State influence: Merlion is Russia’s leading distributor of computer components, digital devices, peripherals, network and office equipment. Merlion is owned privately[6]. Merrlion is a distributor of more than 200 vendors.[7] There is no special financing support for this industry. Moreover mostly of the computer equipment is imported in Russia. Therefore it is easier directly to deliver goods in the end-country (not to make Russia intermediary). Therefore there is no state influence.
Internationalization:
| Country
| Kazakhstan
|
| Year of entry
|
|
| Industry/ business area
| Computer components, digital devices, peripherals, network and office equipment
|
| Entry mode
| Merlion acquired Almaty in 2011.
|
| Motives
| Kazakhstan IT market is the most dynamic after Russia in the CIS region, even ahead of Ukraine and Belarus. Moreover, the Kazakh government has set ambitious goals for e-learning at school, so it’s a good opportunity for Merlion.
|
| Firm specific advantagesused on the foreign market
| Merlion already acquired Verysell’s distribution business before acquiring Almaty so the firm already has a good distribution network.
|
| First mover or follower
| First mover.
|
| Type of state involvementin the process of internationalization
| The Kazakh government supplied some 50000 PCs to school in 2012 because he has set ambitious goals for e-learning. That’s why Merlion is seeing strong interest from its vendor partners in the opportunities offered by the IT market in Kazakhstan. Moreover, Kazakhstan’ offices use Merlion’s unified logistic systems and carry out importing and customs clearance of goods.
|
| Evaluationof the success of the internationalization
| Thanks to this operation, Merlion accounts for more than 5% of the overall IT market in Kazakhstan in 2012.
|
