Cuba: The Sleeping Caiman of the Caribbean

Cuban society has for decades been characterized by its egalitarian policies. In recent years, Cuba has initated a process of privitization which has enabled capitalist initiatives in the country. This master thesis has the objective to analyze the general business environment prevalent in Cuba and find opportunities for possible investors in the Cuban market and ways of entry which are available at the moment. Qualitative research, (specifically a desk research) is the primary method used in order to develop a PEST analysis and a TASK analysis, which have been adapted to the Cuban tourism industry. The thesis is divided into four parts. The first part focuses on the international theories and entry modes to international markets which have been discussed in numerous studies. The second part makes an analysis of Cuba´s market environment assisted by the use of the PEST model. The third part of the thesis concentrates on analyzing the micro environment of the Cuban Tourism Industry market through the development of a TASK environment analysis of an analysis, here the Five Forces Industry analysis was approached in order to define those industry factors that could have direct impact on investments in the Cuban tourism industry. In the last and fourth part of this thesis, the author arrives at conclusions and the most relevant issues concerned with the Cuban market. The main conclusion from this master thesis is that the main entry mode for investors in the Cuban market is a joint venture. The country offers numerous business opportunities and an attractive business environment for companies to invest in the Cuban market. The theories of internationalization used in this master thesis and applied to Cuban market analysis could have broader application to the Caribbean region as a whole