International Marketing: A Case Study of Vision Security Group

This report examines the international marketing strategies of Vision Security Group, a UK-based security solutions provider. It explores the rationale for international expansion, key criteria for market selection, and various market entry strategies. The report also delves into the global versus local debate, analyzing how product, place, pricing, and promotional approaches differ in international contexts. Finally, it compares home and international orientations, outlining methods for assessing competitors and the implications of each approach.

INTERNATIONAL MARKETING
VISION SECURITY GROUP

Table of Contents
INTRODUCTION..........................................................................................................3
LO1...............................................................................................................................4
P1 THE SCOPE AND KEY CONCEPTS OF INTERNATIONAL MARKETING.......4
P2 THE RATIONALE FOR VISION SECURITY GROUP TO MARKET
INTERNATIONALLY AND THE VARIOUS ROUTES TO MARKET THAT VSG
CAN ADOPT.............................................................................................................7
LO2...............................................................................................................................9
P3 THE KEY CRITERIA AND SELECTION PROCESS THAT CAN BE USED BY
VISION SECURITIES GROUP WHEN CONSIDERING WHICH INTERNATIONAL
MARKET TO ENTER................................................................................................9
P4 THE DIFFERENT MARKET ENTRY STRATEGIES, INCLUDING THE
ADVANTAGES AND DISADVANTAGES OF EACH..............................................12
LO3.............................................................................................................................14
P5 AN OVERVIEW OF THE KEY ARGUMENTS IN THE GLOBAL VERSUS
LOCAL DEBATE.....................................................................................................14
P6 THE MANAGEMENT TEAM OF VISION SECURITY GROUP WOULD LIKE
YOU TO INVESTIGATE HOW THE PRODUCT, PLACE, PRICING AND
PROMOTIONAL DISTRIBUTION APPROACH DIFFERS IN A VARIETY OF
INTERNATIONAL CONTEXTS...............................................................................15
LO4.............................................................................................................................16
P7 THE VARIOUS INTERNATIONAL MARKETING APPROACHES VISION
SECURITY GROUP CAN ADOPT.........................................................................16
P8 COMPARE HOME AND INTERNATIONAL ORIENTATION AND WAYS TO
ASSESS COMPETITORS, OUTLINING THE IMPLICATIONS OF EACH
APPROACH............................................................................................................18
CONCLUSION AND RECOMMENDATIONS............................................................19
REFERENCES...........................................................................................................20

INTRODUCTION
Vision Security Group is a local company that serves security solutions to
businesses in an innovative way for the UK and Ireland and delivers best customer
services to its clients. They focus on driving maximum value by maintaining effective
relationships with customers. The number of employees employed by it accounts to
7,500 and it serves nearly 2,000 locations. It serves many sectors namely corporate,
manufacturing, public sector, shopping centres and retails and many more
(Eteokleous, et al. 2016).
As a marketing consultant of Vision Security Group, we will focus on the international
marketing that helps to achieve the business strategies internationally and will also
explore the ways to enter the international market. An effective marketing plan will be
laid out that is adaptive and standardize in international markets too. This report will
help to draw out the major differences within the local and the global marketing and
will also discuss the marketing mix used by Vision Security Group. Analysis of the
competitors will also be presented that will help to compare the orientation at local as
well as international level.

LO1
P1 THE SCOPE AND KEY CONCEPTS OF INTERNATIONAL MARKETING
When marketing activities are carried out in more than one country by applying the
principles of marketing then it is termed as the international marketing. It is also
referred as the global marketing which aims to focus on the various physical
locations, product markets and customer groups (Armstrong, et al. 2016).
The marketing mix decisions also varied from one country to other and the decisions
regarding the same are undertaken by coordinating the marketing strategies across
the globe. This is a strategy that lays its foundations in the local country but has
offices in different countries. It is marketing the company’s products and services
beyond the local country’s border (Papadopoulos and Heslop, 2014).
Fig.1: Difference between Domestic and International marketing
Source: https://keydifferences.com/difference-between-domestic-and-international-
marketing.html
Domestic marketing International marketing
 Serves small area and markets
within geographical boundaries of
nation
 Low governmental intervention
and operations of business carried
out in a single nation
 Less risk factor and capital
requirement (Katsikeas, 2018)
 Little research required
 Same customer base and
preferences
 Serves large area and carries
marketing activities over
geographical areas beyond
country (Katsikeas, 2018)
 High governmental interventions
and business operates in more
than one country
 The very high risk involved with
huge capital requirement
 Deep research required
 Variation in customer preferences

