Unit 40 International Marketing Assignment

PEARSON BTEC LEVEL 5
HND IN BUSINESS
Unit 40: INTERNATIONAL MARKETING
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Table of Contents
Introduction......................................................................................................................................5
P1: Analyze the scope and key concepts of international marketing..............................................5
Concept of international marketing.............................................................................................5
Benefits of internet marketing.....................................................................................................5
Scope of international marketing.................................................................................................6
Level of international marketing.............................................................................................6
International marketing concept..............................................................................................7
P2: Explain the rationale for an organization to want to market internationally and describe the
various routes to market they can adopt..........................................................................................8
Rational for international expansions..........................................................................................8
Competition.............................................................................................................................8
Regional Economic and Political Integration..........................................................................8
Technology..............................................................................................................................9
Improvements in Transportation and Telecommunication......................................................9
Economic Growth....................................................................................................................9
Transition to Market Economy..............................................................................................10
Converging Consumer Needs................................................................................................10
Firm-Specific Drivers................................................................................................................10
M1: Evaluate the opportunities and challenges that marketing internationally presents to an
organization...................................................................................................................................10
Opportunities.............................................................................................................................11
Market Expansion..................................................................................................................11
Brand Reputation...................................................................................................................11
Global Networking................................................................................................................11
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Opening the Door for Future Opportunities..........................................................................12
Challenges..................................................................................................................................12
Self-reference Criterion.........................................................................................................12
Government Barriers.............................................................................................................12
Barriers Imposed by International Competition....................................................................12
P3: Evaluate the key criteria and selection process to use when considering which international
market to enter...............................................................................................................................12
Decision 1..................................................................................................................................12
Capability analysis.................................................................................................................12
Domestic factors....................................................................................................................13
Market saturation...................................................................................................................13
International Environmental Factors.....................................................................................14
Market Knowledge................................................................................................................14
Decision 2..................................................................................................................................14
Which Country to Enter?.......................................................................................................14
Segmentation variables..........................................................................................................14
International market selection................................................................................................14
Decision 3..................................................................................................................................15
Decision 4..................................................................................................................................15
Decision 5..................................................................................................................................16
P4: Explain, using examples, the different market entry strategies, including the advantages and
disadvantages of each....................................................................................................................16
M2: Apply the market evaluation criteria, entry strategies and make recommendations for a
selected organization.....................................................................................................................18
D1: Produce a critical evaluation of the international market context, including insight into how
organizations should adapt their marketing strategies for various markets...................................18
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P5: Present an overview of the key arguments in the global vs local debate................................19
M3: Evaluate the context and circumstances in which an organisation should adopt a global or
local approach, highlighting the implications of doing so.............................................................19
Political environment.................................................................................................................19
International legal environment.............................................................................................19
Economic environment..........................................................................................................20
Social issue............................................................................................................................20
Technological environment...................................................................................................20
Demographic environment....................................................................................................20
References......................................................................................................................................21
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Introduction
McDonald Corporation is the biggest fast food restaurants in UK. It mainly provides French
fries, chicken, hamburgers, soft drinks and breakfast. McDonalds Fast Food Company is the
biggest retail company of food for its spicy and yummy hamburgers, soft drinks and French fries,
McDonalds functions its business about in over 199 countries. The popular of the McDonalds
functions on the franchising source in the UK. The organizational management and strategic
focus has situated McDonalds to struggle efficiently in the competitive industry and therefore,
frame the competitive base in organizational environment and have a market niche for its
company.
P1: Analyze the scope and key concepts of international marketing
Concept of international marketing
Internet marketing, also known as global marketing explains the marketing process implemented
by national borders or transatlantic organizations. This plan applies the techniques expansion
applied in the company’s main country. International marketing is the global conception of
executing and planning process, ideas of 4P’s, services and goods to make exchanges which
assure objectives of organization and individual. On the other hand, international marketing is
principles of marketing application through national borders. However, there is an evolution
among that is normally uttered by global marketing and internet marketing that are same words.
Benefits of internet marketing
Internet Marketing is very cost effective process because organizations do not need to concern
about postage, travel, printing documents or other costs or expenses that create it not costly
contrast to another traditional marketing. The benefit which it will give to the customers is that
the organizations will include more money which they may devote in giving good customer
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service, such as, enter into different sectors of new market. Internet marketing process is very
easy and quick.
Scope of international marketing
Level of international marketing
Domestic marketing:
A domestic marketing functions its business in one country, purchasing its domestic resources as
well as selling services and products in local and national market. Most of the small
organizations include domestic businesses, such as, grocery stores, restaurants and hair salons.
There are big organizations which function completely in domestic markets. The domestic
market is where services and products are sold and bought in country’s borders. This is the
smaller market than the global markets, foreign markets, international markets and external
markets.
Export marketing:
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Export marketing engages the documentation, creation, promotion and pricing of the offering
which attract abroad buyers and customers. In many terms offering may be created accessible
and provided throughout overseas distributor and agent. Export marketing contains invention to
the accurate channels for recompense.
The problem of export marketing is that one should take into explanation of language
differences, cultural differences and payment preferences and systems differences.
International marketing:
Internet marketing explains the marketing process implemented by national borders or
transatlantic organizations. This plan applies the techniques expansion applied in the company’s
main country. International marketing is the global conception of executing and planning
process, ideas of 4P’s, services and goods to make exchanges which assure objectives of
organization and individual.
Global marketing:
Global marketing is normally selling the product globally. However, this contains the total
method of producing, planning, promoting and placing the organization’s goods in the
international market. Large organizations have business offices in foreign countries they sell to;
but after the internet expansion, small organizations can reach customers through the globe.
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International marketing concept
1.Domestic Market Expansion Concept (Ethnocentric)
The domestic organization which searches for domestic products sales expansion into foreign or
abroad markets explains this direction to the international marketing. This observes its
international process as secondary and an expansion of domestic operations. The basic purpose is
to organize of surplus production of domestic. This Domestic Market development policy may
be very money-making. Small and large exporting organizations move toward to international
marketing.
P2: Explain the rationale for an organization to want to market
internationally and describe the various routes to market they can adopt
Rational for international expansions
Competition
Nowadays the world has become the part of competition. If the competitors go to the foreign
marketplaces, it looks consistent which the business should do well (Gioeli, 2016). If a business
has the competitive opposition in U.S., then the competitor could achieve the developed brand
recognition or exposure by going to the marketplaces whereas a business does not have an
existence. By pursuing along or going to before competitors a business manage equivalence in
exposure and activities.
Regional Economic and Political Integration
Regional agreements (including MERCOSUR, NAFTA and the European Union lower) as well
as eliminated barriers encourage the trade in the general marketplaces. Companies are mainly
recognized in particular marketplaces to get the advantage of free trade in region.
According to Jamaes (2016) notes, a number of organizations develop their business globally to
improve collaborations in the resources which increase the expansion value. For example, a
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