International Marketing and Sustainability Strategies

The assignment discusses the importance of considering various marketing methods to introduce a new product in an international market effectively. It also highlights the need to monitor international marketing planning and selects effective ways to communicate with key business personnel. Additionally, it explores different market entry modes such as licensing and direct exporting that can be taken up by companies to maintain sustainability in the new marketplace.

International
Marketing

Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Reasons to develop an international marketing.....................................................................1
1.2 PEST Analysis of emerging market......................................................................................2
1.3 International marketing research techniques.........................................................................2
1.4 Evaluating Dubai as a foreign market to be attractive for new product................................3
TASK 2............................................................................................................................................3
2.1 How channels evolve distributing a new product range to Dubai.........................................3
2.2 Reliable export channel.........................................................................................................4
2.3 Evaluation of export distribution channel for product range.................................................4
2.4 Decision making of foreign manufacturing and investment..................................................4
TASK 3............................................................................................................................................5
3.1 Set of international marketing objectives for the T-Shirt......................................................5
3.2 Development of Plan to enter into Dubai market..................................................................5
3.3 International marketing mix while planning for Dubai market.............................................6
3.4 Ethical and environmental issues in international marketing within Dubai..........................7
TASK 4............................................................................................................................................8
4.1 Reason behind monitoring of international marketing planning...........................................8
4.2 Ways of controlling export channels.....................................................................................8
4.3 Describe barriers to international marketing.........................................................................9
4.4 Methods of communication with key international marketing personnel.............................9
CONCLUSION..............................................................................................................................10

INTRODUCTION
International marketing refers to an application of relevant principles in order to satisfy
different types of requirements and demands of clients residing across the national borders. It
consists a concept to undertake the various activities of marketing in different countries and often
known as global marketing. Moreover, it is helpful to promote brand across the borders and
attract customers worldwide which facilitate to enhance business along with attaining more
profits. The present report is based on Tommy Hilfiger which is an American company of
premium clothing and manufacture apparel, footwear, accessories, fragrances and home
furnishing. It was founded in the year around 1985 and have approximately1400 retail stores in
90 countries. This assignment will focus on developing international marketing and conduct pest
analysis of emerging market in which company wishes to operate. It will also include reliable
export channels and produce a set of international marketing objectives through reviewing
ethical & environmental issues. The ways to control export channels and barriers of international
marketing are given below.
TASK 1
Memorandum
To: International Marketing Director
From: Jack Smith
Date: 23rd January, 2019
Subject: Importance of adopting International marketing
1.1 Reasons to develop an international marketing
International marketing is a fresh concept through business can be enhanced at global levels
which provide support to improve brand image and profitability (Hult and et. al., 2018). It can
be considered as modern concept with marketing principles at internal level which are required
to be applied for expand business globally. In context of Tommy Hilfiger, they can utilise the
concept of international marketing to enhance their business but have to face extreme
competitive pressures as may different brands are trying their best to gain profits. For example,
the given company can improve their customer bases and create an image at global level which
is beneficial for business in future. It will facilitate to boost up regular productivity as well as
profitability of an organisation which increase growth as well. In addition to this, it is helpful to