Fig.2: Scope of International Marketing
Source: https://businessjargons.com/international-marketing.html
The scope of international marketing
In order to explore the prospective markets, it is essential to grab information about
those markets and to generate full awareness about them so that the product and
services can be well promoted.
The scope of the international marketing covers the followings:
 Imports
It is that function of the international marketing where the goods and services are
brought into the local countryside from the other foreign country in order to hike the
production lines and to resale quality products to the potential customer base. This
brings closure to the desired objectives by rendering appropriate solution (Morschett,
et al. 2015).
 Exports
In this, the local company may go for sending the products to the international
markets which results in lending huge revenues. This helps in cost covering which
will lead to hike in profitability and will boost the growth of the company in the
international markets too.
 Joint venture
Under this, the local company can go for collaboration with another brand for a
specific period of time so as to pursue the goal which was not possible to achieve
individually. This also helps to transfer the risks of losses as it helps in generating

huge value for the company which raises the scope of the business through
international marketing.
 Contractual agreements
While practising international marketing the scope renders the contractual
agreements to the local company that may enter into agreements on the contract
basis and this is usually done on the terms of licensing for co-production or to gain
technical assistance.
 Strategic alliances
In order to gain over the competitors and to retain the advantages international
marketing render better scope to the companies who are thinking to go global. This
goes further by entering into alliances with the competitors so as to lessen the scope
of competition and to increase the innovative flow and flexibility of the firm (Hoppner
and Griffith, 2015).
 Management contracts
In the scope of international marketing, the management contract also falls that
helps in achieving the skilled labour forces through a contract. The labours forces
are supplied here by the supplier according to the terms of the contract which helps
in better results (Armstrong, et al. 2016).
Thus international marketing helps in increased economies of scale and will help in
achieving better market share by elongated product life and high profitability.

P2 THE RATIONALE FOR VISION SECURITY GROUP TO MARKET
INTERNATIONALLY AND THE VARIOUS ROUTES TO MARKET THAT VSG CAN
ADOPT
For a company to market internationally there are many reasons that help it to refrain
from the competition and to better explore the international market opportunities.
Vision Security Group is planning to move into international marketing so as to focus
on the markets in foreign markets, the rationale for this decision is as under:
 As domestic markets of Vision Security Group are saturated so it becomes
difficult to raise profits and sales targets. So to market internationally will solve
this issue for Vision Security Group.
 As the growth of its domestic markets is slow it wants to now expand
internationally and grow incrementally so it has opted to go for international
marketing as it will help them to obtain the sales of their security solutions
from the international markets too (Eteokleous, et al. 2016).
 In order to spread the risks in terms of economic parameters like size, market
development stage, growth rate and so on Vision Security Group’s decision to
market internationally will render solution.
 It has decided to market internationally due to the reason that it can now
increase the market share and profits and can strengthen its profits and
revenues in a consistent manner.
 Vision Security Group has realized that the growth in the domestic market is
limited so they now are preparing to compete with its competitors at
international level.
 By maintaining the competitively internationally Vision Security Group can
render protection to its domestic markets too (Morschett, et al. 2015).
Fig.3: Reasons for companies going global

Source: http://www.yourarticlelibrary.com/business/8-reasons-why-most-
companies-prefer-to-go-global-explained/13176
There are many channels that can be used to enter into an international market
which will determine the success in the overseas market. Every route has its own
advantages and disadvantages.
There are various routes to market that an organisation can adopt which are as
under:
1. Set up an office at overseas territory- In this route to market the company
can incur a high cost and will prove to be a venture with high-risk associated.
Some benefits that this route will render are that it will render to customers the
feeling of commitment and will help to render after-sales support to all
countries. On another hand, it will also create cultural clash within the export
office and the home market and will also attract huge setup costs
(Demangeot, et al. 2016).
2. Working with an agent in the international market- The sales agents that
are worked with internationally help in rendering the information about the
products and services to the customers in the international market and will
invoice directly. It also attracts commission fees. This route to market allows
effective knowledge from an agent about the target market and will render
better position by establishing effective relationship internationally. This will
render better control over the price and the brand image as compared to have
a distributor in the foreign country. In this the ownership to the customers and
route to market lies with the agent and some control is lost over marketing
and brand image (Hoppner and Griffith, 2015).
3. Reach directly to a client- This will involve face to face meeting with the
customer in the international market which will help to maintain close
relationships with client and will help to maximise the profits as there is no
third party involved. But on another hand, the extensive [paperwork will
consume time and there will also be difficulty in rendering assistance after the
sale.
4. Attend exhibitions and tradeshows- This will render better research to new
markets as this will allow exhibiting the products overseas to find new
prospects of the products.
5. Trade missions- These are the overseas programs that are funded by the
government which involves meetings with foreign industry executives to
establish networks (Strizhakova and Coulter, 2015).
Vision Security Group can access the market through an agent of independent reps
that will be paid on a commission basis and will establish relationships with the buyer
and take advantage of all the opportunities by rendering them the best security
solutions and enhancing the brand image internationally.

