Understanding the polish multimedia market for implementing Game Outlet business model in Poland : Game Outlet Case

Abstract:

By the effects of globalization, countries become more and more integrated into each other, which in turn offer big opportunities to international corporations to make business across the borders. Game Outlet Europe AB, based in Karlstad, is one of them, which also operate internationally. It is the leading distributor in Europe for PC and console games in the low and mid price segments. This thesis is based on the issue of investigating whether or not Game Outlet’s current business concept called the “pallet concept”, would be feasible to apply in Poland. In order to answer that main question, we designed a problem statement with its underlying sub questions. In order to make good conclusions, we started to theoretically investigate the cultural differences and the consumer behaviour within Poland compared to Sweden.Poland is a country in change and has just recently joined the EU and has been targeted as an emerging market by western corporations. But before launching one’s business operations in a developing country, which has for example no tradition of learning the English language until recently and possessing a different history, one must consider the cultural differences and the difference of consumer behaviour.Our theoretical research shows that the Polish society in general has lower purchase power and weaker financial situation than Swedish society. Poland as an emerging market is considered by international companies to be a potential market, but those who seek potential will need to compare and contrast the prices so that they match the Polish people’s purchase power. However, an interesting observation that is in the interest of Game Outlet, are the Polish consumers’ willingness to pay for a classical and new released games. When compared to Swedish respondents, they are almost equally willing to pay for classical games. As we see it, Game Outlet has all the potential to achieve successful expansion. We also suggest a business model which should act as a recommendation for Game Outlet to consider. Most of the conclusions verify the strength and pros about Game Outlets business model, but some suggestions are new and created by ourselves.