Expanding a market abroad : A French company in Scandinavia

Abstract: Purpose - The aim of this paper is to increase the understanding of foreign market entry among SMEs. The model of a French established company entering the Scandinavian market supports this research. Theoretical Framework - The entry modes, the Small and Medium-sized Enterprises (SMEs), the standardization or adaptation dilemma of the products are presented. The entry modes are crucial to analyze the way corporations choose to enter a foreign country. As the case study used is a French SME, it is necessary to include their advantages and disadvantages. Standardization or adaptation are related to the chosen entry mode and the chosen market. Methodology - Theory supported by a case study: the French company Krampouz entering and expanding the Scandinavian market of cooking equipment. A number of business research methods are used in this thesis, such as a semi-structured interview with the company itself, a self-completion questionnaire with potential retailers and a secondary data analysis. Empirical Investigation - The information collected about Krampouz through the interview and the secondary data are split into the company background and its export strategy. Then the relevant data from the Scandinavian retailers are included. Finally information about the Single European Market and the International Commercial Terms (Incoterms) are combined to narrow down the trends of export. Findings - Entering the Scandinavian market as an European SME has to be pursued through exporting. Direct export appears to be the most relevant method to make business for SMEs in Scandinavia. Paper type - research paper: bachelor thesis