International Marketing: Scope, Concept, and Strategies for Global Markets

This report discusses the scope and concept of international marketing, the difference between local and international markets, and the different routes for global markets. It evaluates the criteria and process of selection and explains the pros and cons of market entry strategies. The report focuses on Davison Canner Ltd, a UK-based company in the fruit and vegetable preserving and specialty food production industry, and its expansion into the US market.

INTERNATIONAL
MARKETING

Table of Contents
INTRODUCTION................................................................................................................................3
MAIN BODY.......................................................................................................................................3
Main difference between local and international markets......................................................3
Assessment of scope and concept of international marketing and explanation of rationale of
marketing................................................................................................................................4
Different routes for global markets........................................................................................6
Evaluation of criteria and process of selection.......................................................................8
Explanation of market entry strategy and its pros and cons.................................................10
Evaluation of adapting marketing strategies........................................................................12
Recommendations................................................................................................................13
CONCLUSION..................................................................................................................................14
REFERENCES...................................................................................................................................15

INTRODUCTION
International marketing refers to the global marketing including the promotion of goods to
people across the globe. In other words it is activity which occurs crosswise borders. It is a
procedure of planning and execution of conception, pricing, marketing and distribution of
suggestions ,products and services for creating exchange which satisfies the personal and
organizations goals and objectives. It includes more than 2 nations and enables exchange among
organizations and foreign consumers. It is a feasible option for businesses for development and
growth. The company chosen for this report is Davison Canner Ltd. It is as United Kingdom based
company headquartered at CRAIGVON. It deals in fruit and vegetable preserving and speciality
food production industry. It was incorporated in 1978 by Davison family. This report mention the
differentiation between local and international market. It will analyse the scope and concepts of
global marketing and rationale for marketing organization. Different routes to global markets will
also be stated. In short the report will discuss the various strategies for entering in the market of
United States of America and what will be its consequences in context to the company.
MAIN BODY
Main difference between local and international markets
Marketing is the most effective and efficient way of managing and using the organization
resources for meeting the demands of consumers and goals and objectives. It consists of selling the
organization goods for satisfying the consumers needs. It consists of planning,conception and
execution of ideas, costing,marketing and distribution of organization goods for organization
objectives and consumers satisfaction(Asseraf, and Shoham, 2019).
. It can be done local and inter national market place both.
Local markets- It refer to the selling of organizations goods within the domestic financial
market place with 1 set of competition and issues of economic concerns making it more convenient
for doing. There are less barriers of language in local marketing, getting and interpretation data on
domestic marketing trends and customer needs becomes easier and fast. It aids organization in
taking effective decisions and develop promotion strategies which are more efficient and effective.
Risk is also less with local marketing and requires less financial resources.
International marketing- It is the marketing and sales of a organization goods to customers
in various nations. It is of complex nature and needs large amount of resources. Each nation have
its own rules and regulations on business and organization focuses at entering in business in another
nation firstly knows about it. Tastes and preferences of customers are also different so the strategies

of marketing must be developed for meeting the demands of various nations. It needs more effort
and time and is very risky also. The global market is very unsure and organization always be
prepared for changes which may appear suddenly. It need high level of commitment for success in
global market place(Griffith, Dean, and Hoppner, 2021) .
Assessment of scope and concept of international marketing and explanation of rationale of
marketing
Globalization of business will aid in brand image building and brands value of the company.
The concept of globalization refers to the activities of business in outer world. Essentially the
goodwill of the organization will aid in contributing in the maximization of profitability due to the
changes of the mind sets of consumers towards the organization. It aids in establishment of
organization with new and various approaches aiding in creation of worth of organization in
between the competitors and consumers. After organization decides for expanding the business
operations by opening branches in other nations it needs to follow the various laws and
regulations,formalities consisting of sanctions from authorities, needs and demands of market,
customers demands and social affairs. It is not simple to corporate in other nation in terms of
incorporation of new organization and expanding the existent business. Different activities
associated with business such as formulation,manufacturing and marketing includes various people
from all over the globe to work together. Employees of the organization interact with each other
and meet for recreation and business which leads to build relationship and understanding. Business
in other nations gets impacted by some factors like rapid growth of WTO( WORLD TRADE
ORGANIZATION) and which controls the international markets by formulation of rules and
tariffs. Business have to deal with all of these for operating in other nations(İpek,2020).
Rationale for expansion of business in global markets
 In global economy today organization of all sizes want to do business in international
markets for different reasons. Davison Canner is one of those organization which wants to
expand and operate in global market for gaining the benefits(Javalgi and Russell, 2018).
Some of the benefits are mentioned here-
 Diversification- Davison Canner want to expand business globally for diversifying the
assets which helps in protecting the organization bottom lines for unforeseen events.
Organization may face negative growth in one market but may operate successfully in
another. Davison Canner wants to utilize the US global market for launching innovative
goods and services helping in maintenance of positive stream of revenue.
 Access to talent- It is another benefit of going international for accessing the skilled pool of