LO2
P3 THE KEY CRITERIA AND SELECTION PROCESS THAT CAN BE USED BY
VISION SECURITIES GROUP WHEN CONSIDERING WHICH INTERNATIONAL
MARKET TO ENTER
In order to make the sound decision relating to the choice of the international market
which must be entered Vision Security Group should understand the key elements
and the criteria that will guide it towards effective choice and opportunities which are
as under:
KEY CRITERIA FOR CHOOSING RIGHT INTERNATIONAL MARKET
1. Cultural factors- While choosing an international market some factors that
impacts include the taste and preferences differences with the languages that
vary which may act as the barrier for the local company seeking to expand
(De Mooij, 2015).
2. Economic factors- In order to discover prospective target market the per
capita income, class structure, supply and demand and the other financial
services and factors should be taken to determine the right international
market.
3. Political factors- Some of the political factors like stability in the foreign
country, restrictions of operation, and investment restrictions should be
considered. Some factors such as currency risks and the laws and regulations
must also be considered.
4. Intangible factors- Some intangible factors such as regional partnerships
and the environmental factors should also be considered while international
marketing as it may have the negative or positive effect on the marketing
strategy of Vision Security Group. One may need to be aware of the natural
disasters and the local business practices and customs of the foreign
countries should also be studied well (Cavusgil, et al. 2014).
PROCESS OF INTERNATIONAL MARKET SELECTION
The most important decision for Vision Securities Group will be of market selection
that considers an evaluation of various elements and criteria that align with the
resources of the company and the objectives. Some series of actions will be
undertaken by Vision Security group which will help to reach effective market choice.
 In a first step, the objectives of Vision Securities Group will be ascertained
that will be undertaken while selecting the market which can add to the
achievement of the objectives.
 In next stage, the criteria for evaluation will be laid out for all the markets such
as resources, international environment, nature and situation of competition
present there and other policies and practices.
 Next step is to preliminary screen the markets that seem to be potential and
less beneficial and this screening will be made on the basis of the
infrastructural factors and the structure of the economy and the political
conditions that seem to be common (Leeflang, et al. 2014).

 In the next step, the markets screened will now be shortlisted who does not
meet the consideration and are further screened to reach most potential
markets for Vision Securities Group.
 Next step is to carry out the evaluation and the selection process where the
sort listed markets are further evaluated and ranked on the basis of the cost-
benefit analysis and feasibility study that will render better growth and
profitability to Vision Securities Group when it markets internationally
(Hoppner and Griffith, 2015).
 This step will now cover the test marketing step where small scale testing will
be conducted about the acceptance of the security solutions to the business
by Vision Security Group in international market then the overall response will
help to judge the success of test and then a mass expansion of services can
be extended.
 In the final stage of this process, the selected market is then explored with
minor changes and the new product mix is introduced in the new market.
Fig.4: Process of selecting international market (Ang, et al. 2015)
International marketing objectives
Selection parameters
Screening
Short-listing
Evaluation & slection
Test marketing
Commercial Production

OPPORTUNITIES AND CHALLENGES ON ENTERING INTERNATIONAL
MARKETS
Some of the opportunities that the Vision Securities group will gain through
international markets will involve the market expansion and the growth rate. The
brand reputation will be enhanced with the help of global networking. It will also open
the door to future business opportunities that will help to render its services at an
international level and to establish itself as best securities solution provider at
international level (Morschett, et al. 2015).
Some of the challenges that Vision Securities Group may face as a result of
international marketing includes the unstable governments and the political
restrictions that prevail in the international market. The foreign exchange problems
and the technological pirating also emerge as prospective challenges due to the
language differences there may arise linguistic problems and the other barriers may
retrain Visions Securities Group to enter international markets. There also arise
ethical considerations that may hinder and vary from one country to another and
similarly the legal rules and regulations changes in international markets (Ang, et al.
2015).

