A strategic analysis of a foreign market entry.

Lifta-Rise, based in Canada, is one of the leading manufacturers of stair-lifts for wheelchair users in North America and the world. Maturity of its main market, the US, and appreciation of the Canadian dollar forced Lifta-Rise to look for new market growth opportunities. In October 2004, the Disability Discrimination Act became law in the UK. As a result, all architectural barriers preventing wheelchair bound persons from accessing places offering services (for-profit and free-of-charge) would have to be eliminated. The UK, with similar culture, common language, and the existing enforcement of legislature favouring stair-lifts is the ideal growth opportunity for Lifta-Rise. Previous attempts, however, to establish product distribution in the UK by Lifta-Rise were unsuccessful and there was a possibility of discontinuing further business activities in that country. The UK market presents a tremendous growth opportunity for Lifta-Rise products. This paper proposes a market entry that will help Lifta-Rise establish its brand and grow its installed base. The proposed strategy is consistent with management’s preferences and ensures positive NPV.