Design of Cross Cultural Marketing Plan For TKMaxx

This report discusses the criteria for possible entry in new markets for TKMaxx furniture range in Germany and Croatia markets, including market analysis and marketing strategies.

EXECUTIVE SUMMARY
In this era of globalisation, many companies are coming to find better
opportunities for themselves in terms to enhance their market value. It leads to
competitive spirit of companies at international level market. Similarly, TJMaxx grabs
the opportunity for the expansion in global market. So it introduced it's subsidiary
TKMaxx in UK, as it possesses wide ranges of clothing, home décor and furnitures. This
report carries the different criteria of possible entry in new markets for TKMaxx furniture
range in Germany and Croatia markets. This report consists several approaches,
marketing strategies and market analysis which help the company to step in the new
market with risk assessments.
An cross market analysis STP is discussed in the first part of the report. Further it
has discussion on the market analysis using PESTEL analysis after that its competitive
advantage is mentioned. In step forward there is market strategies like entry in new
market, 4 P's, cage framework is used to describe about the products in more details.
Company has chosen Croatia and Germany in order to expand its business in
European countries, company has segmented its markets in psychographic,
demographic and on the basis of geographic segmentation. On the basis of
segmentation its targeted customers are its office furniture users and construction
places which require furniture. Company has adopted low cost pricing strategy at initial
stages and then when business will be established have decided to go for premium
pricing as it offers a best quality furniture to its customers. Company has also focused
on social media marketing strategy which will prove effective for attracting customers
and gain competitive advantage in the market.
This report gives the possibilities of successful expansion of company in global
market. It has discussion about the marketing entry strategies in which it sets their goals
to achieve and it has proper assessment of the market demand, competitors and many
more things. International marketing programme concludes the 4 P's strategies,
analysis of the economic, political or social factors of the country which help the
company to establish. All such assessment report helps in preparing the business plan
for the company to launch in the country.
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Design of Cross Cultural
Marketing Plan For TKMaxx
In order to succeed, your desire of
SUCCESS
should be greater than your fear of
FAILURE
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Table of Contents
1. INTRODUCTION AND COMPANY BACKGROUND....................................................4
2. CROSS-CULTURAL MARKET......................................................................................4
Cross Cultural Marketing-STP.......................................................................................4
Target Analysis...............................................................................................................7
Position Analysis............................................................................................................7
Product Attributes ..........................................................................................................8
Competitors....................................................................................................................8
Ease of application.........................................................................................................8
Price quality matrix.........................................................................................................8
3. Deciding of market entry strategy and mode ................................................................9
Set clear goals................................................................................................................9
Research market............................................................................................................9
Study the competition.....................................................................................................9
Choose mode of the entry............................................................................................10
Budget..........................................................................................................................10
Develop strategy document .......................................................................................10
Cage framework...........................................................................................................10
4. Designing of an international marketing programme ..................................................12
Design of international market mix (4 Ps for the company)........................................12
Pestle Analysis.............................................................................................................13
Competitive advantages...............................................................................................15
5. Recommendations.......................................................................................................16
REFERENCES................................................................................................................18
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1. INTRODUCTION AND COMPANY BACKGROUND
International marketing or global marketing is a marketing which is run at the
international level. International marketing is developed by the many multinational
companies in the world. These companies are operating their all marketing strategies
from the home country to other countries. When any company need to expand their
business across the particular country, in this condition company need to take action of
the international marketing. This is helping company to trading goods and services
among different countries. Present report discusses the product expansion with
establishment of manufacture and production unit of the company in emerging markets
that could prove to be profitable for the company.
