Development of International Marketing Strategy

Task 1

International marketing strategy

International marketing strategy can be defined as marketing of goods and services outside the firm's home country. It indicates the integration and coordination of marketing activities across varied markets. Marketing strategy always be identical and build their brand and services according to the business environment of the foreign market. Advertising of a product at the International level is the most critical task because it depends on the country culture, intense competition and several factors affects the company operations and profitability. In this marketing strategy same brand of product and services are promote all over the world. Some of multinational companies are come up with theme based advertising approach which helps in extensive global customer research. Global theme of advertisement are to be used when target customers have same taste and preference across the world. The purpose of international advertising is to reach and communicate to mass audience in more than one country. Target audience emotional sentiments, perception and interpretation level of symbol and stimuli is differ from country to country (Gilligan,and Hird, 2012). Standardization of product helps in to achieve economies of scale along with establishment of consistent image across the market. Standardization of a product creates welfare in society and assist towards the utilization of creative talent across the market and transplant the good ideas from one market to other. Identical advertising tools to be used due to the multiple culture that vary in terms of communication style, values and consumption pattern. It is a business activity that helps in expanding the revenue and create sustainable image across the global market.

Companies uses various modes of distribution channel for delivering the product and services. Every company have their own way of distribution. Marks and Spencer uses straight distribution channel towards the end user which are economical and fast. Under the case study Mark and Spencer retailer are to be consider where wide range of product and services are to be offered so that it uses internet marketing where customer’s can easy to assess the information about the various product line along with their prices. It is a convenient process towards the customer approach where all the products and services are executed on the same platform. Mark and Spencer retail supermarket product prices are economical and customer approachable. All the customers can willing to pay for its product price. It provide various range of product it targets every age group of customers. Place of the distribution of product and services which can be its branches and home delivery services (Bertoli, 2013). All these mode of channel are economically convenient and suitable for all of the customers. A market entry strategy is a planned method of delivering of goods and services to the target market. There are variety of ways companies can enter in a foreign market. Direct exporting is one of the most appropriate strategy in entering one market where agents and distributors helps in to represent their product in that market. Licensing is the another way where firm transfer their rights to another firm. It basically useful when purchaser of a license exist in the large market share in which company wants to enter. It can use for marketing as well as production. Franchising is a tool for rapid market expansion where firms products easily transferred in to other market. Franchising of a product and services are to be identical and unique along with strong brand, In another way it create strong competition among their franchisee. Partnering is necessary when company wants to enter in foreign markets where culture and their social factors are different so that partnering helps in to promote their own product and services in front of other country customers. Joint ventures are a particular form of partnership that involves the third independent managed company where two companies are agree to work together in a particular either product or geographic and create a third company to undertake this. In this type of ventures profit and risk are normally shared equally or on the basis of their contribution. Acquiring and buying of an existing company are to be the best strategy for entering in other market. Through this company can capture substantial market share and receive direct competition from the existing firm in the new market. Greenfield investment is one of the most appropriate mode for entering in the new market. It's a self dependent mode where company buy the land, build the facility and operate the business on an ongoing basis in a foreign market.

Opportunities and threats are basically correlated factors which are examine with reference to marketing mix elements and market entering strategy. Opportunities can be capture when joint venture of market entering strategy to be adopt because it covers wider market region and have opportunity to serve their services to mass customers. Company also gain competitive advantage in the new market in order to larger revenue. Under this risk and profits are shared equally. Advertisement of product and service marketing strategy is the another key factor for profit generation and mass target and suitable technique for representing their product and services across the world. Internet advertising provides wider platform to access the information regarding to product and its price along with they can analyze their substitute and competitive product which are offered by their competitors.

Task 2

Evaluation the major drivers of globalization

Globalization provides the same entry level to all countries and no barriers for trade. Primary drivers of globalization are the rapid advancements in technology, culture and political environment. Advancements in transportation technology enables intercontinental trade, and it leads the exchange of goods, ideas and cultural factors which influence the large portion of the planet (Berthon, Pitt, Plangger, and Shapiro, 2012). Telecommunication technology allows for the instantaneous exchange of information around the world through the use of telephone, emails and video conferencing. Multinational companies use freight trains, ships and planes for the transfer of products and services. Social and political factors affects the globalization process by the enormous growth in population and facilitate cooperative development of commercial opportunities. Major proportion of the world population is fluent in English so that many of these countries could communicate with the West effectively as well as they can effectively understand the technical and financial aspects of the West form of capitalism. Globalization factors makes greater impact when company wants to enter in an emerging market. Like McDonald's it gives franchisee to different dealers for expanding their business and product line across the globe. Drivers of globalization are advancement in technology which helps in to ordering the food and services online along with home delivery services.

Telecommunication technology creates the world nearer and in accessible manner. Country culture and their norms forces the company to change its product line and their serving methods, various countries has different cultural and social norms which affects the company operations and their productivity. Basically McDonald's provides non vegetarian food products which are acceptable in some country but some of country refuses this due to their culture and against their norms so that company exchange and modification in the company existing product line according to their customer taste and preferences of a particular country. Marks and Spencer globalization success is depended and linked with the numerous key drivers of the overall process. The first beneficial factor is technological innovation which helps in to rapidly globalize their supermarket, due to this company has been able to manage, reproduce and standardize their product across the world. Technology such as video conferencing and emailing with suppliers and visually check their product quality. Through this company can easily communicate with their employees worldwide and evaluate the need of training in order to coordinate all the globally oriented activities.

