Runjhun Jewellery: New-Market Entry Strategy - Assignment Example

Runjhun Jewellery has already successfully sold its affordable yet beautifully crafted jewelry in various regions of the world thus Africa as a new market would suit them. The market trend seen within the jewelry industry is a paradigm toward custom, unique pieces and limited production items. Such makes Africa a viable market given its massive population of approximately 1.2 billion people. Strategic location of Africa gives Runjhun Jeweller an upper hand for the market is unexploited despite the fact that many cultures appreciate Jewelry.

In recent past, many countries in Africa have embarked on infrastructure development to open up their ports to ease of doing business. This is seen the remarkable 1.8 trillion dollars in collective GDP for the market in 2013. With favorable government policy toward trade and foreign direct investment combined with determination to fight corruption particularly in Sub-Saharan Africa, Runjhun Jeweller entry into this emerging market would be a success. Nonetheless, when a company has made a decision to enter this overseas market there are a variety of viable options open to it.

Such options vary with risk, the degree of control as well as cost (Lymbersky, 2008). . Key factors for Runjhun Jeweller growth and operation improvement in Africa should include identifying and developing strong local partnership. Likewise, due to social class structure characterized by disparity in income distribution and the dynamic customer preferences and taste there is need to develop an effective supply chain as well as linkages. However, Runjhun Jeweller is likely to have greater control of market and jewel distribution.

This factors makes Africa the best viable and profitable entry option at this point in time for Runjhun Jeweller.ReferenceTop of FormLymbersky, C. (2008). Market entry strategies: Text, cases and readings in market entry management. Hamburg: Management Laboratory Press.Bottom of Form