Nvidia inc

Some of the products that the company produces include a system on a chip unit (SoCs) for the automotive and mobile computing markets. The selected local alliance in Sweden is Starbreeze company. The company has made several achievements since its launch and continues to dominated the gaming industry through the production of games such as Enclave and Knights of the temple. The company has selected joint venture as their method of market entry, the reason for this particular method is for continuation in competitiveness. From the market analysis, it is evident that the Swedish market provides a favorable opportunity for the company to competently operate in. The company recently moved into the market of mobile computing where it has continuously produced mobile processors for both tablets and smartphones as well as for entertainment systems and vehicle navigation.

The company operates in the following industries, semiconductors, video games, computer hardware, and consumer electronics. The company is involved in the video game industry through the development, monetization, and marketing of video games. In the semiconductors industry, the company engages in the fabrication and designing of semiconductor devices (Feijoo, Gómez-Barroso, Aguado & Ramos, 2012). The company plans to operate in Sweden, the reason for this expansion is due to economies of scale, favorable market comprising of an experienced workforce and due to the world-class research and advancement. According to the research made by the company, it was observed that local businesses and firms in Sweden are quite attracted and eager to partner with foreign firms which offer foreign capital, training, technology, marketing know-how and management.

This warm welcome from the local organizations towards the foreign firms will provide a wonderful platform for the Nvidia company to fully adapt to the foreign markets and learn about chain supply strategies which are critical for the organization to operate successfully. The local alliance partner in Sweden which the company chooses is the Starbreeze Studios. The company is a video game development studio which is located in Stockholm Sweden. The company has of late been involved in other areas rather than just making of games; the Starbreeze company has ventured in the making of software and other related devices. The joint venture arrangement between Nvidia company and Starbreeze company from Sweden will greatly assist the company in gaining access to the Swedish market and the gaming industry which Nvidia finds difficult to enter alone.

The Swedish government has imposed very strict rules and policies for both the gaming industry as well as for foreign investments. Some of these regulations and policies are quite simple and light for the local firms as compared to foreign firms which would like to venture into the market. For an instant the government has imposed a 23% tax on the total profit in which the firms earn, not forgetting the annual taxes and licensing meant to regulate these companies as well as protecting the consumers. The government also restricts foreign companies from importing gaming tools and instruments for the first time unless with strict authorization from the government regulatory bodies. This will help in the eradication of any risk of discrimination by the Swedish culture, accessibility of resources, appearance, themes, image, and facilities will be hastened by the joint venture, the reason being the two companies will combine their thoughts and thus coming up with a detailed and informed decision.

Nvidia Company decided to adopt the Starbreeze company in Swedish after fully analyzing the microenvironment to penetrate and stabilize into the market. The product portfolio is also put into consideration and will be arranged based on sizes of the game and costs of each game so that many can be in a position to afford and enjoy these games. From the findings, of Soh & Tan (2008), a foreign partner will be in charge of controlling the new business, applying skills, technology, avoid competition as well as securing the financial sector. The degree of fit with the country Having been in operation in the gaming industry for quite sometime, the company has continually grown and advanced in terms of technology and competence. The company has also learned the various ways in which it can set prices, navigate issues arising and negotiating deals with customers, both locally and internationally.

Being financially prepared is another critical factor that every business or rather a company should have, Nvidia company is financially able and has private sources in which it uses to get loans in case it needs a larger amount. Lastly, the company is fit to operate in Sweden because it has already saturated the local market and there is a need to grow internationally. According to Shao, Chang & Zhang (2010), when a firm or company sees its domestic sales stagnating or drying up in the local market, the company should consider expanding to the foreign market. This is the case of Nvidia Inc. 5 billion. According to a report by NORDICOM, the number of employees playing video games in Sweden increased by approximately 32% in the year 2018, it also states that most of the people who play these video games are in the age of 9-14 years.

The Swedish gaming also portrays a huge potential not only in the action games but also in other games such as eSports which has recently emerged as the best-liked game in Sweden (Herrera, 2015). According to a survey by Unibet, esports winnings have increased from 542 thousand dollars in the year 2006 to about 5. 78 million dollars as per the year 2018. Nevertheless, every organization should be responsible for ensuring that the product they are offering is of standard and meets the customer’s expectations in terms of quality and quantity. Nvidia company has segmented on demographic, geographical, behavioral and psychographic ways. A. Geographical segmentation. Nvidia company has considerations aimed towards expansion criteria; the company plans to avail its products at an affordable price for the Swedish consumers.

A. Psychographic segmentation. According to the analysis done, the Swedish population promises great interest potential, ambitiousness and of it's throughout the years the company will be in operation. characteristics of potential customers in the country Marketing mix The marketing mix will comprise of the tools in which the company will use to target its consumers. The Nvidia company is well known for its loyal customers for quality and consistency in gaming products and software. The joint promotion will, on the other hand, involve collaborations with other companies to give bundled packages; the company will also use social media contests to promote their products. Customer loyalty programs will comprise the use of warrants and free products when a consumer buys in large quantity.

Branding is an important factor in any organization as it helps in building the company’s brand equity and adding value to the firm. The branding strategy that the company plans to implement is a brand extension; this particular form of branding is quite popular especially a company ventures into new markets. Lastly, the company plans to use the social media platforms such as Facebook, Twitter and Instagram to market its products as well as use website supportive platforms such as Skype to hold meetings online with potential clients. Nevertheless, under IFRS this particular method of inventory is not allowed. The Last In, First Out valuation does not necessarily reflect the accurate flow of inventory in most cases, resulting in an income of low levels.

Intangible assets There also exists a difference between IFRS and GAAP when it comes to intangible assets. IFRS accounting shines as a principle-based method; in that, it takes into account assets may have a future economic benefit in assessing value. On the other hand, intangible assets under GAAP are recognized in the fair market value. • Profit margins • Revenue sources The organization will monitor and report issues with joint ventures, suppliers, subsidiary, and distributions in the country through effective communication between the parties involved, for instance, the two organizations may communicate to each other to create awareness. The other strategy will be through the building of trust, sharing of information openly, particularly about financial matters will help both parties to avoid being suspicious of each other.

Being flexible is also another way in which Nvidia company can keep track of what is happening with suppliers and activities in Sweden. Other ways in which the company can keep track of joint ventures, subsidiaries and suppliers is through improving of technology, realizing timely payments which are crucial, keeping detailed agreements with suppliers and evaluating any risks which are prone to happen. Nvidia company has an internal code of conduct which is in accordance with the constitution on matters to do with bribery and corruption. Also, for the company to remain competitive in the gaming industry, it needs to plan and think strategically. Innovation is also vital in the gaming industry. As a result, the company needs to have strategies and personnel who will be innovative throughout.

In order to attract more customers and clients, the company needs to increase its market share through strategic approaches. Lastly, the selected market will necessitate more opportunities for the company due to the availability of ready market and friendly policies and regulations which promote foreign investment. The marketing mix revisited: towards the 21st century marketing.  Journal of marketing management, 22(3-4), 407-438. Feijoo, C. , Gómez-Barroso, J. L. , Mu, K. , Qi, Q. , & Lu, Y. (2014, November). A cloud gaming system based on nvidia grid gpu. In 2007 IEEE Hot Chips 19 Symposium (HCS) (pp. IEEE. Luo, Y. Are joint venture partners more opportunistic in a more volatile environment?.  Strategic Management Journal, 28(1), 39-60. 7 The Development of the Swedish Game Industry.  The Video Game Industry: Formation, Present State, and Future, 134.