Description
By 2014, the Walton Group, an electrical goods manufacturer based in Bangladesh, sold its products in over 20 different countries. A decision to utilize the advantages of low labour costs in the company’s home country was made in the early 2000s, which led to an increase in value and permitted rapid international expansion. To achieve Walton’s mission of “Walton at every home,” the company established various specialized support units both inside and outside of Bangladesh. Government tax incentives in Bangladesh had boosted Walton’s cost competitiveness, but how else could Walton compete with other international brands to achieve is goals and become a household name worldwide?
Learning Objective
The case is suitable for courses in global branding, global strategies, and marketing. After completion of the case, students should be able to understand: ·The pattern of internationalization of a large firm from the "N-11" emerging markets. ·The diversification and brand development (marketing mix) strategies of a newly internationalized firm from an emerging market. ·How firm capabilities (i.e., ownership advantages) affect internationalization, and why a firm chooses different locations in the internationalization process. ·Why some of a firm’s functions are internal and others are external during the internationalization process.The challenges of internationalization and the importance of international management capabilities in managing and establishing a brand in international marketing.