financial loss can be minimized.
 Indirect exporting: usually means that the
company sells to a buyer (importer or distributor)
in the home country, which in turn exports the
product

7.  Exporting can be at early stage to skim the
cream from the market or gain business to
absorb overhead.
 Exporting is also a common approach for
mature international companies with strong
marketing capabilities.
 The internet:
The internet is used as a common way of
Selling product in foreign markets

8.  Direct sales: This means establishing an
office with local and or experience managers
and staff, depending on the size of market
and potential sales revenues.
 Contractual agreements:
Generally involves transferring technology,
process, trademarks, and or human skills
(transferring knowledge instead of equity)

9. A. Licensing: trademark right, and the rights to
use technological processes. It is a favourite
strategy for small and medium companies.
Usually companies do not depend on
licensing alone, is generally viewed as a
supplement to exporting or manufacturing.
When to use licensing:
When capital is scarce, there is important
restriction on entering foreign markets, a
country is sensitive to foreign markets

10.  Risk of licensing: choosing the wrong partner,
quality and other production problems and
loss of marketing control
B. Franchising:
Is a rapidly growing from of licensing in which
the franchiser provides a standard package of
products, systems and management services.

11.  When to use franchising?
 It is an attractive strategy for companies
wishing to expand quickly with low capital
investment
 Advantage of franchising
It combines the knowledge of the franchiser
with the local knowledge and spirit of the
franchisee
Foreign laws and regulations are friendly
toward this strategy. Why?

12.  As it tends to foster local ownership,
operations and employment.
 Disadvantage of franchising:
The cost associated with servicing franchisees.
Such as adapting different tastes around the
world
C. Strategic international alliances:
A business relationship established by two or
more companies to cooperate out of mutual
need to share risk in achieving a common
goal.

13.  It is a way to share weakness and increase
competitive strength.
 Firms enter into strategic international
alliances for several reasons:
 1. opportunities for rapid expansion into new
markets
 2. Access to new technology
 3. More efficient production and innovation
 4. Reducing marketing costs
 5. access to additional sources of products

14. D. International joint ventures:
It is a different from other types of strategic
alliances or collaborative relationship in that a
joint ventures is a partnership of two or more
participating companies that have joined forces
to create a separate legal entity.
Four characteristics can define joint venture:
 Established separate, legal entities
 Partners can share in the management
 They are partnerships between legally
incorporated entities such as government not
between individuals

15.  E. Consortia:
Are similar to joint venture except for two
unique characteristics:
1. They typically a large number of
participants
2. They frequently operates in a country or
market in which none of the participants is
currently active.
3. This entering strategy is used to pool
financial and managerial resources and to
lessen risks

16.  F. Direct foreign investment:
Investing in a foregin country. Companies can
directly invest by establishing a new
operations or buy a local company
Several factors influence the structure
performance of direct investment:
1.Timing- First movers have more advantage
but more risky
2.The growing complexity
3.Transaction cost structure

17.  4.technology transfer
 5.degree of product differentiation
 6.The previous experience and cultural
diversity of acquired firms
 7. Advertising and reputation barriers.