International Marketing Strategies

This assignment delves into the influence of globalization on international marketing strategies, particularly focusing on the adaptation and standardization of the marketing mix (7 Ps). It examines the Romanian market, considering its rapid economic growth and integration with the EU. Students are tasked with evaluating how marketers can effectively tailor their product, price, promotion, and place strategies to succeed in this dynamic environment.

GROUP MARKETING
MANAGEMENT
REPORT AND
PRESENTATION

EXECUTIVE SUMMARY
This report is a continuation of strategic marketing project, which described about the
feasibility of launching hybrid bike in the Romanian market. This report is a step further in
which ways and approaches through which successful market entry can be achieved are
mentioned. It is essential for a business to adapt various elements of marketing mix according to
the customers specifications so that a favourable image in the market could be formed.
CBBE model is used by company to achieve higher customer brand resonance which
ultimately support in developing its brand equity. This model put more emphases on improving
the value, belief and attitude of a customer toward company so that its results in higher brand
awareness.
For expanding its business and promoting their hybrid bicycle company can use various
promotional tools such as sale promotion, advertisement and social media platform for
developing its brand image.
The measurement of success will be carried out through utilising various tools such as
sales target, profitability and return on investment. It is recommended that HopeTech can use
sales promotion techniques in order to increase their sales and profitability of the company. This
will likewise use advertisement and social media platform to communicate its information to
large number of people in order to develop higher brand recognition at new marketplace.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................1
INTRODUCTION...........................................................................................................................1
TASK...............................................................................................................................................1
Adaptation and standardisation of marketing mix..................................................................1
CBBE Model..........................................................................................................................4
Integrated communication mix and methods.........................................................................6
Measurement of success.........................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Marketing refers to the process of creating and promoting goods or services to customers
and persuading them to make purchases in order to satisfy their needs and wants . This report
focuses on HopeTech Ltd which is the manufacturer of bicycle parts located in UK. Now, they
are planning to expand their business in Romanian market by launching its latest developed
Hybrid bike by way of merger (Armstrong and et. al., 2015). This report elaborates the use of
standardisation or adaptation strategy in its marketing mix. Further it explains the use of CBBE
model and IMC that help HopeTech in building positive brand image in the market.
TASK
Adaptation and standardisation of marketing mix
Marketing mix refers to the combination of various factors used by companies in order to
influence their existing as well as potential customers for purchasing its product or services. For
implementing international market expansion strategy it is very essential for HopeTech Ltd., to
involve strategic-level decision in its global branding process which are of two types:
 Standardisation:- It refers to the strategy under which company offer existing product
with same pricing strategy and same promotional efforts at new place because of
homogenisation of people's need and want (Standardisation vs Adaptation in
International Marketing, 2018). For example: Though coca-cola operates at global level
still company uses standardization in term of its brands, packaging, positioning and
distribution.
 Adaptation:- This strategy involve modification within the existing product by adding
new features in order to fulfil the need of customers in chosen market (Kraus, S. and et.
al., 2016). For example: Domino's uses adaptation method whenever it enters into new
market by updating its pizza topping as per the preferences of the target market.
Marketing mix consists of seven elements which are used to attract customers toward
company's products, which are explained below:
Product:- HopeTech Ltd., is an organisation based in UK, which manufactures the part of
bicycles such as breaks, hubs, headset, bottom breaks and lights. Now company want to expand
its business in Romania by using adaptation strategy. In which they offer advanced hybrid cycles
for the people who comes under the age group of 15-35 years. Company need to do adaptation in
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its offering in order to encourage health consciousness among the population of Romania
(Puwanenthiren and Udurawana, 2015). The reason behind offering hybrid bike is that majority
of population in Romania is employed and they don't have time for physical workouts. With the
help of this bicycle, company can encourage healthy lifestyle and also support country in
minimizing air pollution.
Price:- HopeTech is currently using low pricing strategy in UK market, as they put more
emphases toward offering their products at an affordable price for capturing larger market share .
Company is now planning to launch its hybrid cycle in Romania, which is a new product for this
market. Therefore company is required to adopt new pricing strategy for offering its bicycle in
new market as it is being offered to a specialized segment (Overseas Marketing, 2018).
HopeTech is recommended to use differential pricing method which help company in achieving
maximum revenue.
Source: Overseas Marketing, 2018.