TKMaxx is a subsidiary of the American apparel and home goods company TJX
companies. Company are operating their stores in many countries l United Kingdom,
Australia, Germany, Poland, Ireland, Austria etc. It deals in the retailing industry of
United States and other parts of the world. Parent company was founded by Bernnard
Cammarata established in Framingham, Massachusetts, US in year 1976. In 1994, the
first international store opened in Bristol. TJ Maxx modified the name to TKMaxx to
avoid confusion with the established British retail chain. Company offers many items
like; clothing, footwear, bedding and domestics, furniture, giftware etc. Company began
their first store in the United Kingdom in year 2007, Croatia between 1999 and 2001,
and then in the Germany opened on October 4, 2007. In the march 2009 company
launched their first e-commerce site. At the first stage company only selling handbags
on the e-commerce site but later company start selling other accessories as well.
Company's Australian store was started from 2017. Currently the TKMaxx is one of the
most popular retailers in the UK, because company's prices of the products are
generally lower than other major stores (Akter, Rahman, and Radicic, 2018). Now
Company have more than 500 stores in the Europe. It has reported a gross profit of
£464m within 52 weeks in February ending 2019 and also profit before tax rose from
£87.1 million to £120.5 million during the same period and also sales increase upto
6.4%. TKMAxx is aiming to launch its business in two European countries which are
Germany and Croatia which can profitable markets for the company. As, TKMaxx is a
departmental store and besides there has been a growth in retailing sectors in these
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two countries and it can prove profitable for the company to establish its stores in these
countries. In order to establish a business there are various tasks which a company has
to go through such as conducting cross cultural market analysis which is important.
After gathering a proper information company have to decide and select proper mode of
entry. Once entering in the market company has to design a proper marketing program
for attracting and successful business process which is mentioned in this report.
2. CROSS-CULTURAL MARKET
Cross Cultural Marketing-STP
Segmentation
Segmentation in the market research is primarily needed to decide the target
audiences for the company's product. Target countries of the company are Germany
and Croatia. TKMaxx operates wide range of the retail stores in clothing and home
related items. They have many stores in the US, Great Britain, Austria, Asia continents.
But they have planned to cover the market in Germany and Croatia. Target customers
of the company are the office or business furniture user and house hold furniture users.
So the market research according to the demographics, psychographics, geographic
segments are as follows
Basis of
segmentation
Strategies
Demographics
Segmentation
It is very important characteristics of the country that helps to
evaluate the target market, also it gives the idea about the
customers segments. It is necessary when company plan for the
international expansion. For this purpose, two countries from
same continent is evaluated.
Germany's current population is 83,663,787 (Germany
Population, 2020). It has mixed economy and their GDP is
6.45% (Germany GDP, 2020). Croatia population 40.8 lakhs
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2018 and has quite stable economy in the world and GDP
growth 2.9% (Croatia GDP, 2020). so Croatia is small country
(Reich, 2017). Overall there are less furniture range in country-
market because they don't have manufacturing units.
TKMaxx uses to launch there furniture unit in the Croatia.
Germany has average monthly salary of per capita about
€2300, and they have very large range of furniture in their
country. So other companies have shared the market about
70%. That's why company needs to launch higher budget range
products in this country and different styles with the latest
designs and country's market is already upmarket which needs
higher investment amount to compete with other competitors
(Cartwright, McCormick, and Warnaby, 2016). In Croatia, they
have low manufacturing units of furniture, so they can establish
their furniture manufacturing unit at low budget because people
can easily afford their products.
Geographic
Segmentation For furniture manufacturer it is very necessary to
understand the geography of the country and make feasible to
launch their products in the particular country. For the
manufacturing units it is very important to have the relative
facilities to the potential market. Supply chain has main role in
these criteria, so it is very necessary to analyse the availability
of the supplier and production. Croatia is developing country in
such ways like they are trying to connect their market globally,
so that the TKMaxx can utilize this factor for their new target
segment (Veturi, 2018). As TKMaxx provides products at low
cost, they assess the whole market and customers demand so
that gives them idea to go cheaper than others. As, Croatia
geography is appropriate to access all the necessary things in
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terms to cost saving. Also, they can take advantage of being
located near to the Germany which helps them to provide raw
material and shipping cost is low. So the Croatia is considered
quite accessible in comparison to Germany
Psychographic
segmentation
It is about the consumer behaviour by dividing the market
according to psychology of the consumers in terms of the
lifestyle, personality traits, values, opinions, interest of
consumers. All these study about the people of Croatia will help
the company to establish in the market, so that they can launch
their products in the market (Akter, Rahman and Radicic, 2018).
