When it comes to internal video, many companies find

they have too many cooks in the kitchen. Various

departments such as publishing, creative, enterprise
architects, marketing, corporate communications, and IT
may all have experimented with video, leaving a messy
mixture of systems in place.
What those companies need is a centralized system
using a common platform.

- Philipp Karcher, analyst with Forrester Research.

Introduction
VideoSquare is a cloud based video content management
tool specializing in live and on-demand interactive media
presentations, webcasts and multimedia programs.

It enables Enterprise to webcast and record high quality live
video presentations for communicating messages in a targeted
and cost effective way.


Main Features
Any Audience
Individuals, teams, up to
thousands
Any Place
Office, remote, mobile
Anytime
Real-time, streamed, archived
Any Device
Phone, PC, personal / group
video system
Full lifecycle content
management

Real life user experience for
presentations

Business grade security

Easy to use and intergrate


Challenges

Initiate a single place from which to manage portal
presence effectively
Stand out as a compelling content provider going above
and beyond in a crowded B2B market
Dealing with CAGE framework in unknown territory
Speed of Entry- Improve lead generation
Local Competition
Promote events with an interactive experience
Enable sales with more qualied leads
Showcase company culture
Control system to monitor performance over time

Reasons for going abroad

To reach large economies of scale by selling to
more customers in other countries
To reduce the risk of overdependence on one
country by spreading sales in multiple countries
To replicate the success at home in new settings.
Not enough scope of expansion in current Hungarian
market
Three Key Questions
Why should we go?
o Positive economic logic?
o Supported by our differentiators?
o Strengthens or adds to our differentiators?

If not STOP! Consider another strategy.

If the why is positive Only then move to Where and
How

Market Entry Plan
10 key steps identified for Foreign Market Entry Plan:

1. Analyze market opportunity
2. Assess product potential
3. Establish market entry mode
4. Make a firm commitment
5. Allocate necessary resources
6. Identify technical issues
7. Develop strategic marketing plan
8. Organize operational team
9. Implement marketing strategy
10. Evaluate and control operations
When to Enter the
Potential Market
An important decision in the internationalization process is to
decide the timing of the market entry.
VideoSquare enjoys first mover advantage in countries chosen
Austria and India first movers also encounter disadvantages, which
become late mover advantages for their competitors.
How to Enter?
Four main entry modes to consider:
Own subsidiary (green field investment)
Acquisition
Joint Venture
Franchise
or Licencing



Video Square plans to choose Contractual entry mode as
an initial strategy to minimize risks and exploit the
expertise of partners.

Due to limited experience and information on the specific
market , we intend to use the services of local
professional sales consultants or agents in order to
acquire business contacts of the new customers by paying
them a determined fixed fee and a success fee during the
contract period.
Comparison of the
different entry modes
12
Economic
logic
Arenas
Vehicles
Staging
Differentiators
Arenas
India and Austria
Enterprise Video Content


Partnerships
Vehicles
Full Life Cycle Content Management
Tailor Made Platform Design
Dual Stream Technology
Public and Private Cloud

Differentiators
Low Cost Through scale
One Time Investment Cost
Increase in Number of users at no
additional cost


Economic logic
Market Signals High Growth
Not Urgent but ASAP
Slow and Steady
Staging
INTERNATIONAL STRATEGY
AND THE STRATEGY DIAMOND
Marketing Mix: 7 Ps

Product
VideoSquare provides powerful cloud-based solutions for
delivering and monetizing video across every connected device.

Price
Evidently the standard would remain as stated on the VideoSquare
website.



People
The right people who are able to create a competitive advantage
wherever necessary for the company should be recruited.
Employees that have the right interpersonal skills are a necessity.




Place
As operations will solely take place from its home country i.e. Hungary, a suitable
distribution channel will be put into place.

Promotion
It includes advertising, selling, sales promotion public promotion and others.

Process
An efficient and effective website is essential, especially for global customers as it
will encourage loyalty whilst highlighting the benefits to the customer.

Physical Environment
In the case of the VideoSquare, it will be the simplicity of the user platform along
with efficiency in service provided that will determine the perception of the
customer.


Market Potential
Big Yes!

Preferred global destination for IT and ITeS.

IT-business process management (BPM) sector
estimated to expand at a CAGR of 9.5 percent to
reach US$ 300 billion by 2020. The sector
increased at a CAGR of 25 percent over 200013,
34 times higher than global IT-BPM spends.


Market Potential

Segmentation -




USP: Cost Competitiveness, 34 times cheaper
than the US
Single Window Clearance system
Special Economic Zones

Market Potential
Video Square - Disruptive technology!
Heavy Mobile phone usage. Mobile video traffic
expected to grow a whopping 87 times by 2017 in
India (As stated by Ciscos 2013 Visual Networking
Index)
Deloitte research report anticipates 50-60
percent of all the mobile data consumption in
India to be driven by video over next 2-3 years
Skype 4
th
most downloaded social media app in
India
Channeling
Most viable option of Entry- through partnership.
It is a contractual agreement -
In which a firm (the licensor) sells the right to use its intellectual property
(technology, patents, work methods, brand names, trade marks, copyright,
and company name) to a firm (the licensee) in return for fees.

Reasons-
Minimize risk
Local partners have more expertise and
connections.
Minimal Investment
Channeling Strategy
Use the services of local professional sales consultants or
agents in order to acquire business contacts of the new
customers

Pay them a determined fixed fee and a success fee, say 5-10
percent of revenue generated on the market during the
contract period and/or 1-2 years after.

Active sales/marketing through partners
- Proposals/presentations to customers
- Cold calls
- Participation is exhibitions, visits
Reaching the customers
Key partner contacts

Lead Nurturing
- Understand the clients buying cycle
- Focus on the clients specific needs
- Be coherent in your communication strategy

Internet as a medium for eMarketing approaches

Communication and building relationships

Key Takeaways

India is the Worlds Third Largest Internet Population.
Overtakes Japan by Adding 17.6 Million Users in the Past
Year.
73.9 Million Indians Surfed the Web via a Home or Work
Computer.
Younger males and women aged 35-44 emerge as power
users
Non-PC traffic growth starting to accelerate in 2013 Mobile
and Tablet shares grows to 14.2%
Entertainment and Online Video Remain Popular YouTube is
the Number One Destination for Videos

Recommendations
Cost of Customer Acquisition might be high
Challenge of Educating the customer
With limited budget - slow, steady & lean
Might Take time to establish
Should Take early mover advantage

Conclusions
Highly Growing Market
Few Exclusive Competitors
Need For The Product



Factor
Conditions
Firm
Strategy,
Structure,
and Rivalry
Demand
Conditions
Related
and
Supporting
Industries
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PORTERs DIAMOND MODEL
Factor
Conditions
Firm
Strategy,
Structure,
and Rivalry
Demand
Conditions
Related
and
Supporting
Industries
Example text
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Example text
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PORTERs DIAMOND MODEL