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These are two entry modes which are suitable for Herton to enter into Taiwan market, which are Exporting and Joint Venture. Exporting is the goods and services that are produced in one country and purchased by the citizens of another country (Amadeo, 2017) while joint venture is a cooperative enterprise of two or more business entities entered into the market for specific business activities (Murray, 2017).Joint venture and exporting are chosen as most Taiwanese are addicted to snacks and biscuits and Herton is famous as a biscuit brand in Malaysia. Also, exporting and joint venture can spread the “new” and unique style of Herton around Taiwan which indirectly promotes Malaysian food as the product awareness will increase by reaching out to the Taiwanese widely.
Within 5 years short-term period, exporting will be the entry mode used to promote Herton into Taiwan as test marketing for new product development before stabilizing the business in the future through business expansion. Through exporting, Herton selling in Taiwan will be able to keep its original unique taste that Taiwanese are willing to try and the cost of Herton as an overall will be lower through exporting as everything will be purchased using Malaysian Ringgit(MYR). The equipment used for making biscuits, which is an asset can be exported as it is a long-term asset that will last for a longer period through efficient production and requires an amount of maintenance only. By exporting as well, the business will be able to gain knowledge and experiences of conducting it in Taiwan before considering a further expansion when the business is moving steadily. However, the business will need to understand that Taiwanese need time to accept Herton due to different food culture as well as aware to the taxation rate required for importing to Taiwan.
When the business is relatively stable and further expand its business with Taiwan companies can be a joint venture as long-term entry to the model. Because of the right time and opportunities for loyal consumers after setting up joint ventures with local businesses and adapting well into the Taiwanese food culture. The joint venture made it easier for Herton businesses to find and access resources because locals knew the cheaper suppliers. Besides that, Herton can share their costs and expenses with the local firms through joint venture that reduces the financial burden (BusinessTown, 2017). Although joint ventures have advantages over Malaysian companies, they still need to be cautious about choosing a robust, lucrative potential business and considering prices and locations to get good quality ingredients with cheaper prices for own knowledge. Also, choosing someone that the Malaysia firms are familiar with to avoid management conflicts due to cultural differences.

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