talent. Davison Canner will get unique benefits by using international labours in terms of
increased productiveness,improved skills of language and different educational
backgrounds. Davison Canner wants to expand to US for hiring multilingual and global
minded workers who are experts and professionals.
 Competitive advantage- Davison Canner selected US for gaining competitive benefit over
competitors. They are expanding in the markets where the competitors are not operating
and organization will get first mover advantage allowing them in building strong awareness
brand with customers even before their competitors.
 Foreign opportunists for investment- Davison Canner is considering expansion in global
markets for getting opportunities which foreign market can offer. They will be able to build
new resources and connections by operating in international markets. It will benefit in
getting investment which they may not get in home nation.
 For increasing the revenue- It is the most important reasons for the management of
Davison Canner for going international for increasing the sales. By going international
organization will have chance of targeting new market places and in gaining access to large
consumer base resulting in more revenue(Katsikeas, 2018).
Different routes for global markets
 When the organization wants to go international there are various types of routes for
entering which are available to Davison Canner by which they can enter in the global
markets for expansion of their business. Here are some of the global market expansion
routes-
Setting up the office in other nation- It is a high cost and risky venture as organization will
have to manage the remote office also which very far. Davison Canner can open a office in US
market and hire local staff so the company will have excellent presence and look like a local
enterprise. It is the long term goal for the organization(Kozlenkova, and et, al., 2020).
Pros
 Consumers will feel that company is committed in market for long time which will build
trust.
 Company can easily provide post sales services to consumers.
Cons
 Clashes among current and global office way for doing business.
 More over heads and requirements of tax.

Working with independent agents- The agents will be the face of the organization in
United States. They will introduce the company and its products to consumers directly. Davison
Canner will be paying commission to agents only when they introduce the goods to consumers.
They can pay 2.5% or 3% commission based on the performance.
Pros
 Agents can effectively manage and control the documentation and local payments.
 They will build relationships with the clients who will provide business to company.
Cons
 Agents will have the control of consumers and routes to market
 For managing the agents the company may have to face many challenges.
Joint venture- It is the collaboration of 2 organizations to establish a new joint owned
business. One of the partners of the organization will be local located in foreign markets. The
organizations can create a team for management and can share the control of joint venture. Davison
Canner can partner with some local firm for expansion of business and satisfy the consumers needs
in global markets,it will help the organization to manufacture goods on large scale top meet the
international demands.
Pros
 Company will get access to new markets and networks of distribution.
 Risk will be shared between the partners
Cons
 Communication among the partners may not be that great due to the distance issue.
 Work and resources of the venture may not be equally distributed.
From the above study it has been found that for expansion of the business in US markets the
organization Davison Canner can choose the joint venture as the international expansion route. By
opting this option the expansion will be more easy for the company as Davison Canner will not
have to invest in establishing its own office in United States which will reduce its expenses. One
more reason for this option is that the organization can enter in the global markets with more ease
and trust in consumers as they will be benefited of the local firms brand image and get access to
knowledge of local markets.
Evaluation of criteria and process of selection
 Process of market selection plays a significant role in marketing. Market place can be
bifurcate on different levels like local and international markets. It is done by the help of

verbal analysis and objectives of persons(Oyewole, 2018) . Here are some of the methods
which can be used by Davison Canner-
 Objectives of marketing at global level- This is the first step for entering in global market
by establishing the objectives and goals of the company. If the aim of objective is clear then
business can operate in proper manner by accessing opportunities for business. Business can
also examine the facilities of export which can be used in business. Organization can
analyse the different opportunists of marketing in this step by the law.
 Factors impacting selection markets- In this step comes the management of Davison
Canner should assess the various factors such as demand,markets, cost of selection of
market places for company(Gomes, Sousa, and Vendrell-Herrero, 2020).
 Screening of markets- Main focus of this step is on knowing the possibilities in the
selected markets. Davison Canner will enter in those markets which will have more demand
of the goods. The boundaries consists of economy structure,per capita income,politics,
population size and peoples lifestyles.
 List of market- The establishment of best markets and which is suitable for business for
developing and growing the business. After verification the organization may short list the
region of markets so it can start the business with success.
 Evaluation and selection- It is last step used for evaluation of results derived from previous
steps and now Davison Canner can analyse the all the opportunities. After evaluation they
must select the suitable places for business. Place selected must be related to environment of
business.
 Test marketing- It says that the business can access test on market place it has chosen in
previous steps. It will aid the management to know the outcome of selected markets of the
organization. It provides feedback to organization management for the selection decision.
From the above study it has been found that Davison Canner may effectively capitalize the
various opportunities and get sustainable growth in global markets. Expansion of the business in US
markets is the best opportunity for Davison Canner. As US is the most developed nation in the
world and Davison Canner will get huge consumer base who have high purchasing power. It will
give company more demand of its products. The main challenge that organization is the US laws
which are very strict and different trade policies which will create barriers for the company. It
becomes important for Davison Canner for finding the solution for dominating in the US markets.
The main aim of the company is to offer the consumers high quality goods which will build the
brand image in the US market(Sam 2020).