Above given image shows the types of marketing mix which is the combination of 4P's of
product and 3P's of services. This 7P model used to formulate marketing strategies for attracting
the customers toward company's product or services.
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Illustration 1: Overseas Marketing

Place:- This element of marketing mix focuses on decisions relating to location and
distribution of products and services. Now company want to expand its business in Romanian
market focusing on Bucharest as it one of the most developed region in the country. The reason
behind expanding its business operation in this country is that Romania is one of the fastest
growing economy among the members of EU with the growth rate of 8.8% (Romania: The
Fastest Growing Economy in the EU, 2018). Company offer its products using online platform
only, but now company is planning to merge with Pegas which is a bicycle brand of Romania
since 1972. So, it is recommended that HopeTech should adopt new methods for its expansion
such as physical outlets of Pegas along with opting for e-commerce platforms to ensure flow of
goods are maintained.
Promotion:- HopeTech generally use social media platform such as Facebook, twitter for
promoting its product and to display its advertisement (Wirtz and Lovelock, 2016). For its
expansion plan company is required to adopt promotional techniques which are prevailing in
Romania market. Social media platform will be more beneficial for company as this country is
more technologically developed and one of fastest growing country in Europe.
People:- As HopeTech is merging with Pegas. Hence, for manufacturing of its new
hybrid bicycle, it can optimumly use its resources and get the financial synergy (Hashim, N. and
Hamzah, M. I., 2014). Therefore, company is required to adopt the manufacturing process and
working style of employees working with Pegas in Romania.
Process:- In UK, HopeTech manufactures t bicycles parts but now it is planning for
business expansion in Romania by offering new hybrid cycle. So in order to manufacture these
bicycle, company is required to adopt the process used by Pegas. HopeTech can use
manufacturing site of Pegas for developing its hybrid cycles (Abedi, G., and et. al., 2015). They
can also modify their websites by adding categorising their products according to their model,
features and prices in order to simplify the buying process of customers.
Physical evidence:- HopeTech Ltd., uses a double height engine room in order to
showcase their bicycle models which includes best cycling pictures over walls, flat-screen TV
wall for displaying videos of riders in order to attract the attention of visitors (Wirtz and
Lovelock, 2016). In this, company is required to adopt the methods used by Pegas for
displaying hybrid bicycle in their outlets so that it is perceived as more convenient and appealing
to people.
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CBBE Model
For building up a strong brand equity it is very essential for HopeTech Ltd. To influence
the way customer think about company's product which can be done using Customer-Based
Brand Equity(CBBE) model. This model put more emphasis toward building a strong brand
image so that customers have positive thoughts, feeling, beliefs and perception about brand
(Bianchi, Pike and Lings, 2014).
(Source: CBBE Model or Keller’s Brand equity Model, 2018)
The image given above shows the Brand equity Pyramid which includes four step
represents four fundamental questions that are generally asked by customers about brand which
are as follows:
Brand Salience (Identity) Description:- Brand salience/awareness requires that company much achieve higher
customer recognition so that they can achieve the targets which are determined by
HopeTech related to buying process (de Oliveira, Silveira and Luce, 2015).
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Illustration 2: CBBE Model or Keller’s Brand equity Model

 Application:- HopeTech Ltd. can use market segmentation for the purpose of
understanding target customer segment. The target segment is further communicated with
the brand's value proposition through various promotional and communication tool so to
create a brand identity in the market.
Brand Imagery (Meaning) Description:- This step includes two building block that are performance and imagery.
Performance refers to how well company's product fulfil customer's need in term of
products reliability, durability, empathy etc. On the other hand imagery means fulfilment
of customer's need as per social and psychological level (Chekalina, Fuchs and Lexhagen,
2014).
 Application:- HopeTech is planning to launch a hybrid cycle which help in promoting
healthy lifestyle among the people of Romania. The people who possess decent
disposable income and wish to lead a healthy life will definitely avail this product. It is
very important for this business to communicate their values along with use of distinct
promotional tool. The recognising and influencing their first impression will lead to
higher brand building.
Consumer reactions (Responses) Description:- Customer responses are divided into two categories which are judgement
and feeling (Çifci, Ekinci and Whyatt, 2014). Customers constantly make judgements
about brand on the basis of product's quality, credibility, consideration, superiority etc.
