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MKT630 - International Marketing
Foreign Entry: Risks and Rewards
“Los Panchos” is a famous food chain restaurant having a Mexican origin. It offers meat based dishes, flour tortillas and other dishes which use more spices and chilies depicting the specialty of the Mexican cuisine. In their specialty meat dish, they use sour oranges, clove, garlic, annatto paste and a lot of chilies. The resultant roasted meat has deliciously complex taste served with chili powder, chili sauce, and 3-4 whole limes. Currently, they are getting good and positive response from their customers in terms of their repurchase decisions. Thus, generating high revenue and profit in Mexican food market. After this great success, they have planned to enter the Chinese food market through licensing. People residing in northern and north-eastern parts of China cannot bear any spicy food. They usually prefer salty and less spicy food. Particularly, they like meat; being cooked with less spice and hot; to enjoy the taste of the meat.
What do you think “Los Panchos” will be successful to capture the Chinese food market? Identify the main reasons of possible failure or success. In any case, suggest the measures that could be taken by “Los Panchos” for further improvements in their business.
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