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Symposium Part II

Symposium Part II. Economic part of the project – selected topics: Know-how generation and -transfer as a main objective in the field of cooperation with business partners (besides the scientific and student-oriented activities) Management of the network / cluster

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Symposium Part II

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  1. Symposium Part II Economic part of the project– selected topics: Know-how generation and -transfer as a main objective in the field of cooperation with business partners (besides the scientific and student-oriented activities) Management of the network / cluster Finding the right marketing-mix-decisions for the new market

  2. Which business partners? Software-producing enterprises in Germany and Brazil: • SOHOs (Small offices and home offices) • SMEs (small and medium-sized enterprises • Why? Big companies have sufficient and own capacities to internationalize their business Small or medium-sized companies need help and a proper organization model – e.g. a sort of „bundling“ of different developers in form of a network or cluster

  3. Central objectives of the enterprises • Getting information about new markets and successful market-entry strategies • Getting information about promising strategies to develop new products for these markets • Getting information about developing new concepts for markets of the future • Getting data bases opened to get into contact with customers in the foreign market and to get the opportunity to participate in tenders

  4. The main questions, SMEs who want to internationalize ask are: • How can I create an international company? • Which information and Know-How has to be gathered before starting an internationalization project? • How can I get into contact with appropriate partners in the target market? • Markting-Mix-decision No 1: which products with which quality are prone to be successful on the target market? • Marketing-Mix decision No 2: analyse the price for the software offered, which might be competitive • Marketing-Mix decision No 3. which are the most promising forms of distribution and service?

  5. Epistemological issues for the scientist in the project 1. What kind of knowledge is needed? 2. How is this knowledge attained? 3 How does knowledge become know-how? 4 How can knowledge and know-how be transferred?

  6. Internationalizaton as strategic decision Like every strategic decision there has to be a systematic collection of information about the context of the new market and about the abilities of the firm to cope with the new challenges.

  7. Strategic preanalyses • SWOT-Analysis: strength-weaknesses of the enterprise and opportunities-threats in the new market-field • PESTLE-Analysis: Political, Economic, Social and Cultural, Technological, legal and ecological factors • Porters Analysis of the competitive field • Risk-Analysis

  8. Example: combination of the PESTLE-analysis with the five-forces model of Michael Porter Suppliers clients competitors Legal basis Ecological development

  9. Example for the intended network h_da co-ordination and management Prof. Wilmer Prof. Rost-Schaude Dr. Tobias administration: Martin Kader Rio de Janeiro DAAD Sao Paulo Brasiliaministries SME AHK universities PUC and UERJ Prof. Almeida Prof. Altinho & Prof. Rojas … SME associations FIRJAN and SEBRAE Internet platform administration: Robert Wagner distributors law firms Germany associations Bitkom 10 SME among others Tuneup, Osco, SAG, … chambers AHK, IHK Mercosur project office

  10. Central question: Governance of the network Two possibilities: • Self-control – „Swarm intelligence“ • External control by deliberate organization and governance, setting rules and sanctions….

  11. Our experience Restricted self-control as central concept But also: Strict rules and organization

  12. Decisions in the Marketing-mix products • products • communication mix • contraction mix • distribution mix communication mix contraction mix distribution mix

  13. Product policies Challenges: • Find appropriate products and possibly new products = innovation management • Produce high quality products = total quality management and quality control

  14. Requirements in pricing-policies /contracting policies • There is no limit to the reproducibility of information goods at a low and constant unit price, as long as the customer demand is maintained. • Competitive pricing and low-pricing possible • Challenge: prevent re-import of cheaper products

  15. Three-fold Requirements in distribution policy Direct sales and indirect sales: 1. The low-cost variant of the direct sales by Internet is being choosed wherever possible – provided that the use is largely standardized.New forms as cloud computing or software as a rented service play the major role today 2. Market success in as many areas as possible through the addition of indirect / partner sales and warranty maintenance and services over the Internet service too 3. Marketing intermediaries like representatives are needed. They must have good networking market and co-operate trustworthy.

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