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Expanding Finnish fertilizer and soils market

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Категория: Международные отношения
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Mission, aims and potential of company. Analysis of the opportunities and threats of international business. Description of the factors that characterize the business opportunities in Finland. The business plan of the penetration to market of Finland.
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Размещено на

Санкт-Петербургский Государственный Политехнический Университет

Международная Школа Управления

Курсовая работа

На тему:

"Expanding Finnish fertilizer and soils market"

Выполнила:

студентка гр.4151/10 Черезова О.С.

Проверила:

доцент, к. э. н. Евсеева О.А.

Санкт-Петербург 2013

Content

  • Introduction
  • Chapter 1. Company's characteristics
  • 1.1 History
  • 1.2 Mission, aims, directs of development, resource potential
  • Chapter 2. Analysis of the potential opportunities and threats of international business
  • 2.1 Description of the factors that characterize the business opportunities in Finland
  • 2.2 Assessment of the potential company seeking to expand its operations
  • 2.3 Absolute and comparative advantages of entering Finnish market
  • 2.4 Analyses of risks due to entering Finnish market
  • Chapter 3. The business plan of the penetration Finnish market
  • 3.1 Production description
  • 3.2 The production plan
  • Conclusion
  • Resources

Introduction

Nowadays more and more companies see their way of development in entering new markets and as usual they are international. This happens because internal markets of regions inside country are saturated or this is not profitable to penetrate them. But at the same time international market could afford more perspectives for company to grow.

As a country for my research Finland was chosen. In 2012 Finland became "the most stable country in the world" according American fund "Fund for Peace”. Also, my choice was based on this fact that the boarder is close to Saint-Petersburg, the turnover between Russia and Finland is growing from year to year, and even on government level the business partnership between countries has a strategic direction for development. Many organizations were founded to help in creation contacts between Finnish and Russian business, for example Finnish-Russian Chamber of Commerce. Both countries are interested in development partnerships, so, I think that Finland is a good country for entering as an foreign market.

From other side, the population of country is not high, about 5 429 894 (according 2013 year), but according the UN estimation Finland is ranked 6th in the world for quality of life. To choose the sphere where my possible company could operate, I decided to found out some features are typical for local population to determine customers' needs. After looking through statistics characterized Finnish people, I found out that about 75% of residents in Finland are homeowners, and 64% owned an individual house with land. In the private property is 400 thousand apartments / houses, 240 thousand from them (60%) is owned by private individuals, so 64% from 240000 is about 153600 private houses with land http://rusnk.ru/news/housing/foreign/#5.

market finland business plan

Unlike Russia growing vegetables and maintenance vegetable gardens are not typical for local citizens, just for part of Russian immigrates, but breeding aesthetic plants, flowers and lawns are popular among householders.

That's why I chose the company which scope is fertilizer production. I decided to focus on middle size company with sufficiently diversified products which focus group is horticulturists and gardeners as amateurs and professionals.

ЗАО "МНПП "Фарт", which further in this work is named as "Phart" company, in my opinion fits these criteria.

So, the aims of this work are:

· characterize the company

· analyze Finnish fertilizer and soil market

· analyze factors influence on new market penetration

· develop a strategy of new market penetration

· work out recommendations

Chapter 1. Company's characteristics

1.1 History

"Phart" company was established in 1990 in Saint-Petersburg. First sales of bio-fertilizers were in February 1991. In 1994 was created new brand "Живая Земля”, which was made by a new technology and still stays the most favorite among Russian costumers. Then company continued to diversify products by creation new kinds of fertilizers with different content.

The company continued to grow. In 1996 - 1997 the company's sales significantly increased. In many ways, this was due to the fact that the "Phart" was the first manufacturer of organic fertilizers began to focus on the studying of the range and advertising. The company's products became in high demand throughout Russia. By 1999, the company embraced a dealer network all over the regions of the Russian Federation and achieved sales increasing in 2.5 times compared with 1998. The further growth of the company was because of expanding of the production base. New technology and equipment were bought in 2004.

In recent years, the marketing approach was the basis for the development of the company. Specialists of "Phart" constantly monitor the market, carry out various studies, working closely with customer reviews. The result was a new assortment policy of the company.

The quality of the products provided by the fact that at the time "Phart" is one of the most modern company in the industry: a fully renovated park peat technology, expanded manufacturing facilities and almost completely automated production of soils and fertilizers. http: //www.phart.ru/about/history/

Broad sales network was organized - five regional offices in the cities of Moscow, Perm, Novosibirsk, Krasnodar and Ulyanovsk and many large wholesale customers in all regions of the Russian Federation and foreign countries.

1.2 Mission, aims, directs of development, resource potential

The work of the company is guided by the principle of "land health - the health of your family," and is committed by providing gardeners and florists natural organic fertilizers and soil-ground of the highest quality. All products are harmless to humans and the environment, production has the necessary certificates and included in the National Catalogue of pesticides and agricultural chemicals permitted for use in the Russian Federation.

On the company's front page the mission wasn't strongly defined, but from the description above I formulated it as "To provide costumers natural organic fertilizers and soil-ground of the highest quality, which are not harmless to human and the environment”.

Unfortunately, aims were not founded as well, so I formulated them as:

· Stay a leader at the Russian natural organic fertilizers' market

· Be social and environment responsible company

· Take stable growing niche on foreign market

These are global and general aims and concerning this project to take 5% of Finnish organic fertilizer market in 1 year operation.

And, in my opinion, company's values should be:

· Costumer's needs

· High professional qualification

· Economic profitability

One-third of the market of packaged organic fertilizers (capacity - 100 thousand tons per year) is controlled by the St. Petersburg company "Phart", producing soils is based on the life of the product Californian worms and peat. http: //www.kommersant.ru/doc/268273/printThe company is positioning itself as a leader on Russian fertilizer market. The company produces peat on deposit "Kaushtenskoe" an area of ??998 hectares. It registered the deposit, where there is complete cycle of bog-preparation work.

The company's production has really massive demand both in Russia and abroad, Belarus, Ukraine, Lithuania, Latvia, Estonia, Moldova and Kazakhstan. In some countries "Phart" has partners and retailers, with another works by export.

In my opinion, directs of development should be focused on expanding foreign markets, product range and production base.

As my work focus on Finnish market, so and company's future development I see in penetrating this market and in adopting production to special costumers' needs that could be different from usual for "Phart" clients.

Chapter 2. Analysis of the potential opportunities and threats of international business

2.1 Description of the factors that characterize the business opportunities in Finland

Finland belongs to the group of countries that effectively use boarder functions between the post-Soviet countries and Western Europe. Finland is the only member of the European Union, directly adjacent to the largest post-Soviet state - Russia. This allows the country to effectively manage its economy, being a member of one of the most powerful nowadays, economic and political associations and building a defined relationship with the equally influen...

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