The Challenge?
- A large European-based industrials group was looking to expand their footprint in Asia and wanted assistance in identifying the best markets for it to target. Furthermore, they wanted to know the best model to use for market entry, either organically, through a Joint-Venture or through acquisition.
Point Consulting’s approach and solution
- Our approach was to build the supply and demand landscape for their products in each of the shortlisted markets, taking into account the current and future supply of such products (through the emergence and capacity additions of regional players) as well as the current and expected growth in demand for such products. This was done through identifying the growth drivers and restraints, understanding the relative importance of each and testing to see how these would be likely to change in the future and the likely impact this would have on the future market demand.
- Additionally, we conducted interviews with key customer groups to understand what they looked for in their suppliers (speed of customisation, inventory management, product quality, price, etc) to provide insight as to the critical success factors required to compete in each of the markets.
- Analysis of the data gave a clear indication as to the future opportunities for our client in each of the markets and the capabilities required to serve each of the markets and their segments.
Value delivered
- As a result of our work, the client was able to identify and prioritize the markets that represented the greatest opportunities for their business. This enabled them to best make use of the resources available to them, following the expansion road-map developed in our work. The client proceeded with our recommendation and successfully went ahead with their expansion into Asia.