As it is developing country people get more employment when
its manufacturing unit is established there and stores open in
the market will provide the reasonable goods to the people with
new trends. It raises the lifestyle of the consumers.
.
Figure 1Segmentation analysis
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Country selection and product fit
It is necessary to decide where the company wants to open new unit of
production which is beneficial for them. Like TKMaxx chooses the Croatia to open their
new range of the furniture store in country, it is very profitable for them. It is also
beneficial for the country in terms of economy and GDP growth (Adewole, 2018).
People can get stylish furniture from their stores at affordable prices. It is best fit product
in the country in terms of people demand.
Target Analysis
People in Croatia are mostly dependent on the other furniture production
companies like ERA Grupa, Delight Office, Natuzzi Store Zagbreb etc and other retail
stores which provides the home and office décor and, furniture at high prices.
Nowadays the corporation is mainly aimed to young generation and middle-aged people
as they first buy the products like furniture, home décor to raise their living standard
(Cartwright, McCormick and Warnaby, 2016). These people have stable average
income.
The company needs to process in the global market by analysing the factors like
their selected global market what allows to operate the company in related areas as
well. So that, they can business easily. Specific target of the company can be office or
business furniture users as they require furniture in use or to decorate their offices.
Business or offices are always in need of furniture throughout the year so they are the
target customers. Another target customers are household furniture users families
constructing new houses or are renovating their houses. These are also target
customers because people keep on constructing and renovating their houses which can
prove efficient target customers for the company. As the Croatia per capita income is
less than 800 EUR per month. So that they can go for the products to buy them as the
company provides the product in low cost. They should take care about the comfort of
the people in the country, their target audience is cover under the selection strategy
(Chandran, and Bhattacharya, 2019). People mostly dependent on the other countries
like China, Russia etc. to import the raw material which costs high to the country. The
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local marketers sells their product at high prices. It gives the advantage to TKMaxx to
invest in the market of Croatia as it provides the high revenue.
Position Analysis
Positioning describes that how the product is positioned in the consumer mind.
To attract the consumer and make them realise the need the product. Company should
give the full efforts to make availability of their products in the market, this includes four
factors to position the product in the market (Cichocka, 2016).
Product Attributes
It is about the characteristics of the products, product specification is needed. All
details about the product should be cleared as they do the analysis of the product and
compare their products with other which tells the difference. Like TXMaxx should give
the products details, quality factors, price of their products they should be comparatively
good with other companies product (Schroeder, 2017). So people of the Croatia will
give the priority to their products and buy them.
Competitors
Company should analyse the market and their competitor, they have knowledge
about other brands will help them further assessment. It gives the idea about setting the
price, quality and other major factors needed to establish the company in the market.
Products available already in the market will give the idea about their design and style
and trend in the country they follow, so that they can prepare their business plan
(Camilleri, 2018). TKMaxx should have to analyse their competitors, substitutes in
market which tells the present scenario. So that they can make the people to buy their
furniture at affordable prices, and they are better than other for people.
Ease of application
As ease of use is what the furniture manufacturing aim for in every product they
design. As they can measure this by the comfort, how much comfortable the product for
the people of all age group in the country. Also they should give reliable quality to the
people in affordable prices. Such thing should be mentioned before the company
establish in the country. So more people would be attract towards this. TKMaxx needs
to consider the life goals of the people and they provide the products in terms of fulfilling
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their basic needs (Johnson and et.al., 2019). Company establish their branch in the
market to goal for long term.
