Global Marketing plan Assignment

Global Marketing plan-
Harvey Water Softeners

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
1. Business objectives.................................................................................................................1
2. Country Screening and detailed screening of top two nation form six available ...................1
3. Market segments – segmentation, positioning and targeting..................................................2
4. Marketing objectives...............................................................................................................3
5. Entry modes selection.............................................................................................................3
6. Global Marketing Mix.............................................................................................................5
7. Promotional element of the mix of cost-global marketing budget .........................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Global marketing is operating a business internationally and selling their products and
goods in international market by applying all the tools of marketing such as planning, producing,
placing, promotion in the worldwide to sell its products(Datta, Ailawadi and van Heerde, 2017).
This report is based on the Harvey water softener is SME UK based company which is family
run manufacturer that produce the water treatment products.
This report will include the business objective of the Harvey water softer as SME and
how it achieved this objective in global market. This will also include the selection of the
country and the reason of choosing that country to operate business. Further more it will explain
the market segments and also explain how marketing will help the company to achieve its
objectives. This report will also include the strategies to bring their products in the global market
and also explain the global marketing mix to generate the customer value globally. Further it will
include the global marketing budget for the promotional marketing mix element.
1. Business objectives.
Business objectives are the result to achieve the growth of business. That are help to
make the effective and valuable for the company and also for reach out that. Harvey water
softener has their clear goals and objectives are as follows:
 To minimum of 50000 in gross sales and costed promotional in the first year of the plan
and break even point.
 To enhance the customer satisfaction and an experience.
2. Country Screening and detailed screening of top two nation form six available
Harvey water softeners is the number of one manufacturer in the UK. It delivers
beautifully softened water removing hardness minerals from mains water supply. Company is
operated in mainly six nations like Canada, Brazil, Nigeria, Vietnam, Turkey and Russia.
General Characteristics Nigeria Russia
Government Federal republic Federation
Economy as GDP $262.61 billion $2.01 trillion
1

For screening the nations, company is selected the MACS which is stands for market
attractiveness and competitive advantages (Zimmerman and Blythe, 2017). It is the framework
which offers systematic approach for the multi-business corporation to prioritize its investments
between its business units. The key insight of MACS is which ability to extract value from the
business unit in the corporation.
Market Attractiveness:
It involves market segment, growth, transport and support costs, marketing mix
adaptation costs, competition and overall risk like corruption, political stability among the both
of nations (De Mooij, 2018.). Therefore, Harvey water softeners needs to determine all the
factors in relation to market attractiveness.
Competitive Strengths:
It includes perceived advantage, superior, product leadership, brand leadership, first
mover advantage and marketing skills etc. between the both nations. Therefore, Harvey water
softeners needs to determine all the factors in relation to competitive advantages (Taylor, and
Okazaki, 2015.). With this, company is determined competitive strength within the industry.
Country Screening Process:
There are various stages of country screening process which is utilised by company while
they are entering into international market and nations. Such as:
 Select the segment criteria for goods and services, Identify the target consumers and
Creating the position by utilising the techniques in the market.
 Analysis the data and filtering less promising nations.
 Selecting the most Promising nations which is used by company while they are entering
into international market and nations.
3. Market segments – segmentation, positioning and targeting.
Market segment, positioning and targeting are as follows:
Segmentation
A process of breaking a total market into smaller. It is identifying all segments for the
product and services. It is also has the objectives which are help to find attractive market. That
are includes the break market into components. Regroup into market segment and select which
segment is your target. Harvey water softener is target geographic segment in which manager are
includes the nation, region and city. This help to take decision according to thee cities and its
2

culture. This company is also target to the consumer behaviour or needs. This helps to managers
of company is taking decisions for making product and their services according to the needs of
customers. Water is the basic needs of peoples in this are take care of usage rate, origin and
loyalty for their product and its production services (Camilleri, 2018).
Targeting
Targeting section based on the segmentation part. Company is target to the nation, cities
and region according to that they are make product and their services for launching that. Target
is based on the sophistication and knowledge to potential mates in the out of them. Manager of
Harvey water softener is target to the consumer's behaviour and needs. In that they are take care
of needs and wants of customers, usage rate, adoption stage, brand, origin and loyalty for their
customer. This is stable and accessible for me company and management. This is the real goal
and objectives in market that marketer wants to reach it. Target is help to make the effective and
valuable changes for the company and its growth.
Positioning
Positioning is the essential component and skill for good marketing. It is important to
understand the level of competition because of positioning applies at all levels of competition.
Position of product and services are help to make the effective and valuable brand image in the
customer mind. This is the whole value proposition are help to make the effective and valuable.
Harvey water softener is company ans its have their competitors on the very small level (Pyo,
2015).
4. Marketing objectives.
Marketing objectives are help to achieve business objectives of Harvey water softeners.
 To increase the sales 50000 in the year
 To increase sales volume 5000 units in the years 1 or 2 years.
 To target segment up to the 6% unprompted recall rate by end of year.
5. Entry modes selection.
Foreign market entry modes or participation strategies differ in risk they present the
control and commitment of resources they are required and the return on investment they
promise. There are different types of entry modes are as follows:
Licensing
3

