On February 18, 2025, representatives of the Ukrainian Maritime Cluster participated in the online workshop “HOW TO PRIORITISE YOUR EXPORT MARKET. WHAT TO TAKE INTO ACCOUNT,” organized by the Lithuanian Innovation Centre and Civitta as part of the international cooperation program “EU4Business: Recovery, Competitiveness, and Internationalization of SMEs.” The program is co-financed by the European Union and the German government and is implemented by the German federal company Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH.
During the workshop, participants identified key approaches to selecting an export market and discussed tools and methods for its analysis.
A qualitative approach to market selection involves analyzing non-numerical data and subjective criteria. It is based on expert insights, including consultations with industry specialists and stakeholders, to gain an objective understanding of market conditions, trends, and potential challenges. A crucial step in this approach is visiting potential markets in person, which helps to better understand the local business environment, culture, and consumer behavior.
Additionally, strategic analysis tools are used, such as SWOT analysis, which assesses strengths, weaknesses, opportunities, and threats, as well as PEST/LE analysis, which considers political, economic, social, technological, legal, and environmental factors that may influence entry into a new market.
A quantitative approach, unlike a qualitative one, relies on numerical data and statistical methods to evaluate and compare potential markets.
Key parameters of this analysis include assessing market size and growth rates, which help identify the most promising directions. Economic indicators, such as GDP levels, household incomes, and consumer spending, are also crucial for determining market attractiveness.
Trade statistics analysis helps identify countries with high demand for specific products, while competition analysis provides insights into the number of market players, their market share, and the intensity of competition. Additionally, risk assessment is conducted, considering political, economic, and financial threats associated with market entry.
Quantitative analysis methods include grouping markets based on common characteristics, which simplifies the assessment of their potential. Additionally, statistical models are used to forecast prospects both at the company level and for the country as a whole.
Particular attention during the workshop was given to market segmentation. This process involves dividing the potential market into groups of consumers with similar needs and challenges, enabling businesses to meet their demands more effectively. Segmentation helps optimize marketing expenditures by focusing efforts on the most interested customers. Each market segment should meet several key criteria:
- Accessibility
- Measurability
- Substantial
- Viability
The workshop also covered key approaches to market entry.
The first approach focuses on supply promoting a product or technology. It involves proactive marketing, participation in trade shows and fairs, direct client visits, direct marketing, and the use of promotions and discounts to attract buyers.
The second approach is demand driven, aiming to build product awareness in the market. In this case, consumers independently express interest in the product, which is achieved through digital communication channels such as websites, social media, online visibility, and recommendations.
Thus, selecting an export market and developing a market entry strategy require a comprehensive approach that combines qualitative and quantitative analysis, effective market segmentation, and the right choice of promotion strategy.
More details in the slides.
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