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in case one showed that Meva has a long term profit orientation and clearly states that
patience for generating profit is necessary. Although there are no immediate profit targets the
company expects to reach continuous sales within two years. These findings support the
theory stated by Koch (2001). Our findings in case two shows that Purac has a project-toproject profit target orientation, where every project is supposed to bring profit. These
findings are not consistent with Koch’s (2001) theory regarding profit targets since Purac
despite their short-term profit target is able to sustain a long-term profitability.
Experience in using individual MEMs
Koch (2001) argues that the experience in using individual MEMs depends on the experience
of a particular entry mode and that it influences the decision through the perceived use of a
particular mode of entry. Our findings in case one showed that the company’s experience
influences them in the way that they have a preferred mode of entry in cooperation with a
large international firm, thus supporting Koch’s (2001) theory. Our findings in case two
showed that the company has learned not to let go of the control as this has been the main
reason for earlier market entry failure...
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- Summer '14
- The Land