enhance the business and gain advantage to lower cost operations so that Tommy Hilfiger is
required expand their business at international level in respect to get success at the same
standards.
1.2 PEST Analysis of emerging market
The analysis of emerging market is very important by using most suitable tools and
techniques so that appropriate operational decisions can be made properly. However, PEST
analysis can be considered as an effective as well as efficient tool in order to evaluate external
factor of business and helpful to make correct decisions. In case of Tommy Hilfiger, they
should adopt this tool to analyse the market of Dubai by considering certain factors which are
given below -
Political factor – This involves government rules and regulations in Dubai which is
required to understand by Tommy Hilfiger in order to operate there properly to gain profits.
Economic factor – The economic factors consists taxation rate, inflation rate and GDP
which is required to be evaluated in terms of decision making about purchasing raw material,
transportation etc. in Dubai.
Social factor – This include changing trends of market and lifestyles of people with
generating new desires in Dubai which should be focussed by Tommy Hilfiger to satisfy clients
for grabbing more profit share of market.
Technological factor – The Tommy Hilfiger should adopt be and advanced technology
to fulfil needs and wants of customers appropriately by following technological rules in Dubai.
1.3 International marketing research techniques
There are different types of marketing research techniques which can be utilised by
Tommy Hilfiger in respect of analysing changes in internal marketing properly. Some of them
which are beneficial for given company to analyse global market are as follows –
Primary research technique – This can be described as information gathered for first time
with help of several methods such as personal interviews, surveys and statistical data which
was not utilised earlier for any other reason. Moreover, it involves quantitative and qualitative
research methods which are described below.
Quantitative research technique – This refers to utilise information in terms of facts, figures
and quantities in order to analyse response of customer regarding specific concept of new

product.
Qualitative research technique – The qualitative techniques consists characteristics and
qualities with the help of observations and interviews to evaluate the match of customer with
product in new emerging market.
Secondary research technique – This involves the method of collecting required data about
customer taste in emerging market through secondary sources of information like websites,
journals, books and magazines.
Qualitative research techniques is best because this research techniques provide pure and first
hand information which is helpful for the market8ing of the company.
Advantages:
 Provide depth and detail information and analysing ranks and counts by recording
attitudes, feelings and behaviours.
 Create openness, encouraging people to expand on their responses can open up new
topic areas not initially considered.
1.4 Evaluating Dubai as a foreign market to be attractive for new product
In order to enhance business Dubai, it is very important to evaluate the trends and conditions of
markets to evaluate that they favourable for business or not (De Mooij, 2018). It has been
analysed that the economy of Dubai is stable and markets are really attractive then it is
necessary for Tommy Hilfiger to introduce an attractive product to gain an appropriate
customer base. There are variety of fashion clothes are available due to unique and new
demands of customers so that it will be beneficial for given company. In addition to this, it is
also evaluated that people of Dubai have started following Western trends which is favourable
for new product of company i.e. T-shirt. The customers in Dubai are getting aware about
international brands due to social media and online shopping so that they easily adopt new
clothing trend of selected product which results into increasing growth of business in future
(Greatorex, 2015).
D1. Critical reflection to evaluate own work and justify valid conclusion
Tommy Hilfiger should not develop international marketing using and synthesising a range of
sources of information because there are various factors like culture and social influences, legal
issues, demographics and political conditions, as well as carnages in the natural environment

and technology, can create impact in both manners favourable as well unfavourable.
D3. Demonstrate convergent/lateral/creative thinking
Social factor is most important for Tommy Hilfiger because this factor consist culture, values
and beliefs. If the company will manufacture products and services according to the customers
then it will help in increasing profit, productivity and customer base and help in building a
strong brand image in the market place.
TASK 2
2.1 How channels evolve distributing a new product range to Dubai
The development of distribution channels gradually in context of new product rang in Dubai is
an important task for Tommy Hilfiger in order to enhance their business successfully. However,
distribution channels can be described as a significant way through which the product will be
transfer from producer to ultimate client for fulfilling their actual desires properly (Greatorex,
2015). Moreover, these channels are developed to fulfil an objective for satisfying customers
with reducing cost as well as time. The distribution channels for product of given organisation
i.e. T-shirt are –
Direct channels – This can be explained as the way of selling product by company
directly to customer with the help of certain channels such as opening retail outlets, online sales
via websites etc.
Indirect channels – The indirect channels for new product of given organisation include
middlemen to transfer product from manufacturer to customer like wholesaler or agents in which
cost of distribution will increase.
2.2 Reliable export channel
The reliable export channel is considered as most suitable way to enhance business at global
level in which loss of funds, time and other resources cam be avoided (Mathews and et. al.,
2016). It consists several methods including direct and indirect export in which selection of
suitable way is depends upon size of company and type of product or business circumstances
accordingly.
Indirect exporting – This can be described as to use agents and export management
enterprises by providing them commission in exchange of transfer product from manufacturer to

