Using the following powerpoints mentioned below, compare the internationalization trajectory of these two companies (HUSH BLANKET AND AQUATECH BM). Be sure to present, explain and compare point by point as mentioned below:

1- The mode of entry into foreign markets of the two selected companies 2- The international expansion pace model applied by the two selected companies 3- The industry in which the two companies operate

PS: there is no reference, the presentations were made in class, I just want someone to help me answer these questions above that will help me prepare for an exam please. And this is the third time i post the same question, because someone said it isn't in english so i translated both powerpoint in english. Hope this time somebody is gonna help me.

COMPANY NAME: HUSH BLANKET

IN CONTEXT

• Canadian company founded on November 17, 2017
• The Analysis allowed us to determine the best country for international expansion : UNITED KINGDOM

TABLE OF CONTENTS

• Presentation of the company
• External diagnosis
• Internal diagnostic
• Interpretation of diagnosis
• Conclusion

HISTORICAL

• 2107: Finding Better Weighted Blankets
• 2018: First sales and early growth
• 2018: Beginning of the Giveback program
• 2019: Launch of Hush Icedin the record Kickstarter campaign
• 2019: Appearance in the series Dragon 's Den
• 2020: new warehouse and new products : Iced 2.0, Hush pillow

MARKET AND INTERNALIZATION TRAJECTORY

• Internalization through direct export
• Market entry mode Born Global model: Canada , United States , Europe
• Marketing platforms Shopify, Amazon
• AdWords marketing platforms through Google. Instagram and Facebook, Shopify etc.

COMPETITION

• 700 in Canada
• 10x more in the US
• Bearaby, Big Blanket Co, Gravity Blanket, Sera Blanket etc ...

PESTEL (UNITED KINGDOM)

Economic:

- GDP: $3,479 billion

- Inflation: 11%

- Unemployment rate : 3.6%

19 % corporate tax rate _ _

Sociocultural

- 67 million inhabitants

- suffers from insomnia

- Tourism represents 40.9 million in 2019

- Eighth tourist destination

Technological:

- 1st country in terms of R &D

- Will implement in 2023 changes for tax relief

Ecological:

- Climate Change Act " Climate Change Act "

implemented by the UK in 2008 to reduce polluting emissions-

- 9th ^{gas importing} country

6th ^place in ^biomass _ _

9th ^solar rank ^_

CAGE ( UNITED KINGDOM)

Cultural

- English is the official language

- Christianity is the main religion

Administrative

- Working hours per week is 40 hours per week

Economic

- Exchange rate: 1 GBP = 1.59 CAD

Geographic

- Distance of 5804 Km between these two countries

- 5 hour time difference

PORTER ANALYSIS (UK)

• Substitutable product
• Low customer bargaining power
• Threat of new entrants

ANALYSIS OF RESOURCES AND SKILLS

• Originality , competitiveness and adaptability of the product _
• Production capacity and methods _
• Organizational resources

ANALYSIS OF THE SITUATION

• Financial situation _
• Required Resources and Core Competencies

strength

• Quality _
• Production

Weakness

- high price _

INTERNALIZATION SCENARIO CHOICES:

• Direct Selling (CHOICE)
• Partnership
• Foreign subsidiary

DIRECT SALE

Benefits:

• Method used
• Low cost
• Low complexity
• Minimal Risks

Disadvantages:

• Limits the implantation
• Minimal differentiation

DIRECT SALE

• Mode of distribution: renting/setting up a warehouse in the United Kingdom

COMPANY NAME: AQUATECH BM

Introduction

• Aquatech BM, a dynamic and innovative SME in expansion
• Speciality : the manufacture of industrial automation machines
• Problem : recommend a new foreign market according to the internal and external diagnosis of the company

Target foreign market : Switzerland

Plan of the presentation:

I. Presentation of the company and internationalization trajectory

ll. External diagnosis (environment) and target market

lll. Internal diagnostic

IV. Interpreting the diagnosis of recommendations

V. Conclusion

PRESENTATION OF AQUATECH BM

• Quebec SME founded in 2007 by Mr. F lix B gin-Rivet
• Located in the Boucherville industrial park, head office located in Longueuil.
• Company with less than 50 employees and a turnover of less than 5 million per year. 80% comes from its export
• Laureate at the Mercador gala presented by Commerce international Qubec winner of the jury 's favorite award "young entrepreneur exporting company "

MISSION, VALUES AND OBJECTIVE OF THE COMPANY

• Mission: promote water and energy savings by advocating reuse and thereby considerably reducing recycling and the production of multi-use bottles/ containers .
• Values: Green economy, reuse, recycling, environmental protection
• Objective: to help different types of businesses to rely on their washing system and to ensure adequate sterilization of their containers and bottles

The company is proud to contribute to the growth of the activities of its customers, but also to the good done on the environment by encouraging recycling and the economy .

