Implementing Bass Pro Shops into Germany 1
Implementing Bass Pro Shops into Germany 2
Implementing Bass Pro Shops into Germany
Abstract
Table of Contacts
Our group chose Germany as our G20 for our final project. The reason we chose Germany as our country to introduce our business into is because of the financial stability of this nation. Germany is one of the most financially stable and richest countries in the World, by introducing our company there it will allow us to do business in a safe and stable market and have a clientele that will be able to afford our products. We will be expanding Bass Pro Shops into the country of Germany; Bass Pro Shops is the largest North American outdoors store in the nation providing its clientele with a variety of products for each outdoorsman. Bass Pro Shop was founded in 1971 in Springfield Missouri by Johnny Mo
is and since then has grown into the largest outdoors store in North America with 200 retail and marine locations.
Bass Pro Shops has multiple subsidiaries including Cabela’s and Tracker Marine Group, all these
anches offer many products from different suppliers around the world including hunting, fishing, camping, and outdoor recreational vehicles. We would like to
ing all these products to Germany because of its lack of a store that readily offers all of these products under one roof. The citizens of Germany spend a lot of time outdoors and the country itself offers some of the most beautiful landscape and nature to be enjoyed by each type of outdoorsmen. The only thing Germany is lacking is a store that offers all your outdoors needs and that is what we will be
inging to Germany with the Bass Pro Shops
and.
A large percentage of Bass Pro Shops revenue is made up of its firearms sale throughout North America. This could cause a possible issue or risk when it comes to
eaking into the German market. Germany has some of the strictest firearms laws and requirements for firearm ownership in the world. Certain firearms that Bass Pro Shops and its subsidiaries sell are illegal in Germany, for example all semi-automatic rifles such as AR-15’s and pump action shotguns are illegal in this country. Bass Pro Shops offers about 880 different
ands and types of guns, with many of them being the ones that are illegal in Germany. To comply with Germany’s firearms restrictions, they will have to take those out of stores in Germany which could cause financial harm. Germany also has stricter ownership laws that require applicants to meet certain requirements such as: they must be 18 years of age, have the necessary “reliability” and “personal aptitude”, demonstrate the necessary specialized knowledge, demonstrate a need, and have liability insurance for personal injury and property damage of at least 1.1 million American Dollars. Along with these requirements applicants must go through a significant background check and for applicants that are under the age of 25 must provide a certificate of metal aptitude from a psychologist or public health official. This could also cause the company’s sales to take a hit in the gun market because of how hard it is to even own a firearm in Germany.
Another possible issue Bass Pro Shops could encounter is the societal culture su
ounding hunting and fishing in the country of Germany. The population of Germany is around 83.02 million with only 300,000 of those citizens being avid hunters according to RealTree.com. This means that only about XXXXXXXXXXpercent of the population, because a large amount of the company’s sales is based on its hunting products sales, and then this could pose a problem to the company’s financial stability in Germany. Language ba
iers also pose a possible problem when
inging Bass Pro Shops to Germany. Because of Bass Pro Shops being an only North American country, the primary language of their employees is English which is not the primary language of Germany. According to howwidelyspoken.com only about 56% of Germans speak English somewhat fluently which could cause issues when trying to explain the company’s goals and values with possible employees and management.
Negotiations with the German Government could also pose some issues when introducing Bass Pro Shops into the country. Because Bass Pro Shops is considered a firearms dealer this could be more difficult to
ing the company in given the countries stricter gun laws. In order to manufacture, process or repair firearms or ammunition commercially as part of a commercial enterprise in Germany a company needs to apply for a weapons manufacturing license. Other requirements such as prerequisites, procedures, deadlines, and required documents are also necessary to get a license to sell firearms. All these requirements and applications cost money which is dependent on the number of firearms you are wishing to sell. This could cost the company a significant amount of capital in startup costs when entering the German market.
