International Marketing of Asda

Running head: INTERNATIONAL MARKETING OF ASDA
International Marketing of Asda
Name of the student
Name of the University
Author note

INTERNATIONAL MARKETING OF ASDA1
Introduction
International Marketing refers to application of the marketing principles that can help
in satisfying the needs and the wants of the various people who are living across the borders.
The company designs the marketing mix so that it can cater itself to the needs of the
customers in the global market. Asda Stores is the British supermarket retailer which has
headquarters within West Yorkshire. Asda Stores Limited was founded in the year 1949 in
the event of the supermarket that was owned by the Asquith family merging with that of the
Associated Diaries company within Yorkshire (Asda.com 2019). The company later on
expanded in the south of the England during the years 1970 and in the 1980. The company
has supermarkets besides offering other kinds of services like the financial services. The
company can prove to be interesting for examination as the company builds the stores within
the district centres in the smaller towns. It wants to capitalise on the small markets that can
consolidate its position in the world. In the year 2018, Sainsbury along with Walmart
announced the negotiations that helped in the creation of largest supermarket chain within
UK. This report throws light on the trends prevailing in the global environment and the
market structure in relation to the company. The report also discusses about the reasons that
has helped in ensuring the success of the company in the present age. The report also talks
about the factors that acts as the basis for the competitive advantage for the company. The
report also focuses on the marketing challenges that can be faced by the company in the event
of improving the international competitive position. The report also talks about the measures
that can help in building the sustainable competitive advantage for the company for future.

INTERNATIONAL MARKETING OF ASDA2
Trends in the global Market
Trends in environment
There are various kinds of trends prevailing in UK that has helped in the development
of the retail industry in UK. Retail industry can be said to be vital for the economy of UK and
it helped in generating 395 billion pound in the year 2017. The retail landscape in Britain is
dominated by the supermarkets like the TESCO, Asda, Morrisons and the Sainsbury. The
grocery retailers are experiencing growth within the framework of the inflationary
environment and the online players are growing the market share in UK. The retail industry is
affected by various factors and the changing consumer behaviour has a great effect on the
retail sector of UK. The retailers have to adapt themselves to the evolving needs of the
consumers so that they make a profit in the competitive environment (Kotler et al. 2018).
Digital innovation is acting as a disruptive force in the retail industry that can have an effect
on the fate of the retailers present in UK. The high-street retailers have to face the financial
pressure owing to various factors like The National Living Wage of government which was
introduced in the year 2016. The retailers have to take a different approach in the present age
so that they can gain the competitive advantage. The retailers are blending the online and the
offline shopping so that they make a profit within competitive landscape (Ibeh, Crick and
Etemad 2019). The retailers are making experiments with the technology so that they can
attract the buyers into the stores. The machine learning are being used by the customers that
can help them in using data from customers for offering the personalised services.
Market structure for sector
Asda is located in various regions of UK that has proved to be of benefit for the
customers. The close competitor of Asda, Sainsbury used to operate within 608 supermarkets.
The merger of the company with Asda helped in closing the gap with that of the market
leader TESCO. The number of superstores of Asda have increased to 341 in the year 2019