Explanation of market entry strategy and its pros and cons
Strategy of market entry refer to the planning of products and services in new target market places.
The strategy of market entry mentions the goals and objectives of company and overview of target
market place(Donthu, and et, al., 2021).. Here are some strategies with its advantages and
disadvantages-
Export- It means when one nation delivers products and services to another nation. It will involve
the trade of currency among the nations which are included in global trade. Export increases the
scope of internationalism all across the globe. The products exported will market the organization
business.
Pros
 It enhances the opportunities for job for individuals which are involved in global business.
 It also increases the global trade which will directly impact the nations economy.
Cons
 It will result in lack of control of owners of goods as there are different conditions where
businessman fails in satisfying the consumers needs.
 It will also result in increase in price of products which are delivered in various nations.
There are different taxes which are applied on products imported manufactured by
organization.
Licensing- It is the way by which the activities of business operate in other nations. It is due
to licensing the other individual get opportunity for operating the same business which has good
image in market. The individual will enjoy the image and earn profits in future. It ios also known as
franchising and is very cheap and cost effective in current market.
 Pros
 Less expensive than other type of business.
 Reduced risk of operating business.
Cons
 It increases the competition in markets.
 It includes limitation in hall mark and specific products.
Joint ventures- They are the type of business venture where there is 2 or more owners of
the business. The money is invested by both the owners of the venture(Donthu, and et, al., 2021).
The liability is of both the owner. There is different process which is to be followed by the
organizations.
 Pros
 Sharing of risk is the main benefit if this venture.

 Liabilities are shared in the business procedure among the founders of organization.
Cons
 No single control is over the operations and tasks of business.
 Conflicts may arise among the founders of business.
Evaluation of adapting marketing strategies
 Evaluation is the significant part of marketing. It aids the organization in elimination of
ineffective strategies and development of overall plan which will help Davison Canner in
building the business. By doing constant evaluation of plan of marketing company can save
money by changing or removing the marketing campaigns which are not meeting the goals
and objectives of company and the target market or response. In planning the organization
must build mechanisms for monitoring the success of marketing strategies for making
evaluation less expensive and cheaper. Here are some of the marketing strategies-
 Facilities of infrastructure- It plays a significant role in company in going internationally.
The region of market place should be properly evaluated by the management of Davison
Canner resulting in understanding of market place and development of plan for efficient
and effective operation of business. With this the different techniques and tools should be
involved by the organization for studying the market places in proper manner. It aids them in
manufacturing the quality products as per the demands.
 Nature of competition- The competition in market places impacts the development and
growth of Davison Canner and is very important for the management of organization for
formulating strategies against the competitors. These aid in elimination of difficulties.
Competition affects the company's operations by affecting the cost of goods manufactured
by the company by providing less cost goods to consumers in the markets.
 Goods quality- Whatever is the strategy is selected by the Davison Canner the quality of
goods manufactured must be of top notch as the goods will be the main ambassador of
organization in other nation and if its quality is bad then it will affect the brand image of s
company affect its sales(Asseraf, Lages, and Shoham, 2018).
Recommendations
 Here are the recommendation for the Davison Canner for how they can enter in global

markets-
 It has been advised to Davison Canner that for expansion the business in global market
place they may use the joint venture as its main entry strategy as it helps in management of
the current business with ease and expansion of new venture also by enjoying various
benefits and opportunities.
 It is very crucial for the organization to examine the environment of business which
provides helps to company in enjoying different benefits.
 Appropriate training must be given to employees by the management of organization for
proper running of business activities.
 Organization may use the online social media platform such as You tube. Facebook, Twitter
etc. for improving the image in between the consumers in the target market place.
CONCLUSION
The above project concludes that it is very crucial for organizations management for
development of various types of approaches for effectively entering in the global markets. The key
concepts of global markets and its rationale was also briefly mentioned. Various routes by which a
firm may enter in global markets were also stated. By doing inter national business the
organization may enjoy many benefits like improvement in revenue and profitability. The
preceding project concludes the various types of modes of entry with pros and cons and also the
process of selecting market with recommendations.

REFERENCES
Books and Journals
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conceptualization and research agenda. International Marketing Review.
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