Market Entry Strategies

A firm's business strategies regarding the choice of a market, market entry timing and entry mode can significantly influence the firm's performance. A number of factors such as control, experience and cultural distance can influence the formulation of a firm's market entry strategy – for example, whether to choose between licensing and franchising or between joint ventures or wholly owned subsidiaries. Scholars have analysed the choice of a firm's market entry strategy from various theoretical perspectives, such as transaction cost economics, the resource-based view, the capabilities perspective and the eclectic framework.