Strategic Marketing Review : National Oil Corporation of Kenya

Running head: MARKETING 1
Strategic Marketing Review
Student Name
Institution

MARKETING 2
Abstract
National Oil Corporation of Kenya needs to consider exporting oil Netherlands. This
export strategy provides an analysis of various business aspects that increases the feasibility of
exporting oil to the Netherlands. The paper provides an analysis of the destination country where
the company needs to export oil to giving the PESTLE analysis of the country. The paper also
provides an analysis of Kenya being a developing country within the continent of Africa.
Analyses of the national oil corporation of Kenya that include products it deals in and other
operational information. The paper provides various business strategies that are important for
market entry and operations. In addition, the paper also gives various logistics that include
transport logistics, documentation logistics, transaction logistics, and distribution logistics.
Another area of focus of this paper is international trade theory that is mainly free trade resulting
from the bilateral trade agreement between Kenya and the Netherlands. Moreover,
recommendations for implementation are market analysis, market relationship building within
the Netherlands, licensing, and working out the trade framework for business. The paper
concludes by giving various steps for the implementation of these recommendations to ensure
business fully begins the operations.
Table of Contents

MARKETING 3
1. Recommendations............................................................................................... 2
2. Background information....................................................................................... 3
2.1 Netherlands....................................................................................................... 4
2.2 Kenya................................................................................................................ 5
2.3 National Oil Corporation of Kenya.....................................................................5
3. Analysis of the export strategy............................................................................6
3.1 International trade theory................................................................................. 6
3.2 Approaches used by firms.................................................................................7
3.3 Logistics............................................................................................................ 7
3.4 Mode of transportation...................................................................................... 7
3.5 Information technologies...................................................................................8
3.6 Incorporating ethical issues in strategic decision-making.................................8
3.7 Accessing market opportunities........................................................................9
3.7.1 Entry strategy............................................................................................. 9
4. Recommendations for National Oil Corporation of Kenya..................................10
5. Implementation plan.......................................................................................... 10
Conclusion................................................................................................................ 11
References............................................................................................................... 11
1.Recommendations
National Oil Corporation of Kenya can start exporting oil and oil products to the
Netherlands to enjoy the free trade agreement between Kenya and the Netherlands. The company

MARKETING 4
can start trading by conducting market research on various oil market factors such as prices. The
company can then do the certification of business in the Netherlands to ensure that there is no
problem when trading. The company than through the team of experts come up with trading
relationships with various players within the oil sector of the Netherlands. The company will
come up with a trade framework that will provide the scope of operations within the international
trade and this also includes logistics. Lastly, the company will start pilot trade that will start by
exporting the oil and oil product to the Netherlands and companies in the market.
2.Background information
Oil trade remains an important commodity within international trade and any company
capable of trading in oil stands a chance of growth. National Oil Corporation of Kenya needs to
trade with the Netherlands on oil due to the opportunity that currently exists in the market. There
is a trade opportunity that exists between Kenya and the Netherlands that is created by the
signing of bilateral trade between the two countries. Besides, crude oil and refined oil are the two
highly ranked imports of Netherlands that present opportunity for investment (Christopher,
2010).
Kenya and Netherlands are key players within the world trade organization. The two
countries are members of the world trade organization and this has ensured that there is smooth
trade between the two counties. Firstly, the Netherlands has various WTO rules that control trade
among member nations. The country has been involved in trade resolution regarding various
countries within the European Union. Secondly, Kenya has also been a key member of WTO and
this has enabled the country to host various WTO conferences within the country. This has
increased participation in trade between Kenya and other countries. Kenya has various trade