International Marketing: Scope, Concepts, and Strategies

This document provides an overview of international marketing, including its scope and key concepts. It explores the rationale for marketing internationally and describes various market entry strategies. The document also evaluates the opportunities and challenges in international marketing. It is a valuable resource for students studying international marketing.

International
Marketing

Table of Content
INTRODUCTION...........................................................................................................................4
TASK 1............................................................................................................................................4
P1 Analyse the scope and key concepts of international marketing............................................4
P2 Explain the rationale for it to want to market internationally and describe the various routes
to market the organisation can.....................................................................................................6
M1 Evaluate the opportunities and challenges that marketing internationally presents to your
chosen client organisation............................................................................................................7
TASK 2............................................................................................................................................7
P3 Evaluate the key criteria and selection process to use when considering which international
market to enter.............................................................................................................................7
P4 Explain, using examples, the different market entry strategies, including the advantages
and disadvantages of each...........................................................................................................8
M2 Apply the market evaluation criteria and entry strategies, and make recommendations for
your chosen client organisation. / D1 Produce a critical evaluation of the international market
context, including insight into how your chosen client organisation should adapt their
marketing strategies for various markets...................................................................................10
TASK 3..........................................................................................................................................10
P5 Present an overview of the key arguments in the global versus local debate.......................10
M3 Evaluate the context and circumstances in which your client organization should adopt a
global or local approach, highlighting the implications of doing so.........................................12
P6 Investigate how the product, price, pricing and promotional distribution approach differs in
a variety of international contexts. / M4 Determine and articulate in detail how to adapt the
marketing mix of your client organization in different international markets...........................12
D2 Produce a critical evaluation of how the marketing mix is applied to a range of
international contexts.................................................................................................................13
TASK 4..........................................................................................................................................13

P7 Explain and analyse the various international marketing approaches your client
organisation can adopt...............................................................................................................13
P8 Explain home and international orientation and ways to assess competitors, outlining the
implications of each approach...................................................................................................14
M5 Evaluate various marketing approaches and competitor analysis in relation to an
organization and make recommendations on how they should operate in an international
context........................................................................................................................................15
D3 Make recommendations on how organisations should be structured to maximize the
opportunity in an international context......................................................................................15
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................17

INTRODUCTION
International marketing is a process that involves executing all the related principles of
Marketing and effectual practices in International border on larger scale for increasing the
presence of the entity in larger work areas (Bauer and et. al., 2020). The concept of marketing
internationally enables The entity to attain the attention of large number of audiences. The main
purpose of promoting goods and services of the respective Organisation in the international
market is to spread awareness amongst potential buyers present in foreign countries and fulfil
their needs as per their expectation as well as preferences. The present report is constructing for
understanding and gaining through knowledge of international marketing in context of
Sainsbury. It is the second largest supermarket chain in the United Kingdom which was founded
in 1865 by John James Sainsbury. The company only deals in UK's market it and it is
headquartered in London. The assignment will emphasize on the contribution made by marketing
to businesses in international context. Along with it various entry routes will be evaluated in
context of Sainsbury and the most successful option will be suggested. Moreover, the elements
of marketing plan are investigated for seeking an understanding about their adaptation to
International markets. And lastly in the report some international marketing approaches are
discussed which can be adopted by Sainsbury.
TASK 1
P1 Analyse the scope and key concepts of international marketing.
International marketing is a systematic procedure that consists of different practices
institutions and activities which are effective bile performed across the boundaries of home
country and that seek to generate, transmit and exchange offerings that holds considerable value
for the customers and related stakeholder groups of the society.
International marketing can also be determined as execution and implementation of
marketing actions as well as capabilities within global context (Deffner and et. al., 2020).
Another acceleration of international marketing concept is combination of various
practices that pursue to exchange of products and services outside the domestic market with the
aim of satisfying customers preferences and needs present in international borders.
SCOPE OF INTERNATIONAL MARKETING:

Today, businesses and markets have evolved with the modern era and have become
highly dynamic. Hence, in context of present scenario international marketing has a wide scope
which is boosted due to globalisation. As modernization and globalisation is taking place the
businesses are facilitated with better interaction and with that has enhanced scope of
international marketing.
 Import- This is the most common and simplest form of international marketing where
business import goods from foreign markets and sell them in domestic market to potential
buyers.
 Export- The exports are just opposite of imports there the company sell their offerings
two international business or to their related franchisees which then are sold by the
importing party in their domestic market (Malarvizhi, Nahar and Manzoor, 2018).
 Contractual agreements- This is an expansion opportunity for a business organisation by
entering into a contractual agreement with the overseas partner. In simple terms
contractual agreement enables the business to expand into international market by joining
hands with a foreign partner.
KEY CONCEPTS OF INTERNATIONAL MARKETING:
 Domestic marketing- This form of marketing is totally concentrated on making
promotional plans and company presence in domestic market of the home country.
Domestic organisation who only operates in their home market and do not have any
operations in global market. For example Sainsbury it is a supermarket retail chain which
is only operating in United Kingdom till date.
 International trade- The notion of marketing is concerned with developing a strong and
effective flow of goods and services in different countries and Nations as well as holding
a proper present in the marketplaces. For example Tesco a multinational retail
supermarket which serves its products and services in several countries to a large
customer base.
 Comparative marketing- There are number of marketing systems and procedures
available in market that are used by marketers. When these concepts and systems are
compared together with the aim of ascertaining their similarities and differences it is
known as comparative marketing.

P2 Explain the rationale for it to want to market internationally and describe the various routes to
market the organisation can.
There are several reasons why a business firm moves and expands its operations into an
international marketplace and offer its good and services to wider customer base. But when it
comes to international marketing the main reason by the organisation wants to conduct
promotional activities in foreign country is to increase their presence in respective markets
amongst potential targeted audiences and become the part of the business environment of a
global country. Therefore, there are some specific reasons why Sainsbury which to expand
internationally:
 The key aspect of marketing the business internationally for Sainsbury is to enhance and
diversify their revenues by attracting other sources and introducing their commodities to
diversify the customer base (Sun and Wang, 2019).
 Another key rational that supports the idea of internationalisation of Sainsbury is
increasing the company's scope by increasing its operational area and moving to the
global work place.
According to these rationales discussed some of the market entry methods are suggested
below for Sainsbury for moving into international markets:
 Franchising- The first common route which is adopted by several businesses is off
franchising. According to this method Sainsbury will be allowing other international
company or individual business owner to established there store for business in the global
market and use the company’s name and brand image while running the operations and
selling goods to the customers.
 Licensing- From very long time licensing is wrongly stated similar as franchising but
both the processes are different. In licensing the parent company who is willing to expand
there market presence globally allows other local firms of the international market to use
their intellectual property rights and conduct business on their behalf in the global
marketplace. Both licensing and franchising are different procedures and brings in a
separate advantages as well as risks for companies while expanding and entering the
international market.
 Exporting- This is the most and simplest process of entering a new business market and
moving out of the domestic boundaries of the company. Sainsbury can make use of this

route for moving their operations into foreign borders. The company will be
manufacturing and producing its products and services in the domestic market and
sending the semi-finished or finished goods to the international borders where their goods
and services will be sold to a larger and diversify customer base and then it will be
satisfied.
M1 Evaluate the opportunities and challenges that marketing internationally presents to your
chosen client organisation.
International work marketing is a wide concept that involves number of opportunities and
challenges for the companies who are planning to engage in the procedure or have already been a
part of it. Some of the challenges and opportunities that are significant to Sainsbury are as
follows: Opportunities- Sainsbury will be getting hold of better infrastructural development of
the foreign market and also will be able to market its offerings to the wider audiences as well as
establish a extensive global image. Another opportunity is increased revenues and reduced costs
of marketing while captivating the customers of other nation. Weaknesses- A major challenge
which can be faced by Sainsbury while moving internationally is the existing competition in the
market and there goodwill (Ritz, Wolf and McQuitty, 2019).
TASK 2
P3 Evaluate the key criteria and selection process to use when considering which international
market to enter.
Expanding and entering a new marketplace is a tedious and critical task that involves
number of stages and vital decisions that imposes huge influence on the success of expansion
and movement in global marketplace. Therefore, certain process needs to be followed by
Sainsbury while doing so which is as follows:
 International marketing objectives- This stage is identified for export marketing
objectives and companies targets. In regards to it the selected market and the significant
area in which the company will be establishing its Store to serve their services and
products at the global level will be chosen in regards to companies marketing objectives
and the foreign market.
 Parameters for selection- There are certain significant parameters which is needed to be
properly evaluated and understood by the company once they have selected the the area