MAIN INDUSTRIES SERVED

• Dairy farms ( first to trust Aquatech BM products )
• The food industry (restaurants, production plants, caterers, etc.)
• Microbreweries, distilleries, winemakers
• The hospitality industry , water dispensers
• Research laboratories (pharmaceutical and others

INTERNATIONALIZATION TRAJECTORY

- Aquatech BM already established internationally in the food industry , alcohol production and the hospitality industry

- Industry of research laboratories already operated by the company , but underdeveloped and does not constitute a large share of turnover

- Pharmaceutical industry market of over US$1,162 billion in 2020

Top 5 multinationals: Johnson & Johnson, Pfizer and AbbVie (USA), Novartis and Roche (Switzerland)

- 2 of the largest companies in the industry are located in Switzerland; Novartis alone is a partner with more than 100 laboratories in Switzerland

- Pharmaceutical research laboratories represent a market potential for the internalization of Aquatech 's multifunction bottle washer

PESTEL (QUEBEC)

POLITICS

Stable at regional and national level.

ECONOMY _

- Increase in GDP per capita, employment rate , household income and productivity

- Increase in inflation and the cost of living .

SOCIAL

- Median age

- Revenue

- Life expectancy

- Aging of the population

- Social changes

TECHNOLOGY

- Investment in research and sustainable innovation

and inclusive to excel at scale world

ENVIRONMENT

- Laws entered into force

LEGAL

• Labor standard, pay equity, health and safety at work

PESTEL (SWITZERLAND) POLITICS

- One of the most politically stable countries

ECONOMY _

- Inflation rate down, but cost of living up

SOCIAL

- Imbalance of purchasing power _ _

High average salary

TECHNOLOGY

- World leader in innovation

ENVIRONMENT

- Produces a lot of waste

- Excels in recycling and protecting the environment

LEGAL

• Labor law

INTERNAL DIAGNOSTIC

STRENGTHS

- Simple and inexpensive product

- Versatile product (Comparison with the competition )

- Eco - responsibility

Expert company (company with a very concentrate ) _

WEAKNESSES

- Small business

- Limited human resources

- Financial resources limited _ _

INTERPRETATION OF THE DIAGNOSIS OF INTERNATIONALIZATION STRATEGY RECOMMENDATIONS

Based on the diagnosis made , we recommend two internalization strategies for the company Aquatech BM , in order to penetrate the market for the sterilization of containers for research laboratories in Switzerland. It is about :

- Export by direct sale

- Export through an agent

- With a progressive rate of internalization which corresponds to the Uppsala model .

THE RHYTHM OF INTERNATIONAL EXPANSION

We suggest a progressive rate of internalization which corresponds to the model

of Uppsala because Aquatech BM is a small company with limited financial means: Relatively low risk tolerance

MARKET ENTRY MODES

- Export by direct sale

- Export through an agent

COMPETITIVE ADVANTAGES AQUATECH BM VERSUS LABORATORY GLASS WASHER HONEY

- Low energy consumption

- Adaptability to container format

- Guarantee of sterilization of containers

- Product that is not based on energy saving

- Limited product adaptability

- No mention of guarantee of sterilization of containers

SUMMARY OF THE INTERNATIONALIZATION STRATEGY

- Progressive internalization rhythm ( Uppsala model )

- Export by direct sale or through an agent

- Leverage competitive advantages to gain market share

CONCLUSION

- Objective: to analyze Aquatech, its internal and external functioning, to target a market and to propose suggestions for internationalization

- Choice of 2 internationalization strategies which would relate to the choice of the Swiss market

- The limits of these recommendations are that Aquatech is a small company with few human resources and very limited financial funds, despite very original products.

- These eco-responsible products can promote and be all the more appreciated whether by customers or on the markets of other countries.

- Inflation and the cost of living are rising all over the world, which is holding them back from investing