International business modules across UK, Australian and Canadian MBA programmes set some version of the same task: pick a firm, pick a market, recommend an entry strategy. The task rewards structure. Reports that jump straight to "they should enter India via a joint venture" without a screening process cannot justify the destination or the method.
Stage 1: Screen Markets Before You Choose One
Show your selection logic even if the market was given to you. A defensible screen has three filters:
- Macro screen — market size, growth, GDP per capita, urbanisation, ease of doing business ranking.
- Industry screen — demand indicators, competitive concentration, regulatory barriers, tariff and non-tariff conditions.
- Fit screen — distance from the firm's existing capabilities and customers.
Present the shortlist as a weighted scoring table. State the weights and why you chose them; an unweighted table hides the judgement that markers want to see.
Stage 2: Measure Distance with CAGE
Ghemawat's CAGE framework is more useful here than a generic PESTLE because it measures distance between the home and target market rather than describing the target in isolation:
- Cultural — language, norms, consumer preferences.
- Administrative — trade agreements, regulation, political relations, currency.
- Geographic — physical distance, logistics infrastructure, time zones.
- Economic — income levels, cost structures, distribution maturity.
Distance is not automatically bad — it explains which entry mode is appropriate and where adaptation is required.
Stage 3: Compare Entry Modes on Control and Commitment
Entry modes sit on a spectrum from low control and low commitment to high control and high commitment:
- Indirect and direct exporting — fastest, lowest risk, least control, thin margins.
- Licensing and franchising — rapid scale with limited capital, but real risk to brand consistency and IP.
- Strategic alliance / joint venture — access to local knowledge and networks; shared control and a well-documented failure rate.
- Wholly owned subsidiary (greenfield or acquisition) — full control, highest capital and exit risk.
Compare these in a table against criteria: capital required, speed to market, control over brand, IP exposure, ease of exit, expected margin.
Stage 4: Recommend and Sequence
Strong reports rarely recommend a single irreversible leap. They stage the entry: export to test demand for 12–18 months, then a JV to build local presence, with an option to acquire the partner's share subject to performance triggers. State the triggers. That converts a recommendation into an implementable plan.
Stage 5: Risk and Mitigation
Cover political and regulatory risk, currency exposure, partner opportunism, and cultural adaptation of the offer. For each, name a mitigation — hedging, contractual protections, phased capital, local hiring. A risk register with likelihood and impact ratings presents this efficiently.
Report Structure That Works
- Executive summary with the recommendation stated up front.
- Firm and capability overview.
- Market screening and shortlist.
- CAGE distance analysis of the selected market.
- Entry mode comparison table and selection.
- Phased implementation with triggers and indicative financials.
- Risk register and mitigations.