The document defines strategy as the long-term direction and scope of an organization that achieves advantages in a changing environment through resource configuration to fulfill stakeholder expectations. A good strategy answers where the organization is going and how it will get there. The document discusses international growth strategies such as starting from scratch, using distributors, partnerships, joint ventures, licensing, and acquisitions. It emphasizes having resources, leadership, and flexibility to adapt strategies when pursuing international growth.

1. 1
STRATEGY
&
INTERNATIONAL
GROWTH
Marc Feyen – June 20th 2019

2. What is Strategy?
2

3. DEFINITION
Strategy is the direction
and scope of an
organization over the
long term which achieves
an advantage in a
changing environment
through the
configuration of
resources and
competences with the
aim of fulfilling
stakeholder
expectations.

4. DEFINITION
Strategy is the direction
and scope of an
organization over the
long term which achieves
an advantage in a
changing environment
through the
configuration of
resources and
competences with the
aim of fulfilling
stakeholder
expectations.
• Entrepreneur
• Owner / shareholder
• CEO

5. DEFINITION
Strategy is the direction
and scope of an
organization over the
long term which achieves
an advantage in a
changing environment
through the
configuration of
resources and
competences with the
aim of fulfilling
stakeholder
expectations.
• Entrepreneur
• Owner / shareholder
• CEO
Question 1

6. ① “Where are we going to?”
A GOOD STRATEGY ANSWERS TWO BASIC QUESTIONS

7. ① “Where are we going to?”
A GOOD STRATEGY ANSWERS TWO BASIC QUESTIONS
Decisions to be taken !!!!!
• Staying local or
internationalize.
• Why – Where – When?
• Analysing the external world.
• Generating strategic options
and making strategic choices.
• Taking actions that determine
whether a company prospers or
dies.

8. DEFINITION
Strategy is the direction
and scope of an
organization over the
long term which achieves
an advantage in a
changing environment
through the
configuration of
resources and
competences with the
aim of fulfilling
stakeholder
expectations.
• Entrepreneur
• Owner / shareholder
• CEO
Question 2

9. A GOOD STRATEGY ANSWERS TWO BASIC QUESTIONS
② “How are we going to get there?”

10. A GOOD STRATEGY ANSWERS TWO BASIC QUESTIONS
② “How are we going to get there?”

11. A GOOD STRATEGY ANSWERS TWO BASIC QUESTIONS
② “How are we going to get there?”
Decisions to be taken !!!!!
• Who – What – How?
• Balance between people and
technology.
• What resources do we have?
Do we use them fully?
• Which lacking resources must
we have?
• Planning that the strategies
selected are executed
effectively.

12. WHY DO WE NEED A STRATEGY?

13. “SURVIVAL, GROWTH AND SUCCESS ARE NOT GUARANTEED”.
“YOU HAVE TO COMPETE TO ENSURE THEM PROACTIVELY”.
WHY DO WE NEED A STRATEGY?

14. Company
Customers
Resources
Competitor
CompetitorCompetitor
Competitor
Society
Technology
Economics
Environment Politics
Regulations
WHY DO WE NEED A STRATEGY?
“SURVIVAL, GROWTH AND SUCCESS ARE NOT GUARANTEED”.
“YOU HAVE TO COMPETE TO ENSURE THEM PROACTIVELY”.

15. UNDERSTANDING THE GLOBAL (REGIONAL / LOCAL) TRENDS
Without an objective and in-depth observation and
orientation no solid decision can be taken.

16. 1. Strategy Formulation – 20 %
 Lack of rigour and detail at the analysis stage
 Over reliance on creative/intuitive elements (inspiration versus perspiration)
 Perfectionism - and impact on timing / missing the ‘window of opportunity’
 The strategy itself was flawed
 Fundamental (and unforeseen…!!!???) market changes
2. Strategy Execution – 80 %
 Failure and/or inability to align People with the Strategy
 Failure and/or inability to understand / align Culture
 Failure and/or inability to exhibit Leadership in strategy execution
 Poor / incomplete / uncommitted implementation
 Failure to create performance measures, feedback loop, monitor and adjust
 Failure to communicate properly.
WHY DO STRATEGIES FAIL?
©DennisOwusu-ansah,Dreamstime.com

17. INTERNATIONAL GROWTH

18. INTERNATIONAL GROWTH – HOW?

19. INTERNATIONAL GROWTH – HOW?

20. INTERNATIONAL GROWTH – HOW?
o Starting from
scratch - direct?
o Via existing
distributor(s)?
o Partnership(s)?

21. INTERNATIONAL GROWTH – HOW?
o Starting from
scratch - direct?
o Via existing
distributor(s)?
o Partnership(s)?
o Acquisition(s)
o Merger(s)

22. INTERNATIONAL GROWTH – HOW?
o Starting from
scratch – direct?
o Via existing
distributor(s)?
o Partnership(s)?
o Acquisition(s)
o Merger(s)
o Joint-Venture?
o Licensing?

