DISCUSSION: MARKET ENTRY

According to the market statistics and survey, Callaway has a market share of 22% and based on the profits or the market share needed for a profit, Callaway needs to have a 20% of the market share to enter the golf ball market. There is also the need of conducting a comprehensive market research to ensure one understands the trends and market patterns in the golf ball market. Of course using the evidence could be the right evidence to indicate the necessity of entering the market. Using the necessary resources will help and increase the implementation of the market and how to use the evidence in making the right decisions (Guo, Yu, &Gimeno, 2017). From the market share evidence, the market share ratio is the right indication to enter the golf ball market. There also the essence of considering how to enter the market and conditions of the market. Therefore, the market should consider developing the right methodology of conducting market research which will create and proof the market share for entering the market.

How would you make the decision if you were Callaway management?

Based on the evidence of the market, a 22% or 140 for every 624 golf purchasers will buy a ball from the Callaway company does to explain or consider the other factors which might influence consumer preferences in the market. Therefore, there is the need for developing a sampling technique to test the ideas and develop the needed conclusion on whether to make a decision for investing in such a market. For instance, the volatility and competition need to be established and realized by the management before entering the market (Ahi, et.al, 2017). Consider also the impacts of pricing and this can be another essential factor affecting the investment and operational effectiveness stability and consumer preferences. It is important to use, develop and improve retention by using, focusing and increasing effective data planning and management. It is a plan for an effective consideration to increase, develop and plan to improve decision making processes.

Would you use hypothesis testing?

The application of the hypothesis testing will help to determine if the Callaway market share is at 140 for every 624 golf purchases. This will apply the t-testing hypothesis to explain the relation through correlation and determine what and how the company can be effectively improve its market share in the contemporary community (Harrell, 2015). Using the information offered, it is also a means to influence, meet and increase operational needs such as meeting the needs, expectations and productivity in the market. The null hypothesis is for every 624 golf purchasers, 140 of them will buy a golf ball from Callaway Company. While the alternative hypothesis will be for every 624 golf purchasers none will buy a ball from the Callaway Company. The correlation testing will not help to identify the causation but it will determine if there is a strong or weak correlation.

References

Ahi, A., Baronchelli, G., Kuivalainen, O., &Piantoni, M. (2017). International Market Entry: How Do Small and Medium-Sized Enterprises Make Decisions? Journal of International Marketing, 25(1), 1-21.

Guo, W., Yu, T., &Gimeno, J. (2017). Language and Competition: Communication Vagueness, Interpretation Difficulties, and Market Entry. Academy of Management Journal, 60(6), 2073-2098.

Harrell, F. E. (2015). Introduction. In Regression Modeling Strategies (pp. 1-11). Springer, Cham.