Price quality matrix
Price and quality are major points to be considered by the company in terms to
establish in new market. As they provide good quality of the furniture to their target
segment and cheaper than other brands so the people more attracted towards them. So
TKMaxx is very genuine for price and quality measure like they provide quality products
at low cost (Dolnicar, Grün, and Leisch, 2018). They have successfully passed all the
quality assurance management systems and satisfy all the criteria at international
quality system. They have all the passing certificate of quality.
3. Deciding of market entry strategy and mode
A good marketing strategy is needed for the company to enter in new market. If
they plan their strategies before launching the product, it minimizes the risk and crucial
factors which can affect their business in the particular country (Busse, 2017). By going
insight of the market research all other factors are analysed so that they can make a
business plan. It helps in enhancing the chance to be in lead, and they can perform the
profitable operations in the new market place.
Here are six steps to be followed when develop a market entry strategy
Set clear goals
Company needs to set their goals and targets they want to achieve. As they have
mentioned their objectives clearly, it will help them to work in that particular direction.
Like TKMaxx set their goal (Rowley, 2016) to sell their products like furniture in the
Croatia they have identified their target to cover the market and earn profit in six
months.
Research market
Analysis of the factors which affect the market most. This research about the
market of the country gives the proper scenario of the present condition, so it implies to
future plan of the company in new market. The analysis of the consumer demands,
competitors in market, marketing strategy is important. As they have keen idea about
suppliers, production, and operational units and their work flow. It will help them to make
their own strategy and how to implement it.
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Study the competition
During the market research, company came to know about the competitors.
Study of the competitors is major to be analysed, it gives the idea of their products, their
design, they get to know indirectly about the consumer demands, also their marketing
strategy hey follow to stay in market. Local vendors, suppliers, retail stores, they should
gain basic knowledge fashion trend in the market, pricing, quality (Johnson, 2016). Such
give criteria should be assessed previously.
Choose mode of the entry
The mode of the entry of the company is direct exporting its products by opening
its stores in Croatia because it enters in market with their ownership. They directly cover
the market with manufacturing their own products. After market research they have to
choose the right time to enter in the market.
Budget
Company have the full assessment of the funds, they should have reports about
the investments they need, their stakeholders, investors (Mohammad, 2015). the
planning needs the cost of productivity and marketing products, labour cost, set up cost,
locating new stores in market all such costs should be calculated and then they need to
manage their funds.
Develop strategy document
Each and every point should be documented related to developing the entry in
new market. This provides much relief to the company in terms to track the progress as
they start to establish the work in the new market they can find out the points and also
match with related criteria is followed or not (Guo, and et.al., 2018). If they skip any step
they can reverse the process at a time and work accordingly.
TKMaxx is very sensible in terms to grab new market and enter into new market.
They have expertise in it as they have opened their chain of the retail stores in Austria,
Germany, Ireland, UK, US, Asia etc. According to their previous experiences they are
able to work on the projects to establish their manufacturing and production units in the
Croatia as they have went through the consumer demands and current market condition
(Fleischmann and Phalet, 2018). So they planned their future in this market, it will be
able to meet the desires of the customer and raises their life style standard.
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Cage framework
CAGE framework includes the cultural, administrative/political, geographic,
economics factors according to the country's condition. This framework helps to
understand all these factor of the country in terms to establish a new supply chain in the
country. According to the researches Croatia has different aspects and comparison of
these factors are most important.
Cultural factor
Croatia has different culture, as it is developing country the new generation follow
the new trend. Somewhere people like the ethnic touch in their culture, as people
growing with the new technology and trying to put fashion in their country. People raise
their living standard as they have find out new resources of income (Hirshkowitz, and
et.al., 2015). They believe in changes and others are ready to adopt new changes in
their cultural traits. So this factor helps the company to establish a wide range of
products according to the changing trend.
Administrative/ Political factors
This is major part of the framework to be discussed, as the company needs to
deal with the administration of the country they need several permission which allow
them to establish their unit of business. They have their own policies and legislation
which should be followed by the company. TKMaxx enter in the country needs the
authorisation to business in the country. Government grants the permission for business
(Johnson, 2016). Company need to accept their policies in terms of taxes they have to
pay, rules to follow, criteria of export and import products. They have agreement over
such things. Croatia governments are very supportive and welcoming for new business
as this leads to globalisation.
