Market Entry

Expansion into new markets is a requisite corollary of the globalised business environment and brings with it a new set of challenges. Creating an effective market entry strategy requires channelling an understanding of externalities into a strategy that drives internal processes. The external factors affecting new market expansion are extensive in scope and require an in-depth understanding of the agencies and forces operating therein. Factors such as competition, regulatory environment, per-capita income projections, macro-economic forecasts, price sensitivity, consumer attitudes, et cetera, are specialised areas in themselves and require the competence and judgement of seasoned professionals.

The Market Entry offering from Phronesis™ is a bouquet of opportune services that aim to supply contextualised and pertinent information to clients who are considering setting up business operations in new markets. Our team is equally proficient with data extraction from veteran counsels and accomplished professionals, as well as gathering information from reputed publications and databases. This allows for synthesises of strategic insights by subjecting this class of first-hand and secondary information to analysis under established decision-making models. Our package offerings in this space are judiciously compiled so as to prevent information overload or attention fragmentation of the client. The idea is to employ our research capability in assisting the client plan the outlay of resources such that it translates into a growth trajectory.

Case Studies >>
  • Identification and profiling of most sought after International management programs
    Case Study
    Sector | Education
    • Our client , a European University wanted to increase the international enrollments in its management programs. The client was interested in increasing both on campus and off campus enrollments particularly from the regions of Asia Pacific and Latin America. The client also wanted to understand the competition in the above defined market.

    • Phronesis Partners conducted exhaustive desk based research  to identify and asses top universities from around the world , offering both on and off campus management courses for international students.

      During the phase 2 of research , 3500 management aspirants who were planning to study internationally were surveyed across Asian and Latin American markets.

    Approach

    The objectives of the research were to identify the most sought after international universities by the Asian and Latin American students , asses key student segments and demographics , build detailed profiles of universities identified as top competition and suggest strategic recommendations and final insights.

    Various factors such as countries with maximum amount of student outflow for management programs along with  their desired destinations were evaluated.

    Detailed university profiles were prepared based on intelligence gathered through desk research and surveys.

    The results were collected and analyzed through statistical methods to churn out various insights.

    Value/Results

    The research and information helped our client to gain  insightful information about the current trends in the student outflow market for management study. Also , the reports helped our client to understand and analyze the competition. By the help of the results from the research , our client was able to see a rise in the number of international students from the intended regions.

  • Education Sector – Market Opportunity Study
    Case Study
    Sector | Education
    • Education sector in UAE has great potential in terms of growth, expansion, demand and size. Our client is a leading international  education brand and wanted to enter into UAE.

    • UAE

    Approach

    • Detailed profiles of 3 major players were presented to the client.
    • Research findings enabled the client to identify the opportunity for entering into UAE education sector with effective market entry strategy.

    Value/Results

    • The main area of the study was to gather detailed understanding of UAE education sector such as:

    ̶Current market size

    ̶Macro and micro economic trends

    ̶Key drivers leading the growth of sector

    ̶Segmentation analysis in higher education

    ̶Government initiatives for sector’s growth

    ̶Demand potential

    ̶Market regulations

    ̶Competition analysis

    • Qualitative and quantitative research methods were used to collect the information with the combination of primary and secondary data
    • Secondary research was used to understand micro and macro environment factors, market regulations and major players in high education
    • Interviews were conducted with policy makers, influencers, key opinion leaders and experts to understand

    ̶Overall growth and potential of education sector in UAE

    ̶Key growth drivers, competition and estimated market share in high education sector and course offered under higher education

    ̶Deep dive on macro economic trends

    ̶Support from local and national government

    ̶Promising opportunities for private players

    ̶Barrier for entering new foreign players

    ̶

    • Competition analysis was applied using five forces model
    • Highlighted the factors driving the demand potential for higher education in UAE
    • Segmentation analysis was applied to support our client to understand various sub segments that exists in high education sector
    • Location analysis was conducted to help our client finding better place to set-up in UAE
  • Regional Energy Market Scenario Future Market Opportunity Study
    Case Study
    Sector | Energy & Utility
      • The focus of the research was to understand the shifts in regional dynamics, local market fundamentals and evolving policy drivers across the EMEA and Asia Pacific region.
    • UK, France, Germany, Italy, Spain, South Africa, Nigeria, UAE, Saudi Arabia, Kuwait, Qatar, Egypt, India, China, Australia and Malaysia.

