Global Marketing Concepts

This report explores the concept of global marketing and its strategies for expanding markets. It covers topics such as the glocalisation framework, emerging markets, internationalisation, and market expansion strategies.

GLOBAL
MARKETING
CONCEPTS
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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
The Glocalisation framework......................................................................................................3
Benefits of ‘think globally but act locally’ strategy....................................................................4
Glocalisation and its example.....................................................................................................4
TASK 2 ...........................................................................................................................................5
India- an emerging market..........................................................................................................5
The political risks of India..........................................................................................................5
The economic environment of India...........................................................................................5
The advantages and disadvantages for a UK company in India.................................................6
TASK 3............................................................................................................................................6
Triggers and motives that cause companies to internationalise..................................................6
TASK 4 ...........................................................................................................................................7
Market expansion strategy..........................................................................................................7
CONCLUSION................................................................................................................................9
REFERENCES................................................................................................................................9
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INTRODUCTION
Global marketing is the concept used by organisations where they have to make the
strategies to design, introduce, promote, distribute, etc. the products in the international markets
(Rana and et.al., 2020). It involves planning and creating products for the global market. The
report includes the glocalization framework, emerging markets, internationalisation and
strategies for expanding markets.
TASK 1
The Glocalisation framework
Glocalisation is the process in which organisations enters to diverse markets and meets
the needs of each geography. It is the combination of two strategies of marketing which is
globalisation and localization. This means that the products and services are distributed in the
global market but are according to the needs of customers in the local market. They are the
adaptation to the global products in the local goods. This is an expensive products and use
different resources of the society. It is the economical integration with the use of better quality
products to give good experience to customers (De Mooij, 2019). Glocalization is an effective
approach used by organisations to expand business and make strategies for long term growth. It
helps the organisation to achieve success but when the strategies are made they should be
according to the goals of the organisation and the local market.
Benefits of ‘think globally but act locally’ strategy
 The customers and suppliers will get the experience of a brand whenever they will visit is
despite of the fact which location they are in.
 This has reduced the cost of operations because of optimization of resources. They can
have plants in many countries and improve the quality of products.
 Glocalization helps the organisation to develops the brand and satisfies the needs of
customers, suppliers and organisations across the globe.
 It is an effective approach where the organisation will have the plans for long term
growth and they have to include the cultural differences and characteristics of their
marketing strategy in new products.
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Glocalisation and its example
The organisations should have to be consistent in selling in the international markets.
Glocalisation helps the organisations to achieve profits which expanding the businesses in the
global markets and be relevant to the local markets.
For example
 McDonald is the biggest brand who have successfully adapted the strategy of
Glocalisation and have invested in different markets. They are the masters of different
markets and have adapted the culture of different cities and their every outlet follows
strict policies and franchising. The organisation has quickly adopted the taste of different
cultures and has satisfied the needs of customers (Agarwal and Wu, 2018). There popular
dishes which are available in different markets are McRice Burger in south east Asia,
Black and white burger in China,etc.
 The marketing strategy for Red bull for Glocalisation is completely different where they
have used the packaging their USP to enter into different markets. The organisation used
gold and red colour as their packaging in China market where Red is the symbol of good
luck and gold is the symbol of wealth and happiness.
 Kellogg use different variety of corn flakes which is used in different market to satisfy
the needs of customers. It has to change it marketing strategies in Asian countries where
they were not getting sales.
TASK 2
India- an emerging market
India is a market economy where the prices of the goods and services are determined in a
free price system. The culture of India and its business environment, practice, negotiations is
making it one of the best economies to expand the business. The foreign direct investment,
increasing exports and imports is the main vehicle of the success of the organisations (Quelch,
2017). The economy is focussing on education and literacy and the GDP is increasing. The
country is making the business environment comfortable for the organisations to invest and the
availability of labour is making it effective to work.
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The political risks of India
The political risk on India is not affecting the business of big companies. They market is
effective for the organisations and they have good policies. The foreign direct investment is
making the market attractive for the big companies. The demand for the goods and services gets
affected when there is a political uncertainty in the economy and this will make the service sector
of India suffer. The government has to invest from the reserves which make the effects of
inflations and political risks decrease but it will impact the financial stability of the economy.
The economic environment of India
India is one of the biggest supplier of cost effective raw materials and manufacturing of
goods and services. The customers of India are divided on the bases of the socio-economic
cultures. The literacy is growing and making it an emerging market for the big companies to
invest. The growth rate and the possibility of returns are high in investing in the markets of India
and the economic conditions of the market is getting better so they will be able to make profits
(Crane, Kawashima and Kawasaki, 2016). The demand and supply of goods and services are
constant and the organisations can get success when they are adapting the culture of India.
The advantages and disadvantages for a UK company in India
 Advantage- The organisation of UK can achieve the goals by investing in Private
companies or can have a FDI in India because it is the asset for the economy. They are
getting benefits of its IT sector, textiles, pharmaceuticals, outsourcing, etc. There are
many resources in India like labour, political stability, financial benefits, culture, etc.
which makes it the better for the UK companies to invest and helps them in achieving
success (Schlegelmilch, 2016). The government is controlling and monitoring the
economy and have policies for helping the people of the country.
 Disadvantage- There is a real progress in the economy if India but the financial position
is not stable. The public sector is the most important sector for the country but India's
Public sector is not making profits. The development of the country is less because the
debts are increasing and affecting the fiscal conditions of India. There are many problems
like inequality in customers, cultural differences, environmental issues, lack of skilled
labour can make it difficult for UK companies to achieve profits.
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TASK 3
Triggers and motives that cause companies to internationalise
The organisations are operating domestically and are making it a success by making
strategies to grow and expand. The new mindset and motives of the organisation is making them
strong and the factors which are triggering them is making them successful in the global markets.