Geographic factor
Company need to find the advantages and disadvantages of the geographic
condition of the country, how it will help the company to business and the locations
appropriate or not for the business. Company analyse the geographic condition
previously, then they finalise the location. But the government has strict rules for the
environmental laws. Company should follow them and as season changes it affects the
people of their country.
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Economic factors
Economy of the country should be favourable for the business. Company starts
new business they have to understand the economy of the country (Reich, 2017), it
helps them in supply chain as well. As TKMaxx establishes their new business in the
market, it raises economic conditions of the country.
4. Designing of an international marketing programme
Design of international market mix (4 Ps for the company)
Before entering the any market TKMaxx need to analyse the 7p marketing mix
strategy of a product. In which company need to decide target market for the launching
their product called, furnitures. There also many terms working together like, price of the
product, place, promotion etc.
1. Product: Company need to develop right furniture for the target market Croatia.
Country's people are interest to buy that products which are good at quality wise.
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Illustration 1: Marketing Mix

So, the company need to improve the quality of the furniture, and also need to
innovate new attractive deigns of the furniture which are actually able to take
attention from people. Customers also well-educated so company need to give
them the best furniture at a reasonable price because this is necessary to beat
local furniture manufactures (Schlegelmilch, 2016). Company also need to
maintain various varieties of the furniture, like; Tables, Chairs, Sofas, Office
Furniture etc. It will help to the company for gaining much reputation in the local
market 4p strategy. In order to have a strong impression on customers of Croatia
it is really important for the company to offer best quality products with unique
designs. The product offered should have all the attributes of fine quality
furniture. As the company is already operating wide range of the departmental
stores, by market analysis they find that if they can give the luxurious goods of
furnitures like sofas, table, chair, beds and other wooden item. It would be
beneficial for them because they already provides home décor items in their
stores, so it gives them extra benefits in terms of the availability of qualitative and
affordable products at one place. It would help them to take competitive
advantage.
2. Place: Company choose Croatia for launching their furniture products in their
local markets. This country is favourable for the furniture market. Locals are
ready to give premium price for the quality products. This country is one of the
richest country in the world. So, the buying efficiency is too good of the people
(Fleischmann and Phalet, 2018). They like to buy exclusive items in the market,
in that case company need to provide them exclusive range of furniture. It is also
vital for the company to choose the best location for establishing a store in the
market. The location of the store should be at busiest place in the market and
even at posh locations in order to attract customers.
3. Promotion : There are various ways of the promotion for furniture products. The
Croatia is developed country in technological form. It is important for the
company to select the best promotional strategies in order to generate
awareness among customers. So, there are company able to choose the
broadcast, internet, and social media for the promotion of the products. But of
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these most effective marketing mode for promoting its product is social media
marketing. As majority of the population of Croatia is youth and they like to spend
time on social media. So, it can prove effective promotional strategy for the
company.
4. Price: Company need to make a perfect price strategy which is able to fulfil the
market needs. Customer's income index is very high in this country. So, the
company need to produce premium furniture for the customers, because their
lifestyle and living standard is some higher (Schlegelmilch, 2016). Launch good
furniture verities and sell them on low margin is the best formula to cover Croatia
furniture market. In order to get deep roots in the market the pricing strategy of
the company should be low as compared to its competitors at initial stages and
then should go for premium pricing strategy after gaining a loyal customer.
5. Process: Delivery process will be good and no damage will be done to the
product while it reaches the customer. Research and development department of
the organization has improved the design and features so that TKMaxx can meet
the demands and needs of the customers of Europe in the right manner. The
company will be focused on middle class customers because the organization
has reduced their prices so that they can capture a large base for themselves in
the market of foreign country. Customers are focused on getting the best product
in low price and those products which matches their lifestyle which is a great
advantage for TKMaxx organization which will make the firm capture and attract
more customers.