    Approach

    • 600 surveys were conducted with various business decision makers which were mainly CEO, COO, Head of Department, Strategy Director and VP Strategy
    • Qualitative interviews were steered with Industry Experts, Key Opinion Leaders, Journalists and Government officials to understand their views on the industry outlook and future growth, key drivers shaping the energy industry policy, macroeconomic trends and policies, power sector and natural gas outlook

    Value/Results

    Detailed insights and analysis report was delivered highlighting key recommendations in each geography for client’s assistance.

  • Potential Investment Assessment Study – Global Private Equity Firm
    Case Study
    Sector | Financial Services
    • The objective of the research was to  analyze a potential of investment opportunity in China and India ,to determine key drivers of growth for post investment and to identify growth strategy initiatives.

    • A number of interviews were conducted in both China and India.

    Approach

    This study was executed in two phases , the first phase was the assessment of key accounts and second phase was the asset analysis & key strategy initiatives of growth for post investment.

    In first phase, we undertook key account assessment by conducting interviews with key accounts of target company across 5 different regions in each country

    Identification of  product and service offerings of target companies in each country, and the value proposition as against its competitors  was done along with the determination of major threats the target companies face.

    In second phase, interviews were conducted with representatives of key account to identify the condition and net value of the companies’ existing assets, including both their physical holdings and their distribution networks.

    Questionnaires were designed  for each phase of interviews and  were administered in local languages.

    Phone based interviews were conducted by our qualitative research team to determine key drivers of growth for post investment and growth strategy initiatives.

    Priority area of investments were  identified in current target company division based on which key growth drivers were identified post investment in each country.

    Competitive analysis of key target company was conducted to provide a clear picture of investment opportunity.

    Value/Results

    Key findings of the survey were delivered to the client which included strategy drivers for improving distribution network of target companies, improving customer relationship management and leveraging of existing assets.

    Country by country comparison was provided separately to the client for better understanding of investment opportunity potential.

  • Investment Opportunity Analysis in Retail Market – Mid Size Private Equity Fund
    Case Study
    Sector | Financial Services
    • The objective of the research was to  understand the retail apparel sector and its key players in USA, Canada and UK and to identify and analyze investment opportunity in retail market across target countries.

    • A number of interviews were conducted in USA, Canada and UK.

    Approach

    Interviews were conducted with various shareholders to assimilate current market perceptions and future expectations.

    Discussion guide was prepared and administered among experts and senior management of target companies .

    Identification of  potential investment opportunities based on an analysis of market size, forecasts, emerging trends and growth drivers through secondary research was done.

     

    Leading market participants were classified based on distribution formats in each region and conducted a thorough operational analysis of key performance indicators including the number of stores, new store additions, average store size, sales, footfalls, conversion ratios and per capita expenditure.

    Determination and prioritization key targets based on growth prospects, market positioning, operational efficiencies, valuations, and synergies with the existing portfolio was done.

    In-depth financial analysis took into account by our business research team to understand revenue growth and working capital analysis, profitability and return ratios, as well as valuation multiple comparisons.

    Country wise key findings were presented in power point presentation format

    Value/Results

    Market-specific insights were provided which enabled the client to determine potential investment opportunities at significantly lower cost than if the analysis had been sourced from a bulge bracket strategic consulting firm.

  • Chemical Engineering - Material Testing Equipment Study
    Case Study
    Sector | Manufacturing & Construction
      • 100 interviews were conducted in each country which were in the US, Canada, UK, Germany, France, Italy, Switzerland, India, China, Korea, Australia and UAE.

    Approach

    • In-depth interviews were conducted with manufacturers, channel partners, users, trade association and regulatory bodies of material testing equipment used in chemical engineering
    • Questionnaires were administered among Middle and Top Manager, Purchasing Manager, Sales and Marketing Manager, Business Owner, Proprietor and Lab In-charge in various chemical engineering companies which were for approximately 35 minutes long.

    Value/Results

    Market specific insights and demographics of various target customers were provided which enabled the client to determine potential investment opportunities at significantly lower cost.

  • Chemical Engineering - Material Testing Equipment Study
    Case Study
    Sector | Oil & Chemical
      • The focus of the research to analyze market size & volume, market segmentation, profile of key customer groups and competition in material testing equipment used in chemical engineering.
      • 100 interviews were conducted in each country which were in the US, Canada, UK, Germany, France, Italy, Switzerland, India, China, Korea, Australia and UAE.