customer. It is helpful for Tommy Hilfiger to minimise risk in new market but increase the
distribution cost accordingly.
Direct exporting – The direct exporting can be done by utilising several methods such as
sales representatives, direct sales and online sales by controlling management of export. It avoids
middlemen and boost up the revenues of business respectively.
2.3 Evaluation of export distribution channel for product range
The export distribution channels are required to be analysed thoroughly in terms of making
correct decision for selecting more suitable and effective method. It includes to evaluate the
benefits and issues of these techniques so that accurate distribution channel can be selected for
providing required product to client in appropriate cost and time. Moreover, it will provide
support to make people satisfied by service of brand which facilitate to improve profits and
growth as well. Meanwhile, the distribution channels consist direct and indirect exporting
methods having their own criteria and suitability. Initially, direct exporting is favourable for
large organisations like Tommy Hilfiger to develop an appropriate place and market along with
increasing revenues of business successfully. At the other hand, indirect exporting which is not
suitable for Given organisation as it is suitable for small size firms in which they have paid
commission to agents and control to sell product in other country (Gomes, Sousa and Vendrell-
Herrero, 2017).
2.4 Decision making of foreign manufacturing and investment
The decision making of foreign manufacturing and investment is an important aspect which are
required to be done carefully in correct manner to achieve better outcomes. However, it is
necessary to consider various kinds of factors in order to make appropriate decision regarding
funds and production at international level (Samiee, Chabowski and Hult, 2015). Moreover, the
components include information of market, flexibility, cost effectiveness, actual requirements &
desires of clients, availability of resources and competitive strategy of company. In context of
Tommy Hilfiger, the foreign direct investment (FDI) was made them only due to high cost of
transportation and trade barriers. They can gain ownership on manufacturing, marketing,
Research & development and resources required for production with the help of engaging in
FDI. Additionally, they can invest in foreign production investment if it will reduce the cost of
transportation along with improving information about Dubai.

M1. Identify and apply strategies to find appropriate solutions
There are two types of alternative distribution channels such as direct distribution
channels and indirect distribution channels. In direct distribution channels consists regional
depot, wholesale warehouse, retailer warehouse etc. whereas direct distribution channels include
central distribution warehouse, own retailer shop, consumer etc.
M3. Appropriate business report structure and approach have been used
To write an appropriate business report, there are various steps and points are consist
within it like; determine the objective and formate, identification of audience, identification what
you need to learn, gather the appropriate information for report, organise and write the report.
Further points are draw conclusions with specific recommendations and write executive
summery.
TASK 3
3.1 Set of international marketing objectives for the T-Shirt
To effectively introduce the T-Shirt in Dubai, International marketing director of Tommy
Hilfiger has decided to set up a manufacturing unit in the city. For efficient execution of this,
certain international marketing objectives have been created which are required to be
accomplished by company in due course of time (Gillespie and Riddle, 2015). Such objectives
are mentioned below:-
 To indulge in integration of economies by way of trading and successful distribution of
the t-shirt
 To effectively take part and encourage the social and cultural exchange between the
workforce of entity and people of Dubai
 To generate high demand for Hilfiger T-shirts in Dubai
 To work in a manner that results in generation of employment opportunities for people of
Dubai and improve their standard of living by providing them adequate wages
3.2 Development of Plan to enter into Dubai market
Tommy Hilfiger has variety of market entry modes to select from while entering into the
market of Dubai. The decision regarding this mode is taken after taking into account aspects like
increasing completion within international marketplace, especially Dubai, availability of
resources, governmental policies and regulations, pricing and the potential of company. In this

