This thesis focuses on the possibilities for JYSK in their fourth attempt to get into the Russian market. For decades, Russia has been an unobtainable market for JYSK, but to succeed in Russia it will be a strategic landmark for JYSK when it comes to their growth opportunities. The aim of this thesis is to investigate and understand the opportunities and threats in the furniture business in Russia.
This thesis seeks out to analyze the Russian market with the purpose of entering the Russian market with five JYSK furniture shops that will give the Russian people the option of acquire JYSK Scandinavian design furniture.
To start with, the thesis will analyze the external environment. The analysis will show how the formal and informal institutions work in Russia and from the analysis JYSK can conclude how to cope and navigate in the foreign market.
Furthermore, the thesis analyzes the internal environment of JYSK in order to unveil its strengths and weaknesses of the company, when entering the Russian market. Based on the internal analysis, JYSK can locate and improve the weaknesses in their value chain and optimize their marketing mix so they have a strong competitive advantage when entering the Russian market.
The strategy for JYSK when entering the Russian market is based on the above analysis and shows JYSK should pursue a Differentiation Strategy because of having a unique Scandinavian Brand offering Scandinavian designed products. Also it´s essential for JYSK to follow a Cost Leadership Strategy to be able to penetrate the Russian market and gain market share. To follow these two strategies JYSK need to have full control of all activities in Russia, therefore the entry strategy for JYSK, should be Wholly-Owned FDI in Russia.
The thesis concludes that JYSK should take advantage of the market opportunities in Russia.
|Educations||Graduate Diploma in International Business, (Diploma Programme) Final Thesis|
|Number of pages||116|