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The two major strategic questions a business faces when entering a foreign market are how to enter and whether they should adapt their strategy to the local market.

Consider the case of Domino’s Pizza Global Strategy below. Suppose that Domino’s is planning to enter the Chinese market. Answer the following questions in an essay.

Part 1: Entry Mode

1. Discuss the pros and cons of foreign direct investment, joint ventures, and franchising/licensing as modes of entry Domino’s might use. When discussing the pros and cons, make detailed reference to the following cases which you also read in the text: Burberry Shifts its Entry Strategy in Japan and Burberry's Social Media Marketing to illustrate the pros and cons of the different entry modes under consideration.

2. What entry mode would you recommend for Domino’s and why? Take into consideration the nature of their product and the particular market (China) they are entering.

Part 2: Adaptation to the local market.

1. What are the pros and cons for Domino’s of adapting its business and marketing strategy to the Chinese market versus sticking with the strategy it uses in the US? When discussing the pros and cons, make detailed reference to the Domino’s case below, the case of IKEA's Global Strategy, the case of IKEA Entering India, Finally! , and the case of The Jollibee Phenomenon.

2. How should Domino’s adapt its marketing strategy to China? Organize your discussion around the 4Ps of the marketing mix: Product, price, place (distribution), and promotion. Again, take the nature of the product and the particular market (China) into account.

Business writing is concise writing. Limit your complete essay to two singe-spaced or four double-spaced pages, using one-inch margins, 12-point font and APA style for citations. You must reference all sources other than the textbook and the case below. Your reference page does not count toward the page limit. In addition, if you include a title page and/or abstract, these do not count toward the page limit either.

Domino's Global Marketing
Domino's made its name by pioneering home delivery service of pizza in the United States. The company was founded in 1960 in Ypsilanti, Michigan, by Tom Monaghan and his brother, Jim. Domino’s Pizza was sold to Bain Capital in 1998 and went public in 2004. Before that, on May 12, 1983, Domino’s opened its first store internationally—in Winnipeg, Canada. And, in 2012, Domino’s Pizza removed the word “Pizza” from the logo to emphasize its non-pizza products. Its current menu features a variety of Italian-American entrées, side dishes, and desserts.

You can now order Domino's with your Apple iPhone, with Amazon's Echo, and of course in any way you want online. “Ordering via Amazon Echo marks Domino’s eighth platform in the suite of AnyWare technology,” said Dennis Maloney, Domino’s vice president and chief digital officer. “We want to continue making ordering pizza as convenient as possible, and this is no exception.” Domino's has been constantly adding new ways to order items in recent years, including options to order via emoji, Twitter, text, and smart TV.

Strategically, beyond digitalization of ordering, the growth for Domino’s has been overseas. With the U.S. fast-food market saturated and consumer demand weak, Domino’s has been looking to international markets for growth opportunities. Today, almost all new store openings are outside the United States. On August 3, 2015, Domino’s opened its 12,000th store, and they now have about 5,000 stores the United States, 750 in the United Kingdom, 650 in India, 400 in Canada, and the remaining spread out in 80 countries. On October 5, 2015, Dominos even opened its first store in Milan, Italy—the birthplace of pizza. “I am beyond excited to celebrate this huge milestone for Domino's," said Patrick Doyle, Domino's president and CEO. "We've been opening new stores around the world at a steady clip—building beautiful and customer-friendly pizza theaters with our new image."

Its plans call for 4 to 6 percent growth in stores per year for the next few years (some 500 new stores annually, with the majority in foreign markets). Given this expansion and clear international growth strategy, perhaps even more amazing is the 76 straight quarters of same-store sales growth in Domino’s international stores. The company reported global retail sales of more than $8.9 billion in the last year, comprised of more than $4.1 billion in the United States and nearly $4.8 billion internationally. Perhaps more impressive, Domino’s has opened more than 3,000 new stores around the globe since March 2010.

As Domino’s expands its international businesses, there are some things that the company has kept the same as in the United States, and there are some things that are very different. What is the same is the basic business model of home delivery. This sets it apart from many of its rivals, which changed their basic offering when they entered foreign markets. For example, when Yum! Brands Inc. introduced Pizza Hut into China, it radically altered the format, establishing Pizza Hut Casual Dining, a chain that offers a vast selection of American fare—including ribs, spaghetti, and steak—in a full-service setting. Pizza Hut adopted this format because table service was what the locals were used to, but Domino’s isn’t interested. “We go in there with a tried-and-true business model of delivery and carry-out pizza that we deploy around the world,” stated Richard Allison, Domino’s executive vice president–international. “In emerging markets, we’ve got more tables than you would find in the U.S., but we have no plans to lean toward a casual dining model where the server comes out and takes an order.”

This general strategy is backed up by CEO Doyle, who said, “The joy of pizza is that bread, sauce, and cheese works fundamentally everywhere, except maybe China, where dairy wasn’t a big part of their diet until lately.” He continued, “It’s easy to just change toppings market to market … in Asia, it’s seafood and fish … it’s curry in India … but half the topping