Logistics and Distribution

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There are basically five approaches for entering an international market; usually the choices and
risks are very product dependent. Assume you are a consultant specializing in global logistics
and distribution. There are four clients that are planning to enter an international market (China)
with different products. Using the following factors for your choices, pick any two clients and
complete their matrix below with your recommendations and briefly describe the rationale
behind your choices.
Entry Approach
Shipping Methods
Level of Risk
Exporting, Licensing, Management contracting, Joint Venture, and Direct Investment.
Truck, Rail, Water, Air
High, Medium, Low
Client #1 Product: Candy Bars
Decisions to consider:
Your
recommendation:
Your rationale:
Your
recommendation:
Your rationale:
Your
recommendation:
Your rationale:
Entry Approach
Shipping Methods
Level of product or market risk
Level of financial risk
Factors that could affect distribution
service levels
Client #2 Product: Golf Clubs
Decisions to consider:
Entry Approach
Shipping Methods
Level of product or market risk
Level of financial risk
Factors that could affect distribution
service levels
Client #3 Product: Golf Balls
Decisions to consider:
Entry Approach
Shipping Methods
Level of product or market risk
Level of financial risk
Factors that could affect distribution
service levels
Client #4 Product: Molding Machines
Decisions to consider:
Entry Approach
Shipping Methods
Level of product or market risk
Level of financial risk
Factors that could affect distribution
service levels
Your
recommendation:
Your rationale:
…
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