Licences is the rights for exchanges rights between the two parties and transfers all the
rights to the licensee's name in the target company in exchanges for payment. This entry mode, a
licensor make limited rights and resources available to the licensee in the host country. Manager
of Harvey water softeners will use the licensing for introduce new product in the market. In this
company is permit to other company for promote, sale, manufacture their product and services
for the future growth of company (Kotler and et.al., 2017). Management of company when
follow this licensing then they have advantages and disadvantage which will happens in the
future that are as follows:
Advantage
 By this company obtain extra incomes for technical services. Reach out to new market with new product.
Disadvantage
 Lower income from the other entry modes.
 Risk of having the trademark and goodwill of partner firm.
Franchising
Its means that company is transfer right to use their product for make profits with uses of
company trademarks in return for annual fee royalty on revenue. That agreements tend to be the
long time and also franchisor offers a boarder packages of rights and resources such as
equipments, managerial system, operational manual, training and also support to franchisee.
Manager of Harvey water softener can use this for earn extra profit and productivity of business.
This helps to gain profits and also valuable brand at marketplace (Swoboda, Elsner and Olejnik,
2015). By this company will face the advantage and disadvantage are as follows:
Advantages
 Low political risk and low cost Well selected partner bring financial investment as well as managerial capabilities to the
operations.
Disadvantages
 Maintaining control over franchisee may difficult.
 Legal disputes may create conflicts between the parties.
Joint venture
4

There are having five conman objectives in a joint venture such as market entry, risk or
reward sharing, technology sharing and joint product development with conforming by
governments rules and regulations. Manager of Harvey water softener will use this for effective
use of other company technology. In this manager can use other company's technologies of
product manufacturing also for product development (Cheptegei and Yabs, 2016). By this
company is face the some advantage and disadvantage in the future that are as follows:
Advantage:
 Joint venture provides the opportunity to gain new insights and expertise. It is the temporary arrangement between company and another.
Disadvantage
 In that flexibility is restricted and participants are focus on the joint venture.
 In that both companies are work together and this creates great imbalance between the
assets and investments.
6. Global Marketing Mix
Marketing mix is the most useful set of controllable marketing tools that involved the
products, price, place, promotion, distribution and many more tools that is used top generate the
value of the products in the global market. Harvey water softener uses the 4ps of the marketing
mix to sell their products in the global market also for increase and maintain sustainability of
their products in the global market. These tools include:-
Product:-
For selling their products Harvey water softener launched its unchanged products in the
global market. On the basis of the nature of the products customers also utilise them in the same
way. This is comfortable strategy and inexpensive for the Harvey water softener that they not
have to produce new products as it is SME that does not have such capital to produce new
products every time in the new country. On the basis of the feedback and reaction of the people
and customers they can make changes in their product strategies for increase the sell in global
market. And adaptation of the product in the global market is fail they can make changes in the
products to meet the need of the customers, such as size, symbols, colour, packaging, quality and
many more which customer do not like(Bahadir, Bharadwaj and Srivastava, 2015). Harvey
water softener company have strong machinery to reduce the quantity of the sodium from the
5

water that shows the quality of the products and give assurance and guarantee to the customers
for reliable products.
Price:-
Price setting at international level is difficult and complex. To setting price of t he
products Harvey water softener must consider some factors like transportation cost, import
duties, exchange, currency rate of that country, economic situation of that country that the people
of the country will be able to pay the price and price of the competitor's products. Price is the
main key that also attract the customers to buy things. Harvey water softener can set their price
lower than the competition in the market but in a way that they can also make profit from the
products(Steenkamp, 2017). Customers compare the price of different products and then
purchase the products which is suitable and give quality as according to their economic
condition(De Mooij, 2018). Harvey water softener company is using cost effective and
competitive pricing strategy for their product price. There pricing are lower that helps to enhance
their market segment because of their pricing, it targets all market segment higher, middle and
lower level market and provide the best quality products to the customers with lifetime servicing.
Place:-
Selection of the place is also important and main thing to sell the products and services
by the Harvey water softener. Selling the product at right place at right time increase the sell and
also help to maintain the sustainability of the products in global market. Before setting up the
market place of the country, Harvey water softener have to search that country in which the
company wants to operate and sell the products, in which company must consider the economic
condition of the country, political environment, transportation rate, interest rate and import duty
rate to enter in the counter and producing products. After setting a country Harvey water softener
set a plan for the target market in which they sell their products. Segment market should be like
where the range of the substitute products are low like water filter, dozing water bottle, block salt
and any other products are not available or competition is low, but availability of the customers
is high in this market Harvey water softener can launch their products that increase the demand
of the products by low level of the substitute and competitors products in the market(Gillespie
and Riddle, 2015). Harvey water softener company is used direct distribution strategies for their
product distribution.
Promotion:-
6