regard, Tommy Hilfiger has decided to undertake two market entry methods to effectively enter
into Dubai and introduce the T-shirt.
Entry Modes adopted by Tommy Hilfiger:
Direct Exporting: This enterprise can execute the production of t-shirts within the
domestic territory and then engage in direct selling of these t-shirts to customers in Dubai. This
market entry mode has been selected due to the advantage of currency associated with it. Also,
direct export result in increasing the market for products of Tommy Hilfiger. Here, the prices are
within control of entity which in turn assists the company in dealing with the rising level of
competition in Dubai from brands such as D&G (Hoppner and Griffith, 2015).
Licensing: This is an agreement signed by company wherein Tommy Hilfiger attains the
right against an intangible property for a fixed period of time. In turn, enterprise has to pay
royalty fees. This largely assists company as it provides a chance to explore the marketplace of
Dubai. Also, this mode has been selected keeping in consideration the low development costs
associated with it. Here, company can effectively take advantage of its brand name and position
across the global market.
3.3 International marketing mix while planning for Dubai market.
Marketing mix is defined as the detailed description of the 4 P’s, namely, Product, Price,
Place and Promotion (Perera and Hewege, 2016). In the present scenario, Tommy Hilfiger has
carried out the international marketing mix to ascertain the market of Dubai for products
provided by company.

Figure 1: Marketing Mix
(Source: Marketing Mix, 2019)
Product: The goods being provided by Tommy Hilfiger are specially designed to meet
the tastes and preferences of people of Dubai. The company has taken into account various
aspects like lifestyle, religious norms, beliefs, culture, buying habits of population of this city.
The garments manufactured by company are tailored as per the demands of customers within
Dubai and largely take into consideration the middle-east culture.
Price: The prices of t-shirts are decided after taking into account the buying power of
citizens and also their economic status. It is an important aspect related to the product and thus,
reached at after considering a number of factors like transportation, cost of production, increase/
decrease in exchange rate etc. However, company has kept a generous price taking into
consideration the rising competition as well as the affordability by consumers in Dubai.
Place: Tommy Hilfiger makes use of direct channels such as licensing and online
deliveries to make the t-shirts reach to their customers. Also, they have opened retail stores
where the products are readily available.
Promotion: It is an important element which implies that people need to be made aware
of the product sold by company, i.e., t-shirt. Tommy Hilfiger has decided to make use of
advertisement via Radio, Television and print media (newspaper) as a promotion tool. Company

depicts the culture of Middle-east and makes use of Arabic language in the advertisement to gain
attention from a large quantum in Dubai. Also, company has decided to make certain Hollywood
and football celebrities of Dubai the brand ambassadors to attract a large population.
3.4 Ethical and environmental issues in international marketing within Dubai
Ethics is a branch of philosophy that deals with what is right and wrong (Kaleka and
Morgan, 2017). In the present scenario, it is required by Tommy Hilfiger to take due care of
morals, ethics and fair practices while conducting activities related to production, pricing,
promotion and public relations. While getting engaged in manufacturing, enterprise ensures that
all activities are in public interest and don not pose harm to environment in any manner. Also,
Tommy Hilfiger strives at adoption of effective waste management techniques to be able to
recycle and reuse the waste generated during production. Company is expected to abide by
certain standards while trying to enter and capture Dubai Market, these are specified below:-
 Price of the t-shirt is to be fixed as per standards and there should be no evidence of
overcharging done by Tommy Hilfiger.
 There should be any misleading statement or claim during advertisement and promotional
activities for launching the t-shirt within Dubai.
 All the human rights should be considered during employment at company and there should
be no harm to labour in Dubai.
 The process and techniques adopted by company should be in public interest and remain
aligned with the development of economy of Dubai.
TASK 4
4.1 Reason behind monitoring of international marketing planning
It is essential to monitor the international market planning so as to ensure that the
activities conducted in relation to launch of t-shirt in Dubai are aligned with the long term goals
and objectives of company. A review of this planning helps in gathering information about the
benefits experienced by people as well as the enterprise post the launch of new t-shirt. This also
holds significance as any change that takes place within the external or internal environment of
Hilfiger can be considered to accommodate alterations in the business strategy adopted by
company for effectively launching t-shirt in Dubai. It is imperative that effective communication

