Assignment 1

Name: Enrollment:
1. Jorge David Campos Garca 1. 2741295
2. Jose Estefano Becerra Bencomo 2. 2807700
3. Michelle Dominguez 3. 2680316
Course: Teacher:
Doing Business in Americas Lic. Adrian Velazquez
Module: Activity:
Module 1 General Business Assignment 1
Frameworks in the Americas.
Date: August 20th 2017
Bibliography:
1) https://www.entrepreneur.com/franquicias
2) https://miscursos.tecmilenio.mx/webapps/blackboard/content/listContent.j
sp?course_id=_64685_1&content_id=_1831415_1
3) http://www.kidzania.com/

Objective.
To take a look at franchising as a viable strategy for a Mexican business trying
to reach another national market in the Americas.

Guidelines.
A vital element of a successful international market-entry strategy is an
Appropriate fit of skills and capabilities between business partners, and this
Is especially true for the franchising system. On this regard, every
year Entrepreneur magazine publishes a ranking of the top 200 global
franchisers seeking international franchisees.

Introduction
Before we start with the assignment, we have to analyze the
Mexican company. KidZania is a Mexican company of family edu-
entertainment center, currently operating in nine locations.

Each KidZania is a replica of a real child-sized city; with buildings,

shops and cinemas. In this city, children, ages 2 to 16, learn about the
adult world as well as the value of money and work, with the ability to
experience up to 70 different professions while their parents can wait
in the adult area Which has internet and food. This way children learn
how to consume and they will enjoy buying and working so they can
continue to buy. (kidzania, 2017).
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Procedure to follow
1. Read all the information
2. Write all the answers
3. Follow the instructions
4. Write a team conclusion

1. Now, go to their website and find the latest ranking available, and
then provide a list of the top 20 companies that pursue franchising as a
mode of international expansion. From an international business
perspective, what are the most common features shared by these 20
companies?
100 Montaditos Century 21 (Bienes Raices)
100% Michoacana 4 U Gym
100% Natural 5aSec Tintoreria
2X3 Digital Laundry 7 Camicie
Prenda Mex 7 Pilones
360 Coaches 7 Clean
360 Solutions Mexico 9 Round
360 Speakers A Dog Company
360 Da un giro a tu vida A la Belga
36 Five Fitness 24 Horas A tu medida

I believe that the food industry its a big competitor in the international
market. Throughout the research that we did, the most important features
shared by these
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Companies about the food industry and the similarity in their names as we can see in the
table above. For example we have the ones that theres a 360 on their branding name, which
simply states that their giving a more focused service in what their market is. Another one
is the number 7, which many companies believe in using this number for their market logo
or brand.

2. There is a big Mexican company that has been planning to enter the US market
for a long time, but hesitated and chose to deploy first a franchising program in
other regions of the world. We are talking about KidZania. Have you heard
about them? Either way, do some research about Kidzania's case and take
notes (you can start with these articles published in The Morning News and in
The Financial Times).

Create a simple but powerful message. Having creative promotional tools is key for
the brand to become known and achieve a marketing position. A simple but
powerful message which manages to transmit the passion behind what is offered,
can make the difference. In our case, Kidzania", since the goal was to highlight how
the company responds to the desire of consumers to maintain a franchise.

Build a social initiative around the business to create greater impact. Consumers in
the United States are increasingly concerned about corporate social
responsibility and sustainability. In our case, we have a very dangerous situation,
we have to know all rules and regulations. It's not about producing something and
just throwing it to the market. Different rules apply in each country. To find out and
learn the requirements that the United States imposes on the sector or product that
we are going to offer, and apply them immediately to our business, is fundamental.

3. Once you are done with your research, please provide a detailed description of
their business model, their international expansion strategy, a list of desirable
qualifications in potential franchisees, and the institutional support and
training programs typically provided by KidZania (the franchiser).

Throughout the research that I did in the financial times, describes that the way that
the KidZania park ways to enter the international market becomes as offering a
creational park and helping the commerce to train the kids to understand how life is.
In the process of how the KidZania park works is that when the kid enters the park, he
Receives a check which can be used in different areas throughout the park. Most likely
the owners of the parks, tend to recreate the infrastructure of the city or country that
they enter to.
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Programs:
1. CIMB Bank
2. Dental Care
3. Secret Agent
4. Recycling
5. Tourism and Tourist Information
6. Canon Imaging Studio
7. Umobile shop
8. Jail
9. C.S.I.
10. Courthouse

Qualifications for franchisees:

1. Capitalization and credit.
2. Work ethic.
3. Organizational Fit.
4. Have an Excellent Credit.
5. Not have filled with bankruptcy
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4. According to what we have learned in this course so far, answer these
questions.
A) What would you tell to Kidzania's CEO about the current business environment
in the United States? Explain.
Even though the experiences are different, the biggest competitor for him is
Disneyland. We know that Disneyland is more focused on fairy tales and cartoons, but
it would be the biggest competitor. Hell have to sell his idea very good, even though
he hasnt introduced himself in to that. Regarding the market, hell take advantage
because in the United States I havent heard on anything that is doing the same thing
or similar to what hes doing.
He can also develop a more tiny franchise and experiment in the US selling a part of
his franchise for a little experiment.
B) Would you recommend KidZania to enter the US market today? Why or why
not? And where exactly?
I would recommend that he enter the market. He has already many locations
Throughout the world and a little experimentation wouldnt affect him, because he has
the capital to create parks everywhere he wants now. But he has to be careful how he
invests his money. The location would be Salt Lake City, because is the city which has
the highest population in kids under the age of 18 in the US.
Are there any special improvements to be implemented before landing?
In the US or should they just follow their regular franchising strategy? If so, what is
there to improve?
I would say to stay the same, but mixed a little more, like not just getting the
infrastructure of the country that they are in, but to mixed different sculptures and
areas where the kids can learn more about other countries also.
CONCLUSSION
Franchisees are an important way to grow for business; they help to enter the
international markets and to develop better way to get people to know your product
or services. Franchisees help business develop new ideas for branding their products.
They are a different way to do business, and more qualifications are required to obtain
a franchise. For example, in this report, we learned that the most important
qualification for KidZania Franchise is the Credit Capacity.