 Application:- HopeTech Ltd. can communicate about its product by informing customers
about the positive aspect of using bicycle. Company can approach people using social
media platform for identifying the views of target market related to its latest hybrid cycle.
Consumer brand Resonance (Relationship) Description:- Brand resonance is most difficult but most desirable level to reach which
can only be achieved when customer feel a psychological bond with brand (Mahmood,
2018).
 Application:- HopeTech must perform detailed research over target market to identify the
demand of its potential customers and then position their product as a solution to their
problem. Company should ask its potential customers to give their feedbacks over
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product and tries to address them by introducing improvement over their product. This
help HopeTech in building strong customer relation with brand.
Customer-Based Brand Equity model will be very helpful for HopeTech Ltd., as it work
as a road map by which company can assess their progress in their brand building efforts. This
model generally involve planning, implementation and interpreting brand strategies.
Integrated communication mix and methods
Integrated marketing communication refers to the process of integrating various methods
of brand promotion to ensure that these promotional tools can work as a harmony and the
message can be appropriately deliver to its targeted customers. HopeTech can use IMC for
promoting their hybrid cycle among end-users in order to develop brand awareness which in turn
will help them in achieving sale target and in maximizing profit.
IMC is critically important to HopeTech Ltd for successful launching of their hybrid
cycle by ensuring that the product can reach the target market right time through right channel
and with correct message (Luxton, Reid and Mavondo, 2015). Following are the types of
promotional tools that can be used by HopeTech which help them in promoting the product to
their target customers: Advertisement:-It is the most effective and commonly used method for promoting brand,
which is used to deliver the information about product and services to large number of
people within shortest possible time frame. Advertisement can be placed in newspaper,
television, radio, billboard, mobile which help HopeTech to influence their customers to
buy their bicycle (Eagle and et. al., 2014). It help in boosting up sale and also develop
brand awareness among the targeted customers of Romania by circulating right messages
to its target customer through appropriate channels. Sales Promotion:-It refers to the short term tactics which is used to persuade the
customer for making purchases in order to boost up sale and is also help in building
customer loyalty for long term. Sales promotional techniques such as trade exhibitions,
sports events etc. will be helpful for HopeTech in developing brand awareness among
people. As these techniques will help company in grabbing attention of targeted
customers (Valos and et. al., 2016). By sponsoring sports events HopeTech will also get
media coverage which automatically develop brand awareness and recognition in
Romania.
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 Social media:- It refers to the process of promoting the product and services by company
using social media channels such as Facebook, Twitter etc. Social media marketing is one
of the most essential tool which help HopeTech Ltd in promoting their hybrid bicycle and
creating brand awareness (Belch and et. al., 2014). Company can use health and fitness
related blogs to place information about the benefit of using hybrid bicycle and it can also
create its promotional video to display its features over social media sites to attract people
towards it.
Measurement of success
According to Andrew Kucheriavy, (2018), Measurement is very essential for
optimization of any process so when company measures key performance indicators for
marketing campaign they can identify clearly what works and what doesn't. It help HopeTech in
determining the area where they need to put more efforts in order to get higher marketing
success. Following are some key performance indicators that can be used by HopeTech Ltd. For
measuring their marketing success:
 Return on Investment(ROI) :- It refers to the performance measurement tool which
helps in evaluating the efficiency of investment and the profit generated over investment.
By using ROI, HopeTech Ltd can measure its marketing success by evaluating the profit
earned over the investment done by company (Davis, 2017). For improving the ROI,
company can offer its bicycle with some unique features to provide better customer
satisfaction so that they can achieve higher return. Company can also prepare their budget
which help in minimizing additional cost related to promotional and manufacturing
process which in turn will increase ROI for the business.
 Sales target:- Sales targets means setting sales revenue which has to be achieved by
company within specified time and is measured in quantitative terms. This is the another
method of evaluate marketing success in which HopeTech can set target over the sale of
product for particular time period (Kenny and Bourne, 2015). For Example: Hoptech is
planning to sell approximately 1000 units for the coming year. After the completion of
this period company can compare the actual sale with targeted in order to determine the
progress of its marketing campaign and if there is a gap between these two performance
then company must identify the reason behind it and ways for improving performance.
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HopeTech can use sales promotion technique in order to increase customer traffic which
further help in increasing sale.
