Walter Meier: JET international expansion
Charged with growing annual revenues by US$10 million over the next five years (2012–2017), half of which was to come from Latin America, Doug Quackenbos, head of global business development at Walter Meier Manufacturing Inc. had undertaken extensive market research to identify the best new international market opportunities for Walter Meier’s JET brand of industrial products and metalworking and woodworking machinery. Specifically he identified Brazil as an attractive new market for expansion. Success would hinge on developing the right market-entry strategy. To that end, four foreign market entry options were identified: 1) Greenfield company-owned distribution strategy; 2) Partner with a Brazilian master distributor; 3) Acquire or form a joint venture (JV) with a Brazilian tool distributor; 4) Acquire or form a joint venture with a Brazilian tool manufacturer. Quackenbos would have to sell a strategic vision for growth that was not resource-intensive – a challenge for a mid-size player in a market filled with a range of regional and national competitors. Based on what he was about to propose, and against the backdrop of a soft, recessionary global industrial economic environment, Walter Meier’s executive team would question the merits of expanding into new emerging markets, the attractiveness of Latin America, and specifically the advantages of entering Brazil. The case provides background information on the company and the metal and woodworking machinery markets and competition in each of them. Walter Meier’s international expansion aspirations are described, and the process for identifying Brazil as a new market for expansion is explained. The case concludes with the trigger issue of which foreign market entry mode will work best for Walter Meier in Brazil. A supplemental 10-minute video interview is also available. The video captures Doug Quackenbos’s views on the international business development opportunities and challenges for a medium-size company, how he gathers market intelligence and manages uncertainty, and what he foresees for Walter Meier in Latin America and Brazil.
(1) Foreign market attractiveness, in particular the pursuit of opportunistic growth strategies; (2) Challenges medium size companies in business-to-business markets face when seeking growth internationally; (3) Opportunities and threats in entering emerging “BRIC” markets; (4) Evaluation of foreign market entry modes; (5) Securing distribution in new international markets.
2011
Cranfield University
Wharley End Beds MK43 0JR, UK
Tel +44 (0)1234 750903
Email [email protected]
Harvard Business School Publishing
60 Harvard Way, Boston MA 02163, USA
Tel (800) 545-7685 Tel (617)-783-7600
Fax (617) 783-7666
Email [email protected]
NUCB Business School
1-3-1 Nishiki Naka
Nagoya Aichi, Japan 460-0003
Tel +81 52 20 38 111
Email [email protected]
IMD retains all proprietary interests in its case studies and notes. Without prior written permission, IMD cases and notes may not be reproduced, used, translated, included in books or other publications, distributed in any form or by any means, stored in a database or in other retrieval systems. For additional copyright information related to case studies, please contact Case Services.
Research Information & Knowledge Hub for additional information on IMD publications
Nespresso, the global leading brand in portioned coffee, is facing an existential threat. The company’s current market base, which consists primari...
Many companies overestimate customers’ appetite for sustainable products, flooding the market with offerings that don’t sell. The reality is, socia...
The case explores the efforts of Hamilton Mann, Group VP, Global Digital Marketing & Digital Transformation at Thales, to build a sales enablement ...
The (C) case describes the customer’s after-sales experience. The participants need to identify what went wrong again and how the brand might save ...
The (B) case describes the same customer’s follow-up experience in the same exclusive retail outlet. The case invites the participants to further i...
A short (A) describes the experience of a wealthy Chinese customer going to buy an exclusive watch in the retail outlet of a famous Swiss luxury br...
This case is part of a series on Netflix. Case (A) discusses the company's growth until July 2011. Case (B) tells the story of Netflix’s sharp shar...
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
in Harvard Business Review March-April 2024, vol. 102, issue 2, pp. 80-87
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications
The (B) case describes the same customer’s follow-up experience in the same exclusive retail outlet. The case invites the participants to further i...
A short (A) describes the experience of a wealthy Chinese customer going to buy an exclusive watch in the retail outlet of a famous Swiss luxury br...
Research Information & Knowledge Hub for additional information on IMD publications
The (C) case describes the customer’s after-sales experience. The participants need to identify what went wrong again and how the brand might save ...
A short (A) describes the experience of a wealthy Chinese customer going to buy an exclusive watch in the retail outlet of a famous Swiss luxury br...
Research Information & Knowledge Hub for additional information on IMD publications
The (C) case describes the customer’s after-sales experience. The participants need to identify what went wrong again and how the brand might save ...
The (B) case describes the same customer’s follow-up experience in the same exclusive retail outlet. The case invites the participants to further i...
Research Information & Knowledge Hub for additional information on IMD publications
Research Information & Knowledge Hub for additional information on IMD publications