International expansion of the West Cornwall Pasty Company: country selection, entry mode, and marketing strategy report

The purpose of this report is to assess the best country expansion option for the West Cornwall Pasty Company between Austria, the Netherlands, Norway and Spain. A selection of Political, Economic, Social and Legal factors were selected and examined using a scorecard (appendix 5), along with industry competition and trends, culture and climate. Norway was selected as the ideal country for expansion given a series of benefits, including better economic climate, ease of doing business, cultural and weather considerations, and national and regional market growth potential. 

Given current operations of the firm, a certain market entry strategy was developed. Equity joint ventures and franchising were ruled out as incompatible with the current business model. A staged mode of entry was instead suggested, with an initial simple export of the product in the form of street stall-style vending from the company’s pasty van to test actual demand. Once a positive result is found, the ideal entry mode would be direct FDI by opening a high street outlet, running operations from a single location initially. The final step would then be the opening of further outlets and potentially considering a partnership with local convenience stores to expand market reach. 

The marketing strategy should maintain a very similar brand image in the host country while adapting different elements of the marketing mix. A similar target consumer group would be targeted by the outlet, while minor adaptations in terms of product and cost would be necessary to ensure satisfaction. The largest adaptation would be in communications, where the firm would have to respond to the specific wants of the consumer. In particular, there must be a focus on product origin (both in terms of ingredient transparency and Britishness), being a healthy alternative, yet remaining a fast service option.

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