Strategy …show more content…
As a result, it has become quite challenging for new firms that want to expand their operations into the market. To be in a position to survive within the market, XYZ foods must choose a strategy that minimizes the initial cost and at the same time gives them a global outlook. In this case, the best strategy will be the Franchising strategy. This strategy has proved to work well in countries in North America that tend to have highly competitive business environments (Chen, 2016). This strategy will suit the firm because it has a reputable company model that can be simply transferred into the new market. However, for this model to work effectively, the firm will need two caveats. One of them currently exists in the company in the form of their strong brand recognition thereby making it easy for it to be used internationally. The firm will just need to work on using the franchise to create or intensify any future competition (Chen,