The competition between professional football clubs is increasing both on a national as well as on an international level. Clubs do not only experience pressure for sporting success but also for economic profitability. As sporting success can hardly be planned, the club’s financial well-being needs to be ensured independently from results on the pitch.
The rationale seems obvious, a club’s higher popularity among fans leads to higher revenues. Football is the most popular sport in the world and almost half of the world’s population is interested in the sport. With this in mind, it seems naive or even negligent that the majority of professional German football clubs keep on serving the national market only. Sounding like a repeated appeal, Karl-Heinz Rummenigge, CEO of the most internationalised German football club FC Bayern Munich, describes internationalisation as “without any alternative“. He continues by explaining “without growth on the international markets, you risk the sporting competitiveness“.
With a population of over 600 Million people and a high enthusiasm for football, Southeast Asia invites football clubs to start their internationalisation in the region. Hence only a structured approach and a thoughtful strategy are required to finally and successfully enter these promising markets.
Table of Contents
1. Introduction
1.1 Objective of the Thesis
1.2 Structure of the Thesis
1.3 Interview Partners
2. Theoretical framework
2.1 Definition and differentiation of the term Internationalisation
2.2 Internationalisation‟s Relevance
2.3 Market Entry Strategies
2.3.1 Online presence
2.3.2 Exporting
2.3.3 International Licensing
2.3.4 International Franchising
2.3.5 Strategic Alliances
2.3.6 Joint Ventures
2.3.7 Acquisition
2.3.8 Greenfield Investment
2.4 Influencing Factors
2.4.1 Internal Factors
2.4.2 External Factors
3. Status Quo of Internationalisation in German Football
3.1 The role of the “DFL Deutsche Fußball Liga GmbH”
3.2 Comparison of Bundesliga teams‟ Internationalisation processes
3.3 German football in international comparison
3.4 The choice of RasenBallsport Leipzig as example for this thesis
4. RasenBallsport Leipzig‟s Internationalisation Process
4.1 Methodology
4.2 SWOT Analysis of RB Leipzig
4.2.1 Strengths
4.2.2 Weaknesses
4.2.3 Opportunities
4.2.4 Threats
4.3 RasenBallsport Leipzig‟s market entry options
4.3.1 Timing
4.3.2 Possible market entry strategies
4.3.2.1 Merchandising
4.3.2.2 Digitalisation
4.3.2.3 Events
4.3.2.4 Players
4.3.2.5 Alliances and Partnerships
4.3.2.6 Complementary measures
4.3.3 Market choice
5. Evaluation of the chosen Southeast Asian target markets
5.1 Introduction to the target markets Indonesia, Malaysia, Singapore and Thailand
5.1.1 Indonesia
5.1.2 Malaysia
5.1.3 Singapore
5.1.4 Thailand
5.2 Critical factors for Success
5.2.1 Sports-related Factors
5.2.2 Non-sports-related Factors
5.3 Scoring Model of the pre-selected Markets
6. Implications and recommended Internationalisation Modules
6.1 First Recommendation – “The RB Story”
6.2 Second Recommendation – “The All-rounder”
6.3 Third Recommendation – “Big Market”
7. Conclusion, Limitations and Outlook
Objectives and Topics
The thesis aims to provide a structured approach for professional football clubs to successfully enter the Southeast Asian market, focusing on developing a strategic framework for international expansion. It evaluates market entry strategies and assesses potential target countries—Indonesia, Malaysia, Singapore, and Thailand—using a custom scoring model to guide decision-making for clubs looking to grow their global presence.
- Internationalization strategies in professional football
- Strategic market entry modes (Licensing, Joint Ventures, Greenfield Investment)
- SWOT analysis of RasenBallsport Leipzig
- Evaluation criteria for Southeast Asian target markets
- Practical recommendations for internationalization modules
Excerpt from the Book
2.3 Market Entry Strategies
When deciding to enter a foreign market, companies have multiple options to do so. The different modes of entrance firstly depend on the company‟s willingness to give up a certain degree of control over the operations and secondly on the resource input. Each mode also involves consequences for the decision-makers such as flexibility and time horizon. For the sake of completeness, it has to be indicated that additional market entry strategies exist. However, this abstract will specifically focus on access modes that are more likely to be applied by football clubs. For instance, strategies such as contract manufacturing or piggybacking are less suitable for the football industry and will therefore not be discussed. In addition, this abstracts presumes the reader to be familiar with the strategies‟ basics which is why no detailed theoretical explanation will be given. Benefits and drawbacks which are not related to the football industries will be ignored. Moreover, every abstract will present distinct examples how football clubs can apply the concerned entry strategy in practice.