The factors that trigger the organisations to internation markets
Uniqueness and exclusivity- The expansion of the organisation in the global markets
will give them the access to understand the different cultures and helps them in satisfying
customers. The organisations will move to different markets and get the exclusivity which will
make them unique and get the first mover advantage. The competitive advantage will trigger the
organisation to expand the business and get the exclusivity. The distinctive attributes of the
products which is not available to customers in different markets will make them successful in
the international markets.
Expanding to international markets can helps the organisations to achieve the desire of
increasing profits and branding globally (Agarwal and Wu, 2018). There are different resources
of the countries which are useful for the organisations can be found in international markets like
skilled labour, reduced direct cost, etc.
Example, Graze is a snack retailer of UK which is triggered to grow in the market of
America because the snack eating customers were increasing and making it the first mover
advantage for the company to grow. The focus of the organisation is fast growth and return on
investment. They were analysing different markets and planning increase customers and there
were getting triggered by the increasing demand of US market.
The factors that are the motive of the organisations in international markets
Diversification of risk- The organisations have the motives to diversify in different
markets and it will help them in managing the risks. The organisations can achieve profits when
they diversify the business in different markets and satisfy the needs of customers. The
organisations are affected by the external environment of the countries and its influence of the
behaviour of customers (Schlegelmilch, 2016 ).
The expansion is the strategic decision of the organisation and its motive is to increase
profits. The organisations in the diversification strategy is focussing on increasing profits and
helping them to diversify in new markets. It is the best strategy to expand business in the global
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markets where the products and services are based on providing satisfaction to customers and
give them the experience of the strategies of the organisation.
Example, Apple is manufacturing its raw materials in different countries to reduce the
cost of labour and increasing flexibility. They are manufacturing in bulk and require labour
which is important for reducing the operating cost. They have redesigned the screen which were
involving costs and making products which cannot be made in domestic markets.
TASK 4
Market expansion strategy
Waterfall approach versus the shower approach
Waterfall marketing is a method in which the marketing strategies are in moving
downwards and the organisations are planning to make the market needs. The strategies will be
according to the different factors which will come in the downwards marketing strategies where
as shower marketing is the process of improving the marketing strategies across the departments
(Tuleja, 2016). It is a marketing strategy for cross functioning and the departments are organised
for better performance.
The strategies are different in waterfall marketing and shower marketing and the waterfall
marketing is focussing on the strategies marketing and every decision of the organisation is
planned, discussed, analysed and controlled which will involve efforts of the organisation where
as shower marketing is the fast where the marketing strategies are made for the short term. They
are not making the strategies to reduce cost, doing things less effectively but they are making the
strategies good which can have the analytical skills to make the strategies.
The waterfall marketing is flexible where the organisations can make improvisations to
improve the performance of the employees. They are trained to make the strategies which are
divided to get it right where as shower marketing involves cost and the strategies made should be
effective and they cannot be improved. The management has to make the strategies for getting
success (Hamilton and Webster, 2018).
The waterfall marketing is useful for the organisations where the operations is unique and
costly it takes efforts to make the strategies and they will be involved in many practices which is
important. The research and marketing of the organisation should be the most important
department because the success will be based on the strategies made by the organisation where
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as shower marketing is used when the organisations have to make strategies for achieving the
goals in the short term.
Example, Xplace is a start up having freelancer services and having businesses in three
countries used the waterfall marketing strategy. It was easier for the organisation to identify the
critical path and maintain the quality of products. It provided the solution to the organisation and
it is flexible to understand the needs of customers (Boshyk, 2016). Xplace is using waterfall
marketing for every projects and they have saved 25% of the project time and 18% cost where as
LEANability is a organisation focussing on reducing the cost and are getting profits fast which is
making it effective for the organisation.
The waterfall marketing strategy is helpful in providing the quality of products in an
organisation which is measured throughout the project where as in Shower marketing is
measured when the project is completed and helps the organisations in making strategies.
CONCLUSION
From the above report it is concluded that the organisations have to make strategy to
expand in new market which is important for achieving profits. They are providing different
products to customers by analysing the needs and providing satisfaction to customers. The
marketing strategies should help the organisation to get success in the international markets and
helps them in deciding which strategy they should use.
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REFERENCES
Books and Journals
Rana, S. and et.al., 2020. Determinants of international marketing strategy for emerging market
multinationals. International Journal of Emerging Markets.
De Mooij, M., 2019. Consumer behavior and culture: Consequences for global marketing and
advertising. SAGE Publications Limited.
Agarwal, J. and Wu, T., 2018. The changing nature of global marketing: a new perspective. In
Emerging Issues in Global Marketing (pp. 3-11). Springer, Cham.
Quelch, J.A., 2017. Global marketing management: a casebook.
Crane, D., Kawashima, N. and Kawasaki, K.I. Eds., 2016. Global culture: Media, arts, policy,
and globalization. Routledge.
Schlegelmilch, B.B., 2016. Global marketing strategy. Cham: Springer Nature.
Agarwal, J. and Wu, T., 2018. The changing nature of global marketing: a new perspective. In
Emerging Issues in Global Marketing (pp. 3-11). Springer, Cham.
Schlegelmilch, B.B., 2016. The Future of Global Marketing Strategy. In Global Marketing
Strategy (pp. 221-249). Springer, Cham.
Hamilton, L. and Webster, P., 2018. The international business environment. Oxford University
Press.
Tuleja, E.A., 2016. Intercultural Communication for Global Business: How leaders communicate
for success. Taylor & Francis.
Boshyk, Y. ed., 2016. Business driven action learning: Global best practices. Springer.
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