that are significant to their products and services. Therefore in this context certain
parameters which is needed to be considered by Sainsbury regarding the selection of
market are raw materials availability, appropriateness of infrastructure, government laws,
aggressiveness of existing rivalries and many other.
 Preliminary screening- This is the stage where all those locations which do not offer any
potential to the company are eliminated on the basis of their screening and by using
certain factors such as population size, consumers buying behaviour, consumers buying
potentials, economic conditions of the area and so on.
 Analysis and selection- This is the stage where the market which is being evaluated and
examined for selecting as a potential international market for the company will now
undergo a feasibility study and will be examined for recognising the cost benefits it will
be providing for the market can provide (Xiao, Wang and Chan-Olmsted, 2018).
 Test marketing- This is this stage where some of the sample offerings will be provided
by the organisation to the people around the area in order to gain knowledge about
customer reactions and likings as well as expectations from the brand.
 Commercial production- It is the last stage which occurs once the results of testing
marketing phase are in favour of the company and now it can start producing and selling
its products in the chosen marketplace that is available globally in new and unknown
business environment.
P4 Explain, using examples, the different market entry strategies, including the advantages and
disadvantages of each.
Business can choose up to as many strategies and entry routes as it can manage and
handle effectively. This is due to the only reason that is various number of market entry
strategies are available in the business environment for organisations to adopt that is developed
for the resource provided by globalisation and modernization in business strategies. Hence There
are several different types of market entry strategies that can be used by Sainsbury for making
future entries in specific profitable markets. Some of those market entry strategies are discussed
above and in this section of the report these market entry strategies are now being discussed
critically by putting emphasis on their advantages and disadvantages.
 Exporting: this is a market entry strategy the company do not directly enters the market
but make sale of its goods and services in the market place through an existing business

from by selling finished goods to the organisation that is an important party in the
International border.
Advantage
The relative advantage of exporting products in new market places for Sainsbury is it
leads the company towards more productive and suitable profit margins as it is one of the
simplest forms of entering the international business environment. As well as it enables the
organisation to have the most significant exposure to the customer base of the international
workplace (Chatzigeorgiou and Christou, 2019).
Disadvantage
The disadvantage attach to exporting services being used as an international market
entry strategy is increased cost due to higher tax is being paid for making its available in new
markets to both the domestic and international governments.
 Licensing and Franchising: These processes are effectual and productive for Sainsbury
as it allow the company to get in touch with other organisations and business owners of
the foreign market and sell their goods and services threw them in the international
market and on the global level. The company by making use of franchising and licensing
agreements will be allowing the international businesses to make use of their intellectual
property for conducting their operations with the brand name of Sainsbury. The
advantage and disadvantages are as follows.
Advantage
The key to success of these International strategies that is franchising and licensing is
lower cost and capital investment in the infrastructure and other business related activities and
gaining access to larger customer base with diverse needs and requirements. Sainsbury will be
benefited by using such means to enter a new market as the company will be working with cost
effective procedures and will be getting higher returns on their investments (Sahaf, 2019).
Disadvantage
The disadvantage attached to franchising and licensing concept and strategy is the
increased level of risk in these strategies by entering the new business environment of being
duplicated, losing the control over the operations and misuse of their intellectual property by the
international form for their personal advantages.

M2 Apply the market evaluation criteria and entry strategies, and make recommendations for
your chosen client organisation. / D1 Produce a critical evaluation of the international
market context, including insight into how your chosen client organisation should adapt
their marketing strategies for various markets.
Market entry strategies for a a form can be various that brings different advantages and
disadvantages towards the operations and effectiveness of the company. The discussed market
entry strategies add licensing, franchising and exporting. Out of these three the most suitable
entry strategy for Sainsbury will be licensing or franchising. These strategies will bring less cost
capital investment towards the company and make it accessible to a larger customer base and
resources. Therefore, these are recommended to Sainsbury as entry strategy in international
market (Rabêlo Neto, de Sousa-Filho and Ogasavara, 2019).
TASK 3
P5 Present an overview of the key arguments in the global versus local debate.
Global marketing is a useful concept which offers a number of opportunities as well as
advantages to the company and businesses to enhance and grow their business as well as
customer base by reaching out to the maximum possible profitable audiences. As well as the
companies will also be exposed to more diverse infrastructure and business practices that will
enable them to make progress with rapid changes and development (Graham, 2018). Hence,
global marketing is a strong and a potential concept that is served as a product of globalisation
and offers large business opportunities to several different countries, their respective economies
and all the different business firms that are running in the specific marketplace.
Despite of the business opportunities and productivity offered by global marketing and
international business possibilities several companies do believe that local marketing is a
effectual and best strategy for them in comparison with international marketing. Sainsbury is one
of biggest example of the same as the company is one of the second largest retail supermarket
chain of United Kingdom but do not deal in any other country or in any other international
market. Hence, below in the table a comparison is provided in between both the marketing
strategies that is local and global (Peruta and Shields, 2018).
Basis Local marketing Global marketing
Products and services In local marketing and market In global context the

