Market entry strategy involves the essential requirement for a company to get into international level. The need of involving other companies whereby two companies join together is referred to as joint venture entry. They get into a similar market and make the same production with the aim of sharing risk and at the same time they share the profit according to their terms of agreement (Kretzberg, 2007). Therefore, Lincoln Electric Company has a chance to join with other company to venture in the Indian market.
Through the joint venture strategy in Indian market, Lincoln Electric has a chance of attracting wider market share in the region. The major …show more content…
Through the technological improvement in the region, the Lincoln Electric company has the chances of improving the production. The major aim is connected to market share increase through innovative strategies in technology. India is a superior country that the company ought to invest in since it has a wider market that requires the electrical materials. Few industries in the country provide the required electrical materials. Hence, it would be vital for the Lincoln Electric Company to expand its operations in this country. Huge profits will result from the company expanding its operations to India. The average sale of the company’s products will improve; it will hence be able to produce more products for the India market (Fratianni, 2006). Different tools can be used to analyze the expansion of this company in India.
The expansion of the company will have different inferences; the company may get high level of profits or get losses. Profits can use as a good measure of the company’s expansion in a certain region. The success of the company is normally measured by the level of profits that it generates by involving itself in a certain venture. In this case this company is completing whether to enter the India market or not. It is recommendable for the company to enter India market since there is high demand for its products in the country (Hafford-Letchfield, 2010). Though its products received mixed reactions from China