6. People: Management of TKMaxx is all prepared for new strategies and methods
which have to be sued to expand themselves in the other countries. Employees
of the organization are well prepared for the changes which are going to take
place. The demand will increase therefore it is very important for the employees
to be motivated accordingly so that the company remains to function in efficient
manner. While expanding in other countries it is very important to change the
designs of the products according to the culture which the customers are
following so that the company will be able to attract more customers.
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7. Physical evidence: The new product has been designed in such a manner that
there will be a lot of comfort which will be provided to the customers which is a
very good strength for the organization. Look and design of the product is very
good and something which the customers of the other cities of Europe. Matching
the standards and lifestyle is very important for the physical evidence of the
product which TKMaxx has taken care of completely so that they can satisfy the
customers who are coming in the company and putting in their trust.
Pestle Analysis
Political Factors : Croatia is one of the most democratic and richest county in
the world. The country is a constitutional monarchy and also a parliamentary
democracy. There political factor affect positively to the company, because the Croatia
is one of the least corrupt countries in the whole world. The country is a friendly, tolerant
and co-operative society. If company wants to launch their new product in this country in
that company no need to pay a large amount of taxation, because there are tax rate is
so low (Noe, Hollenbeck, and et.al., 2017). The business environment is also too stable
and favourable for the all companies; local or international.
Economic Factors : The Croatia is the 17th largest economy in the world. So,
the buying capacity of the locals is also very good. They take interest in the buying new
things, in that case it is positive side for the TKMaxx to launch product in the Croatia.
Many other competitor companies also choose this country-market for spread their
businesses. Current GDP growth of the country is 2.7% and it is growing year by year.
This is a basic thing, if any country has good economic condition, then their markets
response are also become positive (Spielmann and Minton, 2018.). The Croatia is also
the transportation hub, with stable multinational industrial relations. So, the company
able to take advantage from their easy transportation facilities.
Social Factors : Customers of the Croatia are well-educated, which are ready to
pay premium prices for the quality products. They completely know about the market
conditions, and they also know their basic rights as a customer. This is influence the
company's work system positively by encouraging to produce that type of the products
which are actually able to maintain their quality while consumption. Locals are too much
supportive as a nature, if company give them the best product with reasonable price,
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locals are become loyal customers of the company (Huhtala, Vaniala and Tikkanen,
2016). These all socio-cultural environment of the country are too much favourable for
the TKMaxx to launch any product in the Croatia.
Technological Factors : The Croatia is one of the leading countries in
technological advancement in the whole Europe. So, this factor also impacting company
positively because the TKMaxx believe in modernization of the products in which this
factor helps in improving the quality of the products and also helps in the reduction of
production cost. Technical aspects are very important for the company to decrease
efforts and increase productivity. In the technological form (Johnson, 2016) the social
media is also widespread in the country, in that case company able to run their social
media marketing for promote their innovative products in the country.
Legal Factors : The legal factor of the country is very supportive for the
company, because their guidelines of the trade are not much complicated. Country
invite that all multinational companies which are helping to boost country's economic
growth. But there are country's legislation only give permission to that companies which
are completely followed the trade policies of the Croatia. These trade terms are
necessary for avoiding such negative elements from the local market. Croatia
welcoming that brands which are actually wants to run a legal business within the
country. The private ownership laws are very helpful for the both domestic or
international companies (Thompson, Strickland, and Gamble, 2015). So, TKMaxx
entering the Croatia market, company will not face any legal issue in the country.
Environmental Factors : The Croatia is very beautiful country in the world by
nature, which are truly attracts the travellers or tourists. But from last few years country
facing some natural disasters, like; sea level raise, water and air pollution, biodiversity
losses etc. So, now the Croatia government take action by stopping such industries in
the country which are highly spreading pollution. TKMaxx need to follow there
environment protection laws while their business activities in the country. Locals are
also understood the climate change results, so they never support to that companies
which are violating the environment protection laws. They also take protest for these
type of companies (Fleischmann and Phalet, 2018). In that case company need to
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launch only that type of products in the county which are completely eco-friendly and
follow their environmental terms.
