Business Proposal Harvard Case Solution & Analysis

Entry mode

The entry modes in India for foreign companies include either joint ventures or forming subsidiary relationships. Furthermore, there are a few other modes of entry in the country that include establishing a branch office or a liaison office. Before entering in India, the company needs to analyze a few important things which include developing knowledge about the market and identifying market potential and in the end, creating and developing strategies to proceed in the market.

The best mode of entry suggested to the company is to go for a joint venture with an established player in the Indian market. The joint venture will help the company to gain sufficient knowledge about the local market using the experience of the local player. Secondly, a combination of efforts will help the company to establish itself quickly in the local market. It will also help the company to design its marketing strategies with the help of the local partner.

Implementation Issues


The company should first of all select the best possible partner in the local market to approach for joint ventures. While selecting the partner, the company should focus on the product line of that company and make sure that the smart car is not present on their product line.

Moving ahead, the company should study the limitations of licensing and shares that can acquire by a foreign company as the maximum number of shares allowed for a foreign company are 75% in a joint venture. Next, while making a deal the company should try to keep major executive places in order to get involved in decision making.

HR systems

India has an abundance of manpower that can provide assistance to HR as the manpower is easily available. Hiring skilled and educated employees is not difficult, and similarly the labor force is available in abundance. On the other hand, in a joint venture the company can seek help from the local partner as they are aware of the Indian market and the potential of the local people.

Marketing /advertising approach

The company should approach the mass media reach and use television and newspaper for advertising. Secondly, India is a sports crazy nation, therefore, the company should use major sporting events to endorse the smart car in India. Movies are also a new medium for advertising and people watch movies more often. Secondly, the company should target the middle class in India, especially the youth as they are huge in numbers.


The Indian market is highly attractive, and since the concept of the smart car is new in the Indian market with less competition, the preference seems quite good for the company. The company has major strengths such as the experience in the global market, which it can utilize in the joint venture in India and excel as there is to gain an impressive market share in a short span of time.....................................

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