Sainsbury offer the most
suitable product and services
to the customers as the
exactly know about their
needs and preferences
(Goldberg, Fishbein and
Middlestadt, 2018).
marketing plans and the
market approached is wider.
Hence the products and
services offered will be
diverse unfavourable to a
larger customer base then to a
specific segment of the
country.
Cost and budget In order to conduct local
marketing the cost involved is
less and the budget gets
segregated according to the
needs of the activities and the
promotional plans developed.
On the other hand global
marketing context is covering
wider area and business
aspect therefore the cost
involved is huge as well as
budgets are divided into two
different regional offices
rather than the marketing
activities (Davvetas and
Halkias, 2019).
Promotional tactics While conducting marketing
on local level and in domestic
market the promotional
tactics are easy and less
critical and less complex
which suits the business
model of the organisation.
On the contrary if Sainsbury
is moving in international
waters to conduct business
activities the company will be
leading more complex and
critical promotional tactics
which will be involving
diversification in their
business model and several
adjustments.

M3 Evaluate the context and circumstances in which your client organization should adopt a
global or local approach, highlighting the implications of doing so.
In very simple and easy words Sainsbury can adopt global approaches of conducting
marketing and promotion strategies while entering a new market and expanding its business
operation (Zahay and Roberts, 2018). The local Marketing concept is more related with its
domestic market and domestic population which is suitable for a company to adopt in its home
country of operations.
P6 Investigate how the product, price, pricing and promotional distribution approach differs in a
variety of international contexts. / M4 Determine and articulate in detail how to adapt the
marketing mix of your client organization in different international markets.
The elements like product, price, promotion and distribution are part of marketing mix
framework. This is a effective marketing tool that involves various strategies as a factors and
support a business firms in making strong potential decisions in relation to their marketing
performances. The marketing mix of company differs in local and global contexts which are
elaborated below in more detail in context of Sainsbury (Rather, 2019).
 Product- The first element of marketing mix is product which describes the significant
and prominent item that the company is selling highlighting over the industry in which it
is dealing. Sainsbury is a supermarket that deals in Retail industry and offers various
types of consumer goods and consumable items to the customers.
 Price- The second element of the framework that is pricing focuses on the price strategy
that is adopted by the entity to for making sales in the respective market and attracting
customers by offering them appropriate value for money. The pricing strategy of
Sainsbury is competitive that is the company changes its pricing structure according to
the changes taking place in the competitive environment and by the rivals.
 Place- The place factor is also referred as distribution channel that a company uses to
become accessible and reachable by its customers and the targeted audiences. the
physical channels which are being flourishing in the present business environment are
physical and virtual. Sainsbury is a modern firm which make use of both physical and
online platforms to serve their customers through numerous retail stores and it's online
delivery making services (Zhang and Pitts, 2018).

 Promotion- The last but not the least is the promotional factor that is a key for a business
to gain success and also almost at actual part of a marketing plan. The promotional tactic
that is being used by Sainsbury to offer its offerings in the market and spread awareness
among the potential buyers is social media, digital marketing and traditional marketing.
With the help of digital marketing the company attracts the larger customer base but by
using traditional marketing the organisation can attract those who still live their life by
traditional means and with traditional aspects.
D2 Produce a critical evaluation of how the marketing mix is applied to a range of international
contexts.
The marketing mix factors that are product, price, place and promotion are discussed in
context with sensory and its movement to international market. In accordance to the discussion
made the products and services offered by the company are those consumable items which are
regularly needed bye people and Sainsbury can make changes in those items according to the
location in which it is been expanding itself (Diallo and et. al., 2018). The pricing and
distribution channels can be same as company is entering into a competitive environment and
does it will be needing effective and strong strategy to stand itself in front of the competitors
firmly and strongly.
TASK 4
P7 Explain and analyse the various international marketing approaches your client organisation
can adopt.
Marketing is abroad and a very wide concept that involves number of practices, tools and
concepts. According to experts marketing is a business function that involves certain actions and
tactics that are related with spreading awareness in public about the offerings an services of a
particular brand. Therefore, with increasing globalisation and revolutionary changes taking place
in technological environment marketing criteria have also evolved and changed.
Nowadays businesses have largest number of options that are productive, offers higher
results to the business and brings in better outcomes by way of responses from the audiences.
Hence there are certain international marketing approaches that can be adopted and used by
Sainsbury for placing itself in a new foreign market and making customers informed about their
existence as well as presence in the respective market (Kingsnorth, 2019).

