A Japanese equipment manufacturer for the Oil&Gas industry was looking to diversify its business portfolio. Caspian Sea countries were identified as the most prospective area to expand its business. However, the details had to be developed. First, Azerbaijan, Kazakhstan, and Russia were all prospective markets. However, one market had to be chosen to place the highest priority on it. Also, there was a need to formulate a market entrance strategy. After the necessary research and analysis, it was identified that strategically important markets would be Kazakhstan and Russia. Market entrance strategy through alliances and joint ventures with local players was identified as optimal. After formulating the strategy, we continued to support the client with its project.
| Project goals | The preliminary milestone to be achieved was market analysis for three prospective countries located around the Caspian Sea. We wanted to know what markets would be most promising for the client, considering the long-term potential and competitive and regulatory environments. Then, based on the information collected and analyzed, we had to demonstrate what kind of market entrance would present the best probability of success. |
| Execution (methods) | Review and discussion of the existing information about the target markets. On-site market surveys by country, interviews with industry experts, and surveys of other local markets’ sources. Competitive intelligence through interviews with experts related to companies already working in the target industry and market. Discussions and strategy-building sessions with the client. |
| Major outcomes | The high potential of the Oil and Gas business in the Caspian region was confirmed. Market entry strategy formulated and accepted by the client. |
| Next steps | Moved on to the Implementation phase with the client. |
| Notes | The project expanded to cover five countries and markets. |