Competitive advantages
According to the PESTEL analysis of the company TKMaxx, there are lots of
factors which can affect the business of the company. It is needed by the company to
plan according to the assessment of the following factors like consumer demands,
market condition, economic condition of the country, availability of the resources, supply
chain management etc. Porter evaluates the competitive advantages as a superior
performance of the company over its competitors (Agrawal, Schaefer, and Funke,
2018). Like other countries export and manufacture the products which cost high. So
the company can take the advantage of this is increasing demands for value furniture in
the market gives lots opf opportunities to the company. Establishing the manufacturing
unit and production gives the advantages in much sense like they don't need to borrow
the products and again sell them to consumer. It costs low in accordance of the own
manufacturing unit. As the can contact the suppliers of woods and many machineries at
their sites, the investment capitals is low. Hiring the local employ also gives the
advantages to the company in terms of market knowledge, they know the consumer
behaviour. So it helps the company to expand their business in the country. As other
vendors export the furniture form other countries costs high and decreases the
economy of the country. Likewise, such aspects to be inspected properly gives the right
criteria to adopt the marketing strategy and take competitive advantages. They can use
the upgraded technology for their manufacturing and product unit and launch their
furniture range easily in market (Mohammad, 2015). It can exploit the export demand
which again affect the economy and produce their own life cycle of products.
Key Findings:
 One of the major key findings is that starting a business in Croatia can be
profitable for the TKMaxx as there is a growth in the retailing sector of the
country.
 Another key finding of this report is that direct market entry strategy can be an
effective strategy for the organisation to start a business in the country.
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 Also TKMaxx has to consider various external factors before starting a business
in Croatia the factors like cultural factors, geographic factors, political factors, and
economic factors. Assessing these factors can help the company to establish
business smoothly.
 Another key finding is company has adopt proper marketing mix strategies like
there should be no compromise made with the quality of the product. Also,
initially company should adopt low cost strategy and use social media marketing
for promoting furniture in the country.
5. Recommendations
Company should take care about many things related to their products they
provide to the customers. They have to do market research before they enter in the
market. They should analyse the needs of the customers, what customer demands and
how they are able to fulfil their needs. It gives them idea of the product they can provide
to their customers. People in Croatia follow the quality measures they only like to but
the qualitative products. In terms of requirement fulfilment company needs to identify
the consumers eligibility like the product they launch in the country will be at reasonable
prices for customer. It also maintains the quality factors.
Geographically location should be suitable for the company. As TKMaxx is
establishing the manufacturing unit for the furniture production, it includes the wide
range of products in furniture like sofas, beds, tables, chairs, office furniture, home
decor etc. so they have to take care of the environmental laws, it should not be crossed.
As they need the wooden, steels and iron, as raw material it should not violate the laws.
Manufacturing unit should maintain the related laws of pollution.
Political and economic factors are major to establish the new business unit in the
country. So company must take care about the laws and policies should be followed
strictly. Support from the government helps the company to do further operations of
business.
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As company set their product range they should also concern about the pricing of
the products. It should be affordable. The design should be the latest according to the
fashion trend. Stylish and comfortable product for the consumers. They should follow
business plan so its implementation is appropriate, and they can't go out of track. As
mentioned the 4 P's company should follow the criteria about their decided 4 P's it helps
them to make further business strategy. As they set the goal initially, they can work
accordingly. They should employ the local people, so they have knowledge of the
market. They should be professional and highly skilled. They manage to work. So
company should prepare the strategy for employees in terms of motivation and
salaries . They should be able to fulfil the requirements of employees.
TKMaxx can follow such criteria to become successful and leading company in
the country. As they get brand value the country they can launch other like the y
possess the wide range of products like clothing, groceries etc. in their company.
21

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