Question

 

 

Here's the context in which you should write your final exam. Bronner's Christmas store is one of the largest in America. Bronners currently has one store located in Frankenmuth, Michigan. Bronner's has decided to open up a second store in Heidelberg Germany. Reflecting on each chapter in our textbook, respond to each of the following questions as though you were hired to be a consultant to Bronner's.

 

12. How will you strategically positioned your Heidelberg, Germany store?

 

13. describe the method of entry (mode) you think would be the best.

Answer 1

12. Germany has consumers which are tech-savy and there is high internet penetration, thus keeping an online store available and selling products in Germany would play a key role for strategically positioning the store. Now, looking at the demographics and geographical locations, and where online sales are in tune the most, the store should be opened in that location of Germany, wherein the Christmas spirit is also high. Home and garden is the third best selling market in Germany, it also has good logistics network, thus a store which is close to the highest selling location, has huge warehouse space and is close to the city and in an area where people visit often would prove fruitful for future business.

13. The method of entry which would be the best is first online sales, to gauge how customers are responding to the products. The store can also opt to merge/partner with a competitor to reduce competition and get the ease of doing business, with all the supply chains of the merged entity already in place. Or it can also acquire some local business competitor which have the same product portfolio. Thus according to me, the best mode of entry is partnering with a local player as the company won't have to invest a lot to setup the business and gain that networking in the area.