    Approach

    • In-depth interviews were conducted with manufacturers, channel partners, users, trade association and regulatory bodies of material testing equipment used in chemical engineering
    • Questionnaires were administered among Middle and Top Manager, Purchasing Manager, Sales and Marketing Manager, Business Owner, Proprietor and Lab In-charge in various chemical engineering companies which were for approximately 35 minutes long.

    Value/Results

    Market specific insights and demographics of various target customers were provided which enabled the client to determine potential investment opportunities at significantly lower cost.

  • Is Aircraft maintenance a viable business?
    Case Study
    Sector | Tech & Telecom
    • A renowned brand in the jet maintenance industry was exploring potential new markets for expansion.  Our client , a large strategy consulting firm was trying to understand the market for maintenance of private jets across China.

    • Phronesis Partners conducted research with business managers of UHNWI clients who own private jets.

    Approach

    What makes this research unique is the diversity in the management of jets. For some private jet owners , their jet is managed by their dedicated business managers whereas for some , it is managed by their organization’s logistics team.

    The challenge was to identify who specifically has the final say in terms of the management of jet. A multi-phased approach was used the Phronesis™ Research team wherein first the jet owners were contacted to identify specifically who is responsible for maintaining their jets.  According to the responses of the jet owners, the research was conducted with the concerned persons.

    Also, the willing to outsource the process of jet maintenance was evaluated.

    Value/Results

    The research and information helped our client to gain  insightful information about the jet usage behavior , awareness of jet management providers , experience of business managers in jet management and appealing attributes / decision drivers.

  • E-commerce for medical equipment and consumables
    Case Study
    Sector | Tech & Telecom
    • The purpose of this research is to evaluate the opportunity of e-commerce for medical equipment and consumables across China , Thailand , Australia, South Korea and Japan.

    • Phronesis partners conducted a total of 250 interviews across Thailand , China , Australia , South Korea and Japan in their respective languages.

    Approach

    Primary research was conducted involving top national dealers/distributors of medical equipment and consumables with following job titles:

    — Owner

    — Marketing manager

    — Sales manager

    The respondents were selected over the phone, their profiles were screened to identify the right person to contact and explained the purpose of research to encourage their participation.

    Interviews with an average duration of 35 minutes were conducted.

    Value/Results

    English transcripts of interviews in MS Word format  as per the client requirement were delivered.

    Key insights were delivered in a PowerPoint presentation format.

    Our client was able to analyze the new market opportunity to develop the e-commerce market place. Research findings were used by the client for initial strategy development.

  • Is Aircraft maintenance a viable business?
    Case Study
    Sector | Transport & Logistics
    • A renowned brand in the jet maintenance industry was exploring potential new markets for expansion.  Our client , a large strategy consulting firm was trying to understand the market for maintenance of private jets across China.

    • Phronesis Partners conducted research with business managers of UHNWI clients who own private jets.

    Approach

    What makes this research unique is the diversity in the management of jets. For some private jet owners , their jet is managed by their dedicated business managers whereas for some , it is managed by their organization’s logistics team.

    The challenge was to identify who specifically has the final say in terms of the management of jet. A multi-phased approach was used the Phronesis™ Research team wherein first the jet owners were contacted to identify specifically who is responsible for maintaining their jets.  According to the responses of the jet owners, the research was conducted with the concerned persons.

    Also, the willing to outsource the process of jet maintenance was evaluated.

    Value/Results

    The research and information helped our client to gain  insightful information about the jet usage behavior , awareness of jet management providers , experience of business managers in jet management and appealing attributes / decision drivers.

  • Passenger Vehicle Fleet – Market Potential Study
    Case Study
    Sector | Transport & Logistics
      • Our client, a European passenger fleet manufacturer wanted to expand into B2B segment.
      • The research was aimed to assess the market potential and explore new market opportunities for passenger fleet vehicles in B2B market across EMEA and Latin America.
    • Brazil, Mexico, Chile, Argentina, Saudi Arabia, UAE and Qatar.

    Approach

    • Phronesis identified businesses that are currently using fleets for client’s business operations.
    • A representative business population was covered by setting the quotas among 250-749, 750-999 and more than 1000 employees across Retail, Banking, QSR, E-Commerce, Transportation & Logistics, Government and Manufacturing
    • Primary research, interviews were executed among Fleet Managers, Fleet Owners and Transport Admin. Manager who are the decision makers for buying fleet

    Value/Results

    Research findings supported the client decision to expand its fleets into B2B segment across the target markets and helped the client to design the marketing and communication strategy to promotes its brand offerings across the target markets.