 Omni- channels marketing- The first upgraded and updated marketing tool which can be
used by Sainsbury while entering a new market place for conducting their business
operations is Omni channel Marketing. This marketing approach was initially neglected
and discarded by the marketers and organisations. But in today’s business environment
every marketer do involve Omni channel marketing in their marketing plans. This
process is effective and potential as it involves both physical and virtual platforms and
covers all the audiences for seeking their attention with the help of strong and air tight
marketing phenomenal (HR and Aithal, 2020).
 Digital marketing- The next most important and commonly used marketing channel for
strategy in the present business environment is of digital marketing. Technologies are
evolving and presented a suitable product to the marketing segment that is digitalization
and digital products for conducting promotional activities and reaching out to the
maximum and infinite audiences without any interference or breakages. If Sainsbury
adopts digital marketing strategy for conducting promotional activities in foreign markets
it will be a cost effective and higher productivity e marketing strategy for the
organisation.
P8 Explain home and international orientation and ways to assess competitors, outlining the
implications of each approach.
Every business organisation is different from one another instance at a unique position in
market from the other. This implies that different organisation make use of different orientations
while conducting their business activities (Kern, 2020). These orientations of businesses depend
upon their operations, nature of business and scope of its products and services being offered in
regards to the suitability and adaptability of their customers and marketplaces. Thus, in relation
with orientation there are several ways to assess competitors of Sainsbury that is presented
underneath:
 Ethnocentric or home orientation- The orientation phenomena describes the expansion
of domestic products into the international market. That is the company engages in excess
production of production services in the domestic market and expand with the same
offerings into the new international market place. The main focus of this strategy is on
fulfilling the requirements of the local market and develop suitable business strategies
according to the preferences of the respective the domestic customer base.

 Polycentric- The polycentric approach describes the production of goods and services by
undertaking the expectations and needs of varied customer base and marketplaces. By use
of this technique the business organisation imposes significant marketing rights business
associates present in foreign market their the conduct marketing operations in relation to
the respective global location.
 Geocentric or International orientation- According to the geocentric or International
orientation practice the whole world and all different types of customers all treated under
a single market strategy by the marketers of the organisation. Most of the internationally
operating businesses adopts International orientation for keeping a broader view and
exposure. Hence Sainsbury is also suggested to carry out their business operations by
adopting suitable standardise marketing phenomena and strategies while launching their
products in the market it off there suitable International location (Alamäki, Pesonen and
Dirin, 2019).
M5 Evaluate various marketing approaches and competitor analysis in relation to an organization
and make recommendations on how they should operate in an international context.
in the above section There are several marketing approaches discussed that are in context
of international business environment and promotional strategies. Amongst those international
marketing strategies the most suitable and likely approach to be adopted by Sainsbury while
moving to an international market for the first time is of digital marketing strategy. This is
because it is a cost effective strategy as well as enable the company to establish its presence in a
larger and wider population as in today's scenario each and every individual make use of
technology at some point in their day-to-day lives.
D3 Make recommendations on how organisations should be structured to maximize the
opportunity in an international context
According to the analysis and evaluation conducted the most suitable and suggestive
structure for Sainsbury to adopt in order to maximise its business opportunities in an
international market place is of working through licensing of franchising agreements. These
structures will allow the company to place its first steps into new markets in an effective manner
(Centeno and Wang, 2018).

CONCLUSION
The above work discusses an analysis the concept of international marketing that
concludes the effectiveness and potentials attached with the notion in context of earning higher
profits by engaging largest customer base within the organisation. While understanding the idea
of international marketing different routes to enter foreign borders are evaluated, comparison
between International and local marketing is conducted as well as other significant concepts are
discussed. From the evaluation it is identified that international marketing is a potential source
for business to expand but it also carry certain risk factors that can become short or long-term
barriers between the growth and success pass of the company. Therefore it is suggested that
organisations should conduct analysis before moving internationally where they determine the
scope of international marketing brother and also so exam in certain rationales that are related to
entry in the specific market by taking appropriate route.

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