After understanding multiple options to internationalise, all clubs are able to choose the most suitable modes with respect to their individual condition and objective. The level of control over the internationalisation process and the investment faced by the market entrance are two crucial factors to take into consideration. With regard to the presented market entry strategies below the options can be arranged according to Figure 2, including examples of application related to the football industry.
Summary of Chapters
1. Introduction: The introduction outlines the increasing economic necessity for German football clubs to internationalize and defines the objective of the thesis: creating a structured approach for market entry in Southeast Asia.
2. Theoretical framework: This chapter defines internationalization and categorizes various market entry strategies, such as licensing, joint ventures, and greenfield investments, while detailing internal and external influencing factors.
3. Status Quo of Internationalisation in German Football: This section examines the current internationalization state of the Bundesliga, the role of the DFL, and compares it to other international leagues, while justifying the choice of RB Leipzig as a study example.
4. RasenBallsport Leipzig‟s Internationalisation Process: This chapter provides a SWOT analysis of RB Leipzig and discusses specific market entry options like merchandising, digitalization, and events suitable for the club.
5. Evaluation of the chosen Southeast Asian target markets: An evaluation of Indonesia, Malaysia, Singapore, and Thailand is conducted based on sports-related and non-sports-related criteria using a custom scoring model.
6. Implications and recommended Internationalisation Modules: This chapter presents three strategic modules (“The RB Story”, “The All-rounder”, and “Big Market”) tailored to different target markets and club objectives.
7. Conclusion, Limitations and Outlook: The conclusion summarizes the findings, acknowledges the limitations of the thesis due to the lack of internal club data, and provides a final outlook on the necessity of proactive internationalization for German clubs.
Keywords
Internationalisation, Football Clubs, Bundesliga, Market Entry Strategies, Southeast Asia, RasenBallsport Leipzig, Strategic Alliances, Joint Ventures, Licensing, Digitalisation, Sports Marketing, SWOT Analysis, Indonesia, Malaysia, Thailand, Singapore
Frequently Asked Questions
What is the primary focus of this work?
The work focuses on the internationalization of professional German football clubs, specifically identifying and analyzing strategies for entering the Southeast Asian market.
What are the central thematic fields?
The core themes include international business strategy, market entry modes in sports, the current competitive status of the Bundesliga, and regional analysis of Southeast Asian countries.
What is the research goal of this thesis?
The goal is to develop a structured, applicable guide for football clubs to plan and implement international activities in Southeast Asia based on individual organizational conditions.
Which scientific methods were applied?
The thesis utilizes a literature-based theoretical framework, a SWOT analysis, and a custom weighted scoring model to evaluate and rank potential market entry destinations.
What does the main part cover?
The main part covers the theoretical basis of internationalization, the status quo of German clubs, a detailed SWOT analysis of RB Leipzig, and an evaluation of four specific Asian markets.
Which keywords characterize this paper?
Key terms include Internationalisation, Bundesliga, Market Entry, Southeast Asia, RB Leipzig, and Sports Marketing.
Why was RasenBallsport Leipzig chosen as the example?
RB Leipzig was selected because it is a successful club that had not yet engaged in an internationalization strategy at the time of the study, providing a clean slate for demonstrating the developed framework.
What role does Red Bull GmbH play in this study?
Red Bull GmbH is identified as a key asset, providing financial stability, marketing expertise, and infrastructure that simplifies the internationalization process for RB Leipzig.
- Quote paper
- David Mariot (Author), 2017, The Internationalisation of Football Clubs. Analysis of RasenBallsport Leipzig’s Marketing Possibilities in Southeast Asia and Recommendations, Munich, GRIN Verlag, https://www.grin.com/document/497950
