The most important elements of a company’s strategic management in penetrating foreign markets include: monitoring and analyzing the world market of a selected commodity, macro analysis of a selected market, market research.

Regarding the way of obtaining the data, it is possible to use either the so-called mass survey or field research directly on the territory. Usually, both methods are used. Useful territorial information about their countries is provided mainly by chambers of commerce, relevant ministries, resp. business advisers operating in the country, export-import banks and specialized organizations focused on supporting foreign trade.

Description

In order for a company to be able to make the right decision on which of the external markets to operate, a complete analysis of the global market for the selected commodity is needed, including its boom, the basic trends of its development and the trends of demand behavior in this market.

Market research includes:
• Determining the size of the market. In quantitative terms, it is a realistic picture of the sales or sales volumes of a given commodity in a given market.
• Defining your market position by formulating specific plans in quantitative terms.
• Analysis of consumer behavior in a given market (demand analysis). In this section you will get the answer to the question who buys and why? It is important to know the preferences of buyers, their composition and reasons for purchase, which will undoubtedly help to determine the competitive price of production, in any requirements for product differentiation or in adapting the advertising strategy.
• Competitive analysis (supply analysis), including competitors’ marketing policy, is necessary for a better market orientation and for a possible correction of your individual policy.
• Analysis of sales channels to formulate the optimal path of the product to the final consumer.

The macro environment is the part of the company’s external environment that we can hardly influence, but at the same time it greatly affects the company’s activities and its functioning in a certain market. The following factors play an important role – technological, economic, political or social.