P4 THE DIFFERENT MARKET ENTRY STRATEGIES, INCLUDING THE
ADVANTAGES AND DISADVANTAGES OF EACH
Some popular and best-suited entry market types include the following:
Fig.5 Different entry modes comparison
Source: https://www.slideshare.net/charurastogi/6-international-marketing-market-
selection-modes-of-entry-in-international-markets
Exporting
 Indirect exporting
 Direct exporting (Laufs and Schwens, 2014)
 Cooperative exporting
Advantages of exporting
 Management of target market and the control over the operations is possible
 Higher profits due to direct contact
 Applicable to a wide range
Disadvantages of exporting
 Inappropriate for the goods with high transport costs

 Skills development will be required for marketing skills and the s=financial
knowledge of international market (Kotabe and Helsen, 2014).
Associated modes or contractual modes
 Joint ventures
 Management contracts
 Licencing
 Franchising (Balakrishnan, et al. 2017)
Advantages of joint ventures
 New expertise and markets
 Risk is shared
 Greater access to technology and resources
Disadvantages of joint ventures
 Unclear objectives
 Cross-cultural and management issues
Advantages of licencing
 Allows new market access
 Saves the cost of production
 Allows licensor to retain ownership and reap royalty income
Disadvantages of licencing
 A threat of becoming a competition of the licensor
 Sometimes it may be expensive
 High dependence (Laufs and Schwens, 2014)
Foreign direct investments
 Branch or subsidiary
 Make-or-buy decisions
Advantages
 Better adaption by better control of investment decisions
 Better relationships with the stakeholders
 A better brand image in a host country
Disadvantages
 The high cost of operation
 The greater risk involved (Morschett, et al. 2015)

LO3
P5 AN OVERVIEW OF THE KEY ARGUMENTS IN THE GLOBAL VERSUS LOCAL
DEBATE
In the local and global debate, the main arguments that emerge include the choice
between the selection to be made between the same product selling across the
international marketing or to implement the local marketing strategies according to
their culture and regions. In order to gain high recognition of the product in the
foreign market, the local values of that nation must be injected.
To achieve the global marketing homogeneity should be achieved. The products,
prices, promotion and the channels of distribution must be unified that will help one
to achieve standardisation. There arrive global-local dilemmas that will affect the
international businesses as there arise many differences concerned with the needs
of the consumers (Balakrishnan, et al. 2017).
In order to adapt to the local marketing principles the local marketer requires to think
globally and act locally, that will help him to trace out the similarities and differences
of the foreign markets and then form standardise strategy. Profit earning is the
motive for both the local as well as global marketing.
Like for the organisation, Vision Securities Group the first argument that will form in
the local vs. global debate is to engage with the right stakeholders. And to lay the
foundation by defining the audience that is present externally. In the local and global
marketing, the quality and the longevity must form essential contents that will
reinsure high returns. The contents and the quality should reflect the values of the
brand at local as well as global level (Laufs and Schwens, 2014).
Another key argument that will come in front of Vision Security Group is that the web
contents should be effectively retranslated in the multiple languages so as to reach
directly to the international users as well as local users. Another difference that the
global marketing and the domestic marketing faces is that of the scale that should be
translated according to the localisations requirements and reach new customers
easily.
Thus these are the major arguments that Vision Security Group faces in the global
vs. local debate.

P6 THE MANAGEMENT TEAM OF VISION SECURITY GROUP WOULD LIKE
YOU TO INVESTIGATE HOW THE PRODUCT, PLACE, PRICING AND
PROMOTIONAL DISTRIBUTION APPROACH DIFFERS IN A VARIETY OF
INTERNATIONAL CONTEXTS
The difference of the product, place, price and promotional approaches of Vision
Security group with international context is as under:
Product
Vision Security Group aims to render better security solutions in the UK and Ireland
that includes manned guarding, security systems, and cleaning, mobile security and
secure event solutions. When it thinks to market internationally it will focus on
catering the needs of the target market by gaining appropriate information about the
religion, backgrounds, beliefs and personal disposable income. These apart from
adding to the cost of production will help to adapt to the local market will help to
render customised products to the foreign market ensuring their needs (Kotabe and
Helsen, 2014.).
Price
Another complex task that Vision security Group will undergo is to charge pricing at
international level so as to overcome competition and to take into account its
traditional pricing methods. While charging prices internationally it must consider the
cost of transport and other duties that will be charged while rendering services to
international market.
Promotion
To reach the mass audience and the targeted market in an effective way standardise
promotional strategy will be adopted by the Vision Security Group. The political
climate, cultural attitudes, languages and the practices of the practices of the religion
in the international market will be undertaken and then the promotional strategy will
be drawn. Like research and planning will be required in order to cater to the
different needs undertaking all the aspects of cultural backgrounds in effect
(Papadopoulos and Heslop, 2014).
Place
Another important decision that Vision Security group need to consider is of the
place element that considers a distribution of the services to its clients at the right
place and the right time. As there are many timing issues in some markets at
international level which must be undertaken that will help to better sell the products
and services in an international market. The distribution channels also need to be
studies that are required in specific foreign markets so as to carry out operations
effectively.
Thus prior to designing the marketing mix for international market vision Security
Group must undergo PEST analysis for the target market which will help to design
standardise marketing mix (Morschett, et al. 2015).