23. 1. Starting from scratch > direct to the market?
 Setting up organisation locally?
 Talent search
INTERNATIONAL GROWTH – HOW? o Starting from scratch –
direct?
o Via existing
distributor(s)?
o Partnership(s)?

24. Across the globe, skilled professionals are in short supply….
AI = Artificial Intelligence
Source: Gartner (January 2019)

25. 1. Starting from scratch > direct to the market?
 Setting up organisation locally?
 Talent search
 Or just delivering from Belgium to new market?
 What about after sales service?
2. Via existing distributors?
 Margin split
 Control over the end-customers?
 Legal responsibility.
 Conflict of interest.
3. Partnerships?
 What are the rules?
 What is the mutual benefit of a partnership?
 Conflict of interest.
INTERNATIONAL GROWTH – HOW? o Starting from scratch –
direct?
o Via existing
distributor(s)?
o Partnership(s)?

26. 1. Joint –Venture?
 Potential next step after a succesfull partnership.
 Intermediate step towards a full acquisition.
 % sharing?
 Legal responsibilities.
2. Licensing?
 What could be advantage of it?
 Legal
INTERNATIONAL GROWTH – HOW?
o Joint-Venture?
o Licensing?

27. Acquisition / Merger?
 Why would you buy? Buying market, eliminating a competitor, …?
 What will you bring to the acquired party?
 Always counterbalance Value and Risk.
 Be clear on your future outlook.
 Do you have an alternative in case not to do an acquisition?
 Make a solid and convincing strategic plan. You will need in order to
get banks and/or other investors on board?
 Prepare well in advance your 100 days post-merger integration plan,
or do want to keep it as a seperate and stand-alone BU?
 Think always strategically.
 Let you be assisted by a professional M&A advisor. The acquisition
process is a full time job.
INTERNATIONAL GROWTH – HOW?
o Acquisition(s)
o Merger(s)

28. A proprietary
advantage
Factual information
about consumers
New ways of getting
long-term insights
A better understanding
of consumer motivation
Consumer
Understanding
Information
Information
Understanding
Insight
Insight
no one
else has
A proprietary
advantage
Factual information
about consumers
New ways of getting
long-term insights
A better understanding
of consumer motivation
Consumer
Understanding
Information
Consumer
Understanding
Information
Information
Understanding
Insight
Insight
no one
else has
Source: Research International
Customer Insigth is crusial
INTERNATIONAL GROWTH – HOW?

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A FEW KEY INSIGHTS FOR INTERNATIONAL GROWTH
1. GROWING MEANS NEED OF (FINANCIAL) RESOURCES – HOW MUCH, WHEN, TYPE OF INVESTOR,
ACCEPTING THE RISKS.
1. BE PREPARED FOR THE CHALLENGES THAT GROWTH WILL ALWAYS CREATE – DIRECTION,
LEADERSHIP, IMPLEMENTATION, ALIGNMENT, SPENDING A LOT OF TIME IN YOUR NEW GROWTH
MARKET.
1. BE SENSITIVE TO ACCEPT OTHER CULTURES AND TO INSTALL THE RIGHT CULTURE INTERNALLY TO
MAKE SURE YOU ACHIEVE YOUR GROWTH PROJECTIONS.
1. KEEP THINKING STRATEGICALLY, BUT BE FLEXIBLE IN ADJUSTING YOUR STRATEGY WHEN
NEEDED.
1. APPOINT A QUALITATIVE (ADVISORY) BOARD TO KEEP CONTROL ON THE YOUR GOALS &
OBJECTIVES.

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Companies are ‘Living Entities’ with no intrinsic ‘right’ to survive or prosper:

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“Rethink and Renew your Strategy”
Companies are ‘Living Entities’ with no intrinsic ‘right’ to survive or prosper:

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“Rethink and Renew your Strategy”
Your Vision of Your Future
is the Greatest Asset you have
Companies are ‘Living Entities’ with no intrinsic ‘right’ to survive or prosper:

33. pandionpartners.com
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