Growth potential and customer demand could also pose as a possible issue when introducing stores to the German market. Because only XXXXXXXXXXpercent of German citizens are avid hunters it is important that we place stores in areas where outdoors activities are readily available in order to ensure the most clientele. Germany is about 137,988 square miles and according to RealTree.com there is about 115,830.65 square miles of usable outdoors land for hunting, fishing, and other outdoor activities for the public to enjoy. The struggle will be locating areas that are u
an enough to place a store in while still being close to the outdoor land itself. Another possible issue could be the cross-cultural interaction between the US based side of the company and the German side. Germany and America have many different customs and beliefs that stem all the way to their knowledge of outdoor activities such as hunting or fishing. Because Bass Pro Shops is known as a store where the employees have the knowledge to help with all of your outdoors needs this could pose an issue with knowledge about Germany’s outdoor activities. The cultural differences between how German’s hunt and fish is very different from the ones the company’s American employees use. This could cause problems with the sharing of knowledge between employees.
Finding an organizational structure that can complement both sides of the company will be key in its success and without that the company will not be successful. Because American and German business practices can vary this could cause an issue when developing a new organizational structure. Staffing will also be a possible issue when introducing Bass Pro Shops to Germany because of Germany’s lack of stores similar to Bass Pro Shops. The company will have to find new and creative ways to staff the store with people passionate about the outdoors. Transfer of Knowledge could also pose an issue to the success of the company, because of the lack of stores similar to Bass Pro Shops the company will need to teach their new employees about the products they will be selling. The company will also have to learn about the people they will be selling too because they have never entered this market before.
Cultural sensitivity will also be a possible issue when entering the German market. Because of Bass Pro Shops lack of knowledge due to the fact they have never entered a foreign market they will have to make sure they identify the values and beliefs of the people they will be hiring in their German stores. If this is done co
ectly it will help to motivate employees and the business will be profitable. However, if this is not done co
ectly then the company will be bound for failure.
Techniques and Strategies
Most of the business organizations are facing different problems and it is the duty of the business managers to implement productive tools and methods for managing the issues in an effective way. In this research paper we are analysing the problems faced by the company Bass Pro Germany in a detailed way. Bass Pro is an American retailer who has operations in the different parts of the world. For solving the business issues, the managers also have to understand the internal and external factors that is affecting the existing business
Techniques and Strategies and Analysing the Rationale
1. Political Risks/Legal Risks:
The company has to make changes to the inventory policy and they have to implement Just in Time strategy and it helps for managing the issues related with overstock and understock. JIT mainly focused on providing goods based on the requirement of the customer (Gasser in 2012).
2. Stricter Gun laws:
Getting government support for selling guns can be called an effective strategy for managing inventory issues. The company can help the customers for fulfilling the requirements that are required for buying the guns.
3. The Societal culture:
The company has to use social media for promoting the products and services. They also have to encourage the culture of hunting by using social media messages and promotions.
4. The Language ba
ier between German and English.
The company has to use a translator for managing the issue related with the language ba
ier and they also have to select the local people as employees for managing the operations in a productive way.
5. Negotiations:
The company has to develop a win- win strategy for managing the competition and for creating a good relationship with the government. Open negotiation strategy helps the company for managing the issues and for attracting more customers.
6. Growth potential and customer demand: For increasing the customer demand and for attracting the more customers the company can conduct trade shows. Most of the companies are participating trade shows, mainly fo
XXXXXXXXXXIntroducing new product
XXXXXXXXXXCreating
and image
XXXXXXXXXXGenerate revenues
XXXXXXXXXXMeeting with investors
Companies while attending trade shows helped them to introduce products into the new market in an easy way and they met with the competition effectively. It also creates a
and-new image for the company, which leads to the revenue generation. Trade shows also help the companies to meet the investors from different parts of the world.
7. Cross Cultural Interaction:
Organization has to introduce effective programs and activities for improving cross-cultural communication. The company has to provide clear cut clarity related to their job objectives and major duties. The companies have to appoint a key line executive as a main sponsor of the employees who are working aboard. So with the support of the key line executives the management can effectively communicate the future plans and activities to the employees in a productive way. The company also has to develop quality leaders for managing the employees, especially managers with the effective leadership strategies and communication strategies the management can be able to retain the right talents in an effective way. The company also has to introduce different programs such as
Multicultural task forces
Project teams
Cross cultural assignments for improving the cross-cultural interactions.
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