Global Marketing: Market Selection and Entry Strategies

GLOBAL
MARKETING

Table of Contents
1.0 Introduction to report.................................................................................................................3
2.0 Summaries from project 1..........................................................................................................3
3.0 Screening of market selection....................................................................................................4
3.1. The five stages of overseas market selection process...............................................................7
3.1.1. Reason to choose your country..............................................................................................8
3.2. Objectives.................................................................................................................................9
4.0 Alternative market entry strategies as a new company............................................................10
4.2. Market selection process.........................................................................................................11
Positioning.....................................................................................................................................12
4.2.1. Target market selection process through alternative entry modes to country of choice......12
4.4. Alternative generic strategies..................................................................................................13
5. Recommendations for preferred strategy for Country...............................................................13
5.1. Market entry mode..................................................................................................................14
5.2. Target market..........................................................................................................................14
5.3. Positioning strategy.................................................................................................................14
5.4. Generic strategy......................................................................................................................15
REFERENCES..............................................................................................................................16

1.0 Introduction to report
Global marketing can be referred to as the business practices and approaches that are
employed by an organisation as it intends to adjust and apply its marketing strategic course of
action upon a specific country (De Mooij, 2019). This is one of the most essential aspects that
needs to be taken into consideration while gaining entry into a new nation. In other words, it can
be said that global marketing is a wide concept that encompasses sale, creation and positioning
by way of promotion of products at an international scale. In this regard, it is usually seen that
companies carry out extensive market research before gaining entry into foreign market.
The present report is based upon Baker's Delight which is a well renowned and
established Australian franchise chain, having outlets spread across the confines of New Zealand
and Canada. This organisation intends to carry out expansion of its business activities within the
South-Asian market by gaining access into Sri Lankan bakery market. The report consists of
summary of Project 1, screening of market selection, overseas market selection procedure,
rationale for choosing specific nation. Also, it put light on organisational objectives, alternative
market entry strategies as a new company, target market selection process through alternative
entry modes and many more such strategies.
2.0 Summaries from project 1
The Project 1 was based upon global marketing which is regarded as a structural set of
activities and practices aimed at adjustment of strategies by a corporation with the sole motive of
adapting to the business scenario of that country. The project was based upon Baker's Delight,
an Australian organisation functioning within Australia and operating by way of franchise chain
within New Zealand as well as Canada. The project saw the decision undertaken by entity to gain
access into South-Asian market by choosing Sri Lanka as the target market. To ascertain the
viability of this market, extensive research was conducted within the project. This helped in
ascertainment of opportunities as well as challenges which prevail within the confines of Sri
Lankan market place. A number of strategic models such as PESTLE, Porter Five Force and
more were taken into use to gain knowledge of the macro environmental scenario. After the
extensive market research conducted upon Sri Lanka, it was acknowledged that the nation is not
much flexible when seen in terms to adaptation to technological advancements. Further, there is
also a price control policy enforced within Sri Lanka to save the economy. This is having a

massive impact upon the profitability of corporations pertaining to this country. Further, the
industry analysis revealed that extensive rivalry persists within bakery sector of Sri Lanka. Also,
the bargaining power of buyers is high which poses threat to the sustainability of companies
belonging to this region. To encounter this, one probable solution that was recognised was to
exercise cost control so as to bring down the overall cost of company. Yet another solution that
was proposed was to constantly examine and evaluate the strategies adopted by rivals to come up
with better course of action. Irrespective of the challenges identified to be associated with
carrying out operations in Sri Lanka, the project reached to the conclusion that the place holds
great potential for the growth and development of Baker's Delight. Some of the opportunities
related to this place are low bargaining power of suppliers (facilitating ease availability of raw
material). It was also determined that the county maintained high level of literacy rates which
imply easier employment of staff. Lastly, the nation is well equipped in the context of FDI
implying easier availability of funds.
3.0 Screening of market selection
For the screening of market selection, AUSTRADE rating model is taken into use. This is
a framework whereby Australian Trade Commission created two grids which tends to compare
attractiveness of overseas market with the competitiveness of Australian company with a view to
ascertain the benefits of gaining entry into a certain market.
Elements to be rated (a): Market
CRITERIA AUSTRALIA SRI LANKA
Characteristics of the market 3 4
Competitive conditions 5 4
Financial and economic conditions 4 5
Legislative and socio-political conditions 3 3
Elements to be rated (b): Firm
Management characteristics 3 4
Marketing characteristics 4 5