Promotion refers to that action and activity which is apply by the company to sell the
products in market that gets the company name out in the public eye in positive way. Harvey
water softener can use various forms of the promotion like paid promotion, public appearance
and events, discounts, sale, freebies, contests, social media marketing, referral marketing and
many more that attract the customers toward the company and its products to buy again and
again. But for the promotion Harvey water softener company have to decide their promotional
activity on the as accordance with the competition like what promotion techniques they are
applying to promote their products, company have to set the budget for their promotional events
and how that budget will implemented in the promotion. Harvey water softener company makes
a strategy that is they provide discounted prices to the customers also free services for lifetime of
their product. These strategy helps to Harvey water softener company to enhance their sales and
profitability of the organisation as well as attract more customers to the company. It also
enhances the brand image of the organisation. Harvey water softener company mainly focuses on
direct marketing strategy for their product promotion.
7. Promotional element of the mix of cost-global marketing budget
Promotional budget is specified amount of money set aside to promote the goods and
values of business or company. These are made to anticipate the essential costs associated with
growing business and maintaining brand image (Zimmerman and Blythe, 2017). It is the
necessary to make budget for introducing the new products and services within the new market.
With the help of it, Harvey water softeners ensure that spending the money of different factors
accordingly. Therefore, company needs to ensure that make and implemented appropriate budget
for promoting and developing new product and services within the marketplace.
Particular Amount (£)
Social Media £6000
Public Relation Press £3000
Promotional samples £4000
Launch event £6000
Endorsement £2000
Television £2000
7

TOTAL £30000
The budget is frequently set according to percentage of sales and profits in relation to
maintain an expected growth rate. Promotional budget normally involve money put towards
advertising across channels such as television, internet like social media and print. It also
includes expenditure for email campaigns, social media reaching and outdoor collection. The
promotional budget can also go towards hiring externally experts and consultants who evolve the
campaigns and place advertisement in appropriate media and areas (Steenkamp, 2017). This can
involve contracting marketing intelligence companies to interpret data which shows of spending
on marketing translate into new and recurring business for the company. The promotional budget
can not have changed the way the money is divided up can have. Companies regularly measure
the return on investment from the promotional budgets.
8

REFERENCES
Books and journals
Bahadir, S.C., Bharadwaj, S.G. and Srivastava, R.K., 2015. Marketing mix and brand sales in
global markets: Examining the contingent role of country-market characteristics. Journal
of International Business Studies. 46(5). pp.596-619.
Cheptegei, D.K. and Yabs, J., 2016. Foreign market entry strategies used by multinational
corporations in Kenya: A case of Coca Cola Kenya Ltd. European Journal of Business
and Strategic Management. 1(2). pp.71-85.
Datta, H., Ailawadi, K.L. and van Heerde, H.J., 2017. How well does consumer-based brand
equity align with sales-based brand equity and marketing-mix response?. Journal of
Marketing.81(3). pp.1-20.
De Mooij, M., 2018. Global marketing and advertising: Understanding cultural paradoxes.
SAGE Publications Limited.
Gillespie, K. and Riddle, L., 2015. Global marketing. Routledge.
Kotler, P. and et.al., 2017. Marketing for hospitality and tourism.
Pyo, S., 2015. Integrating tourist market segmentation, targeting, and positioning using
association rules. Information Technology & Tourism. 15(3). pp.253-281.
Steenkamp, J.B., 2017. Global brand strategy: World-wise marketing in the age of branding.
Springer.
Swoboda, B., Elsner, S. and Olejnik, E., 2015. How do past mode choices influence subsequent
entry? A study on the boundary conditions of preferred entry modes of retail
firms. International Business Review. 24(3). pp.506-517.
Taylor, C. R. and Okazaki, S., 2015. Do global brands use similar executional styles across
cultures? A comparison of US and Japanese television advertising. Journal of
Advertising. 44(3). pp.276-288.
Zimmerman, A. and Blythe, J., 2017. Business to business marketing management: A global
perspective. Routledge.Camilleri, M.A., 2018. Market segmentation, targeting and
positioning. In Travel Marketing, tourism economics and the airline product (pp. 69-83).
Springer, Cham.
9