Entry Modes Report for Elgaar Organicdairy

Entry Modes Report for Elgaar OrganicDairy

TABLE OF CONTENTS

1. INTORDUCTION

2. OVER VIEW OF THE COMPANY

3. ELGAAR’S DISTRIBUTION CHANNELS

4. ORGANIC CHEESE: THE BRAND PRODUCT

5. TARGET MARKET INDIA

5.1 DESTINATION MARKET OVERVIEW

6. POTENTIAL MARKET

7. OPPORTUNITIES FOR ELGAAR CHEESE

8. COMPETITION

9. POSSIBLE ENTRY MODES FOR ELGAAR

10. MANUFACTURING POSSIBILITY

11. EXPORTING POSSIBILITY

12. PERFECT ENTRY MODE FOR ELGAAR CHEESE

13. EXECUTIVE SUMMARY

14. REFRENCES

1. Introduction

The entry modes report examines the opportunity of Elgaar to go in the India’s market with high worth OZ cheese. Elgaar is a medium sized business but has potentials and resources for its expansion to India.

Prizewinning and rich in class, Australian cheese is the firm’s economical plus. Elgaar is aiming the prosperous and contemporary high middle class customer in Indian market but Mumbai the financial capital of India and other metropolitan cities will be first target as most of the wealthy people are living in these cities. The target would be renowned restaurants, five star hotels and cafes as well. (Meyer,C & Birdsall, N 2012)

In recent years, Indian demand for organic cheese is rising as the income levels of people are also raising, the growth of population is high and more and more people are moving towards the cities. Urbanisation is the reason behind the local companies targeting the metropolitan cities with low standards of food products like cheese. Keeping enough local amounts to fulfil growing native tastes is the major challenge at the moment this reasons more and more international companies are entering the potential Indian market. Due to economic liberalisation more competitors are planning to enter the market so Elgaar has to enter the market before the music begins. The perfect entry mode for Elgaar would be with collaboration of Cooperative trading in combining with Dairy Australia. (Meyer,C & Birdsall, N 2012)

The prediction for dairy industry in Australia remains mainly unaffected as the productiveness carry on benefiting from better milk prices and favourable climate. An arrival to usual rainfall configurations is projected to decrease irrigation expenditures and surge fodder supplies to farmhouses while extraordinary global dairy amounts are predictable to increase returns. Manufacturers are in an expansionary manner as the milk farms are estimate to develop by 3 per cent to 1.7 million head per year. Now, milk manufacturing from January-May 2014 is up 4.3 per cent over the same period in 2013 and total milk production for the year is forecast to increase by 5 per cent over 2013.( Dairy: World Markets and Trade 2014)