The future policies and strategies for the Finnish industrial companies to reach and approach in the Gulf Cooperation Council area market

Abstract

The purpose of the thesis was to introduce internationalization of Finnish Companies including motives and risks of new market entry in GCC, as well as describing the steps of a target market selection, strategic planning and presenting different operational modes. The study applied a qualitative research method, and conduct questionnaire of KONE Company established in GCC area. The data for the theoretical part was mainly found from electronic sources. In addition to secondary data a few email questionnaires were sent to Managers of KONE, Pierre Liautaud I EVP KONE Corp and Pekka Kuokka I Director, Strategy Development with the aim of acquiring primary data for their strategic planning, GCC market and its traits. KONE Company deals in elevator and escalator industry since 1910. It is also established in GCC market and has a good market share. Their aim is to offer the best people flow experience by developing and delivering solutions that enable people to move smoothly, safely, comfortably and without waiting in buildings in an increasingly urbanizing environment KONE is very successful in GCC because of its competitive advantages and its customer satisfaction. The results show that, there might be a potential market for Finnish Companies in the GCC. The governments of GCC countries attitudes toward international trade appear to be bright. However, the distant location from Finland and the differences in culture and religion may cause problems. At the moment the GCC area looks like a prospective market area, however requiring further research before engaging in any marketing activities and establishing business.