Marketing Strategy and Plan

Marketing Strategy and Plan

Executive summary
The international expansion of the brand is the imperative aspect which influence
corporation to deal with the several types of issues which affect the margin and overall rate of
return. In this context, corporations seek for the lucrative options available in the external
environment which facilitates to derive the valid outcome with the increased rate of return. For
this purpose, the current report discover Russia as the most effective market for Chatime to
expand in the new market. In this regard, product development strategy would be effective where
the business with its variety of drinks will be entered into the new market. Here, it has been
suggested that corporation can use the cost-leadership and differentiation marketing strategy as
the firm would target different segments whereby it gets easy to target the potential market with
the increased rate of return.

Table of Contents
1.0 INTRODUCTION.....................................................................................................................1
2.0 VALUE ANALYSIS.................................................................................................................2
3.0 ANALYSIS UNCONTROLLABLE FORCES.........................................................................3
3.1 PEST (Political, Economic, Social and Technological) analysis of Russia..........................3
3.2 Porter’s Five Forces model....................................................................................................4
4.0 SEGMENTATION, POSITIONING AND TARGETING.......................................................6
5.0 GROWTH STRATEGIES.........................................................................................................8
6.0 MARKETING COMPETITIVE STRATEGIES.....................................................................11
7.0 CONCLUSION........................................................................................................................12
8.0 REFERENCES........................................................................................................................13
List of Figures
Figure 1: A model of value chain analysis......................................................................................2
Figure 2: Porter's Five Forces model...............................................................................................5
Figure 3: Ansoff's Growth Matrix.................................................................................................10
1.0 INTRODUCTION
Marketing strategy is a long-term and forward-looking approach to planning with the
inclusion of stated goals achievement and get sustainable competitive advantages (Hawkins and
Mothersbaugh, 2010; Baker, 2014). In this context, the current report is based on the preparation
of a strategic marketing plan in the context of the expansion of business in the Russian market.
For this purpose, Chatime tea company has been selected to expand the business. Here, different
models such as value chain analysis, Porter's five forces, PEST (Political, Economic, Social and
Technological) analysis has been applied to analyze the market. Furthermore, appropriate
segmentation, positioning, targeting has been done and accordingly Ansoff's growth strategy has

been used. At the cost leadership and product differentiation strategies has also been applied for
the Chatime products.
 Objectives of the marketing plan- To analyze the competitive market of selected
location Russia to expand the business of Chatime.
 Overview of the Chatime- Chatime is a Taiwanese global and largest teahouse franchise
in the world which operates in 38 countries along with 2500 outlets. The company
provides different types of products such as Bubble tea, Flavored tea, Mousse, Smoothie,
energetic drink, Coffee, Milk tea etc. which relatively contains less sugar. The company
operates businesses in the US, Japan, India, Canada etc. Furthermore, the revenue of the
company is around 20 million US$ as per the census of 2011 (Cha time, 2019).
 The justification for market selection (Russia)- Being an international brand; Chatime
has covered wide geographical areas such as the Philippines, Thailand, South Korea,
China and India etc. However, some markets like Russia are still untapped but it has
enormous growth potential. Here, the rationale behind the selection of Russian market is
the high demand for coffee and people are economically strong which are keen towards
healthy drinks and tea etc. (The Dynamic Coffee Culture in Russia, 2015). Further, the
Russian market is a politically stable and strong market which is supportive for Chatime
or any new business. Thus, the selection of the Russian market is justifiable for Chatime.
2.0 VALUE ANALYSIS
The study of both types of activities supports in reducing the cost for the firm. Here, a
value chain analysis has been done in the context of Chatime for expansion of the business-