Another major driver of globalization is the efficient development of transportation system, which allow to quick and affordable migration of their product across the globe. Company utilize freight trains, ship and planes for transferring their product's to their different supermarkets. Every organization can establish their business globally with minimal efforts. Company product line and services to offered according to the country culture and believes so that different product line is to be used in different country in order to meet its customer’s varied demand and wants. Modification in product line is sophisticated and regular according to the customer demand. All the globalization drivers provides supportive background in establishing and expanding the business across the world. Social factors are different in different country so that product line to be designed according to the country norms and welfare of society. Advancement in technology and communication channel spread the network across the world so that all the operations and activities are to be coordinated and manage at a single level. After the globalization business organization expand their business through the use of FDI and Green field investment it provides various opportunities to build and expand their business effectively. Expansion and establishment of business are depend on the level of competition and five forces porter model which are differ from country to country so that marketing strategy are differ according to the country environment and changes with the changes in the environmental factors. Globalization factors are flexible in nature because it varies according to time and changes in certain circumstances. Trade at International level also influence by the fluctuation in the exchange rate of country currency, interest rate and other factors which affects the business operations (Yang, Su, and Fam, 20120. Use of various tools and techniques which are universally acceptable by the world which reduces the barriers for trade in other countries. Globally diversified organization provides various protection tool and other strategy in order to expand and sustain their business. Brand loyalty creates the trust among the customers and retain the customers for a longer time period. Globalization reduces the communication gap between the countries and maintain the relation with each other and have rights to acquire others country technology and strategy towards the effectiveness accomplishment of business objective. Joint ventures and acquisition by the other firm is the strategic tool for the growth of a business because it has its own competitive strategy and know about the market structure to compete effectively and long survival in the market place.

Conclusion

From the above carried out report, it can be concluded that marketing plays an important role in growth and success of an organization. Along with this , it can be also inferred that the role of marketing is to gain information about changing customer needs and demand. From the above carried out report, it can be concluded that Marks and Spencer and McDonald's had adopted different marketing strategies in different countries of the world. It can also inferred that effective marketing practices has helped the brand in attaining higher market share and growth.
Marketing mix strategy and market entry strategy makes a great impact on the success of an organization (Gilligan, and Hird, 20120. Internet advertising provides wider platform to access the information regarding to product and its price along with they can analyze their substitute and competitive product which are offered by their competitors. Globalization are the key driver for establishment and expansion of business in other country and affects these drivers when company want to entering in a emerging market. It reduces barriers for International trade and provide strategic tool for the long survival in the global market.

REFERENCES

Journals

• Berthon, P.R., Pitt, L.F., Plangger, K. and Shapiro, D., 2012. Marketing meets Web 2.0, social media, and creative consumers: Implications for international marketing strategy.Business horizons. 55(3), pp.261-271.
• Yang, Z., Su, C. and Fam, K.S., 2012. Dealing with institutional distances in international marketing channels: Governance strategies that engender legitimacy and efficiency. Journal of Marketing. 76(3), pp.41-55.
• Zhou, L., Wu, A. and Barnes, B.R., 2012. The effects of early internationalization on performance outcomes in young international ventures: the mediating role of marketing capabilities.Journal of International Marketing. 20(4), pp.25-45.
• Cadogan, J.W., 2012. International marketing, strategic orientations and business success: reflections on the path ahead. International Marketing Review. 29(4), pp.340-348.
• Douglas, S.P. and Samuel Craig, C., 2011. The role of context in assessing international marketing opportunities. International Marketing Review. 28(2), pp.150-162.
• Evers, N., Andersson, S. and Hannibal, M., 2012. Stakeholders and marketing capabilities in international new ventures: evidence from Ireland, Sweden and Denmark. Journal of International Marketing. 20(4), pp.46-71.
• Li, S. and Li, J.Z., 2010. AgentsInternational: Integration of multiple agents, simulation, knowledge bases and fuzzy logic for international marketing decision making. Expert Systems with Applications. 37(3), pp.2580-2587.
• Cavusgil, S.T. and Cavusgil, E., 2012. Reflections on international marketing: destructive regeneration and multinational firms. Journal of the Academy of Marketing Science. 40(2), pp.202-217.
• Ruzo, E., Losada, F., Navarro, A. and Díez, J.A., 2011. Resources and international marketing strategy in export firms: implications for export performance. Management Research Review. 34(5), pp.496-518.
• Ruzo, E., Losada, F., Navarro, A. and Díez, J.A., 2011. Resources and international marketing strategy in export firms: implications for export performance. Management Research Review. 34(5), pp.496-518.

Books

• Jain, S.C. and Griffith, D.A. eds., 2011. Handbook of research in international marketing. Edward Elgar Publishing.
• Bertoli, G., 2013. International marketing and the country of origin effect: the global impact of'made in Italy'. Edward Elgar Publishing.
• Turnbull, P.W. and Paliwoda, S.J., 2012. Research in international marketing(Vol. 39). Routledge.
• Morschett, D., Schramm-Klein, H. and Zentes, J., 2015. Strategic international management. Springer.
• Gilligan, C. and Hird, M., 2012. International marketing: strategy and management (Vol. 17). Routledge.
• Terpstra, V., Foley, J. and Sarathy, R., 2012. International marketing. Naper Press.

Online

Internartional Marketing. [Online]. Available through: <http://www.marketing- schools.org/types-of-marketing/international-marketing.html>. [Accessed on 20st March,2017].

UPTO50%

Avail The Benefit Today!

To View this & another 50000+ free

Enter Email

Submit