What is meant by the term "market entry strategy"?

The term "market entry strategy" specifically refers to a plan that a business develops to successfully enter a foreign market. This strategy outlines the approach a company will take to penetrate a new market, including choices regarding market research, entry modes (such as exporting, joint ventures, or wholly-owned subsidiaries), target audience identification, marketing tactics, and logistics. Effective market entry strategies are crucial for minimizing risks and maximizing potential returns when expanding geographically.

This answer highlights the importance of a structured approach in accessing new markets, which is essential for achieving competitive advantage in international business. Other options do not fit the definition as they focus on different aspects of business strategy, such as exiting a market, increasing domestic sales, or product development, which are separate strategic considerations.