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International business penetration to China

Author: 
Datuk Dr Mahamad Zubir Seeht Saad
Subject Area: 
Health Sciences
Abstract: 

The business context in which companies currently exist in has significantly changed over the years forcing organizations to change their competitive strategies in order to survive and compete favorably. International market penetration in itself is a competitive strategy, offering alternative options to the company on which direction to go to achieve maximum advantage. This paper highlights the concept of international business strategies, beginning out with the common reasons why organizations decide to go international. Existing entry strategies are discussed in detail, painting a picture of the alternatives available to firms in case of the need to v enture into an international market. Special focus is made on penetration strategies to China, an emergent economy considered favorable for most business ventures. The various strategies discussed are evaluated in regards to their suitability within the Chinese market and their advantages and disadvantages highlighted.

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