is maintained so that competition from other strong brands can be dealt effectively and strategies
adopted by Tommy Hilfiger can be changes as per the needs (Kumar and Steinmann, 2015).
4.2 Ways of controlling export channels
Export channel is a method by which products from one country can be sold to people of
other nations through. Exports with Dubai can be substantially controlled by way of Export
Credit Insurance within Dubai. This assists Tommy Hilfiger to monitor as well as control the
risks associated with defaults in payments. Thus, exporters can follow the terms and conditions
related to purchase orders and get access to receipt of payments in timely manner. Claim can be
made by way of credit insurance of exports in case Tommy Hilfiger is suspecting any loss or
delay in payments over 30 days. This largely assists company in focussing its attention upon
business activities instead of the defaulters. Also, it helps the enterprise in controlling risks
effectively and safeguarding their balance sheets (Christodoulides, Cadogan and Veloutsou,
2015).
4.3 Describe barriers to international marketing
Competition has increased in international markets and thus, companies like Tommy
Hilfiger try to grab opportunities for expanding overseas (De Mooij, 2018). In this regard, there
can be various barriers which can be experienced by Tommy Hilfiger while launching new t-shirt
in Dubai. Such barriers are described below:-
 Cultural issues: While expanding into Dubai, the biggest barrier for Tommy Hilfiger is
ascertained to be the cultural differences between personnel of Dubai and home country.
Thus, the enterprise is required to adopt effective communication strategies which take
into account the cultural as well as linguistic differences. Foreign governments: The laws and regulations passed by the UAE government in
relation to employment, commercial transactions etc. have to complied with, by Tommy
Hilfiger so as to effectively function within the city. Also, this would ensure least
interference from governmental or professional bodies in conduct of their business
activities.
 Currency: The currency of Dubai is different from the domestic country of Tommy
Hilfiger. Thus, it is required that company deals in that currency only for smooth
international business.

4.4 Methods of communication with key international marketing personnel.
Various methods of communication adopted by Tommy Hilfiger to interact with
important international marketing personnel are:
E-mail: Formal communication with key business persons associated with Tommy
Hilfiger is done by way of corporate emails. This method is selected by company as it is quick
and relatively cost effective which results in savings of funds of company.
Meetings: Communication within the premises of Tommy Hilfiger is also carried out by
conducting business meetings wherein key personnel are present and discussion is done about
every element of the business and the new t-shirt being launched in Dubai. The rationale behind
selection of this method is that it takes into consideration the opinions and views of all the
important members and enhances the quality of decision taken mutually.
M2. Select one method of monitoring and apply it to the marketing plan
Email is an effective method which can be used by the management of the company in
marketing plan because with the help of it they can deliver information with the other employees
and people who are working within it.
D2. Delivering and generating objectives, ensure that show their interdependence and ensure
In Tommy Hilfiger, if the management want to expand its business in Dubai market then
it set some smart objectives such as:
 To increase 20% sales within 1.5 years by offering products according to customers.
 To maximize 15% market share of the company within 1 year through its business
expansion.
CONCLUSION
From the above report, it has been concluded that it is imperative for business
organisations to effectively take into account various kinds of marketing methods to effectively
introduce a new product within international market. Also, it has been assessed that there is a
need to monitor the international marketing planning. Besides this, it has been evaluated that
there are various ways to communicate with key business personnel that should be effectively
selected by business entity to maintain its sustainability inn new marketplace. In addition to this,

this has been analysed that there can be many market entry modes that can be taken up by
company such as licensing, direct exporting etc.

REFERENCES
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