Introduction (explain the strategy in brief) Decisions: 1.

Countries (Nicole) Brazil size of the market, location of the country, (spread sheet on country attractiveness) Argentina-recession Chile-went there because of recession in Argentina to cover losses 2. Production (Nicole) Factory, costs of goods sold 3. Products (Akarsh) Gel- companys feature (differentiation from competitors), Paste in Chile because of preference, Economy, White, Healthy (adapt to customer preferences). Tables showing customer decisions (appendix). 4. Pricing (Robin) We start with lowest price, but more expensive than local and regional, when we get a market share we increase the price. Never been the most expensive. 5. Channels (Lara) Why we decide to go for a channel-sales competitors had in each of them. Decision for going in or out of the channel based on sales results. 6. Sales force (Lara) When started with a channel, we were putting more people; also we had more sales people in most important channels 7. Advertising (Aesha) Argentina-advertising to the wrong auditory (cover by saying we were trying to target a market which was not specifically attracted to the product, did not work out as expected, hence, changed the plan next year.) 8. Promotions (Aesha) Based on sales people. Eva suggested to base promotion on Last year sales, we tried it once, but it worked not profitable for us, so we replayed this period, continuing with basing promotions on sales force.

Sales results: comparative Reflection-what would we change after first 10 periods played; plan for the future prospects(work on Brazil as we lost market share) Standardisation vs. adaptation Doing after 8 points

1. Countries To decide in which countries we were going to enter, we developed a Country Attractiveness Analysis including 19 criteria (Appendix 1). After evaluating each country under these 19 criteria, we decided to enter Brazil, mainly because it has the largest population, biggest sales in the market and a strategic position in the middle of South America, which allowed us to build a factory there having low shipping cost per unit to other countries. It is important to notice that this last issue was crucial in our decision of to Brazil first and not to Mexico. In the third period we decided to enter Mexico, which was our second option according to the Country Attractiveness Analysis. It has the second biggest population and market sales, good access to ports, and a stable political and economic environment. Also, in Mxico we could import products from our factory in USA with a low COGS. In the sixth period we needed to enter a new market to increase our brand awareness in the continent. The third option according to our Country Attractiveness Analysis was Chile, which has the most stable political and economic environment but it is very small and would not represent a big increase in our demand. The fourth option was Argentina, an unstable country with high inflation rates, but a biggest market than Chile. After evaluating the current politic and economic environment in Argentina and notice that it was going through a good period, with no important issues that could affect the economy of the country, we decided to get the risk and enter Argentina. During the seventh period we saw that the decision of entering Argentina was not a good one. The market went into recession and our sales were very low. We needed to cover the losses of entering this new market with no success. Exiting the market was not an option because we had made big investments in advertisement, promotions, etc. and we needed to cover our lost. That is why we decided to stop investing in Argentina, reducing our prices and profit and enter Chile, a richer country in which we could have more expensive products and a higher profit to cover losses in Argentina. After this period we decided not to enter new markets. Venezuela was too unstable and we did not want to take that risk again, and Peru, being biggest than Chile in terms of population, has the lowest GDP per capita of all the countries analysed.

2. Production Our first decision was to install a factory in Brasil because: It was the first market we were entering. It has the biggest population and total sales. We were going to sale more units in this country than in any other, so having the product there would reduce our transportation costs. It has a strategic location in the middle of South America. It has the second lowest manufacturing cost, with a small difference from the first, Chile.

The shipping costs were lower from Brazil to the other 4 countries, rather than sending the products from USA (excepting Mexico). Even considering the COGS, cheaper when shipping from USA, it was most convenient for us to ship from Brazil.

We used our factory in Brazil to produce tooth paste for Brazil, Argentina and Chile. The factory capacity was increased gradually each year according to the predicted needs, so we reduced the costs of having idle capacity. For Mexico, we decided to ship the products from USA, because in this case the shipping costs were lower than doing it from Brazil.