LO4
P7 THE VARIOUS INTERNATIONAL MARKETING APPROACHES VISION
SECURITY GROUP CAN ADOPT
Every company needs a framework that will help it to grow in new and existing
markets. The approaches that are available to Vision Security group for international
marketing includes:
 The centralized approach to international marketing- Under this approach
the headquarter of Vision Security group will be responsible to make almost
all marketing decisions that are competent enough and is experienced to work
with the international market. This approach utilises the direct exporting
method and focuses on the marketing capabilities that are developed in-
house. This approach ensures high control over the sales and marketing
activities and will help to hire better personnel for the company (Kotabe and
Helsen, 2014).
Fig.6: A Centralised international marketing approach
Source: http://www.tradeready.ca/2014/global_trade_tales/two-approaches-
smarter-international-marketing-centralized-vs-decentralized/

 A decentralised approach to international marketing- Under this
international marketing approach Vision Security Group will try to push the
decision-making and other functions of marketing to the distributors and the
agents present in the foreign markets. This approach is viable for Vision
Security group as the products and services that it caters needs to be highly
trained and should be significantly localised according to the target markets.
This approach will motivate the local staff of marketing that will develop close
working relationships with the in-country staff. It renders little control on brand
representation and there arises some risk of corruption (Kotabe and Helsen,
2014.).
Fig.7: Decentralized Approach to international marketing
Source: http://www.tradeready.ca/2014/global_trade_tales/two-approaches-
smarter-international-marketing-centralized-vs-decentralized/
Among these two approaches, one must be undertaken which will render enough
control and efficiencies and will also allow the opportunities to better reach the
targeted markets.

P8 COMPARE HOME AND INTERNATIONAL ORIENTATION AND WAYS TO
ASSESS COMPETITORS, OUTLINING THE IMPLICATIONS OF EACH
APPROACH
There is a difference between the home and international orientation of Vision
Security group when it plans to market internationally. As in the UK, it renders a
team of dedicated professionals that maintain safe and secure environments at
events. It also renders real-time reporting by using technology that helps in saving
the security services of mobile it also monitors and manages security management
activities like panic alarm monitoring, GPS tracking, CCTV footage and so on. While
rendering the same services and products to a foreign and international market it
becomes essential to assess the competitors and the foreign market so as to render
the services and products in the target market which fits bets to their requirements.
The international orientation must be taken into consideration that will define the
requirements and the dimensions of the target market which needs to comply with
the requirements of a foreign market (Strizhakova and Coulter, 2015).
Assessing international market competition
In order to assess the international market competition, Vision Security Group should
conduct and prepare the competitive analysis.
The competitor analysis will be carried by conducting effective research through
focus groups and the questionnaires that will render valuable information about the
competitors and will also help to save the time. This will help to gain information
about the top competitors present and about the range of services and products that
these competitors render to the similar target market. This will also help to learn
about the profitability and the scales used by the competitors (Demangeot, et al.
2016).
Next way is to gather the competitive information by developing the industry analysis
thorough secondary source of information. The sources may include advertisements,
brochures, magazines and another database.
Next step is to carry an analysis of the competitive information to identify the
strengths and weaknesses of the competitors present.
Further, we will evaluate the product and services that are rendered by the
competitors.
This competitor analyses on a regular basis will help to make a pace with
competitors and will help to maintain a competitive position in the international
market too.
Some of the competitors of Vision Security Group include London Security services,
US Security Associates, Whelan Security and many more (Kotabe and Helsen,
2014.).

CONCLUSION AND RECOMMENDATIONS
It is advisable to Vision Security Group that it should go further to take benefits of the
international market by exploring the market through the agent or contracts that will
help to better penetrate the new markets. It can be benefited from the scope of the
international market by designing the marketing mix according to the local market
where it is planning to expand in. it shall take the decentralised approach of
international marketing to develop scattered reporting and decision-making channels
that will allow better returns for the company. Before stepping into the international
market it should thoroughly examine its competitor’s that are present in the foreign
market so as to ensure sustainability in long run.
In a nutshell, we reach to an analysis that international marketing has a wide scope
that renders many viable benefits for an organisation that seeks to expand
internationally and we also pointed few differences in the local and the international
marketing. The different routes to market have also been listed out that vision
security Group can access and explore the foreign market. Some key selection
criteria have also been outlined that will be considered by VSG before entering the
international market with few market entry strategies that are available to it.

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