 Profitability:- One of the most commonly used tool for measuring marketing success of
company is profitability. It refers to the profit earned by firm throughout the financial
year. HopeTech can compare its estimate profit with actually earned revenue in order to
determine its success in case if the profit earned is below than estimated amount then
company must try to determine the reason behind it (Arnett and Wittmann, 2014). For
example: This business is planning to earn profits of approximately 55400 romanian leu
as profits for the first year which is equivalent to £10,745. HopeTech can use the
manufacturing sites and machineries of Pegas to develop their hybrid bicycles which help
in reducing the expenses which in turn will automatically maximize the profitability.
CONCLUSION
From the above report it can be concluded that marketing mix is very essential tool which
help in formulating appropriate strategy that support in boost up sale and increase brand
awareness. CBBE model will help business in building strong brand equity, this process also
involve use of various promotional activities that can be better performed with the help of
Integrated Marketing Communication. There are various tools available such as ROI,
profitability and sales target that helps company to measure its marketing success.
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REFERENCES
Books and Journals
Abedi, G., and et. al., 2015. Surveying the impact of services marketing mix components (7Ps)
on patients’ disposition towards the public & private hospitals of Sari City. Journal of
Hospital. 13(4). pp.63-71.
Armstrong, G. And et. al., 2015. Marketing: an introduction.
Arnett, D. B. and Wittmann, C. M., 2014. Improving marketing success: The role of tacit
knowledge exchange between sales and marketing. Journal of Business Research. 67(3).
pp.324-331.
Belch, G. E., and et. al., 2014. Advertising: An integrated marketing communication perspective.
McGraw-Hill Education.
Bianchi, C., Pike, S. and Lings, I., 2014. Investigating attitudes towards three South American
destinations in an emerging long haul market using a model of consumer-based brand
equity (CBBE). Tourism Management. 42. pp.215-223.
Chekalina, T., Fuchs, M. and Lexhagen, M., 2014. A value co-creation perspective on customer-
based brand equity model for tourism destinations: A Case from Sweden. Finnish
Journal of Tourism Research (Matkailututkimus). 10(1). pp.8-24.
Çifci, S., Ekinci, Y. and Whyatt, G., 2014, July. A cross validation of consumer-based brand
equity (CBBE) scales in fashion retail industry. In 2014 Global Marketing Conference at
Singapore (pp. 1459-1468).
Davis, J. A., 2017. Measuring Marketing: The 100+ Essential Metrics Every Marketer Needs 3rd
Edition. Walter de Gruyter GmbH & Co KG.
de Oliveira, M. O. R., Silveira, C. S. and Luce, F. B., 2015. Brand equity estimation model.
Journal of Business Research. 68(12). pp.2560-2568.
Eagle, L. and et. al., 2014. Marketing communications. Routledge.
Hashim, N. and Hamzah, M. I., 2014. 7P's: A Literature Review of Islamic Marketing and
Contemporary Marketing Mix. Procedia-Social and Behavioral Sciences. 130. pp.155-
159.
Kenny, G. and Bourne, M., 2015. Performance measurement. Wiley Encyclopedia of
Management, pp.1-3.
Kraus, S. and et. al., 2016. Standardisation vs. adaption: a conjoint experiment on the influence
of psychic, cultural and geographical distance on international marketing mix decisions.
European Journal of International Management. 10(2). pp.127-156.
Luxton, S., Reid, M. and Mavondo, F., 2015. Integrated marketing communication capability
and brand performance. Journal of Advertising. 44(1). pp.37-46.
Mahmood, S. M., 2018. Building strong brand equity through developing and implementing
strong brand strategy: in perspective of Bangladeshi supermarkets. South Asian Journal
of Marketing & Management Research. 8(1). pp.19-34.
Puwanenthiren, P. and Udurawana, Y., 2015. Market segmentation and its impact on customer
satisfaction with especial reference to commercial bank of Ceylon Plc.
Valos, M. J., and et. al., 2016. Exploring the integration of social media within integrated
marketing communication frameworks: Perspectives of services marketers. Marketing
Intelligence & Planning. 34(1). pp.19-40.
Wirtz, J. and Lovelock, C., 2016. Services Marketing: People, Technology. World Scientific
Publishing Company.
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Wirtz, J. and Lovelock, C., 2016. Services Marketing: People, Technology. World Scientific
Publishing Company.
Online
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