International Marketing Report: Morrisons' Global Market Expansion

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This report provides a comprehensive analysis of Morrisons' international marketing strategies. It begins with an executive summary and table of contents, followed by an introduction to Morrisons and its current market position. The report then delves into the differences between global and local marketing, using examples to illustrate key concepts. It examines the key arguments in the global versus local debate and analyzes the marketing mix approach in various international markets. The report explores different international marketing approaches that Morrisons could adopt, including the Polycentric and Ethnocentric approaches, and compares home and international orientations. It also analyzes competitor analysis and provides recommendations for Morrisons' international expansion, including the use of PESTEL analysis and competitor analysis. The report concludes with recommendations and a list of references.
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Management
Name of the Student
Name of the University
Author note
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Executive Summary
The report has been helpful in analysing and understanding the different kinds of differences
in the local and international marketing approaches in a successful manner. In the respective
scenario, the main approach which has been noticed is that there are different kinds of
alternatives such as competitor analysis or PESTEL analysis which can be helpful for
improving the perspectives of the company in a positive manner. The marketing mix can be
beneficial in understanding the different steps which need to be implemented by Morrisons
for improving their performance.
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Table of Contents
Introduction of Morrisons and Current Market..........................................................................3
Analysis of Differences Between Global and Local Marketing Using Examples.....................3
Overview of Key Arguments in Global versus Local Debate....................................................4
Analysis of Marketing Mix Approach While Using Variety of International Markets.............4
Analysis of Various International Marketing Approaches which can be Adopted by
Morrisons...................................................................................................................................6
Comparison of Home and International Orientation and Ways to Access Competitors
Outlying Implications.................................................................................................................7
Conclusion and Recommendations............................................................................................7
References..................................................................................................................................9
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Introduction of Morrisons and Current Market
Morrisons is one of the largest supermarkets that has their base in United Kingdom
market and it was formed in the year 1899. The main business included the different sale of
the breads along with eggs in market of UK and it helped them in meeting the different
requirements of the different customers in a suitable manner. In the present scenario, the
company has been capable of selling the different variety of the items which includes
clothing, magazines along with other items which will be important for the growth of
company as a whole (Morrisons.com 2020). The current market includes the United Kingdom
economy which is politically stable and economically sound which is suitable for the
business to improve their business operations in a positive manner. In the UK market, the
Morrisons is capable of generating high efficiency and appropriateness in expanding their
business operations successfully (Morrisons.com 2020).
Analysis of Differences Between Global and Local Marketing Using Examples
In case of the local marketing, the companies try to sell the different products within
the local financial market. It mainly deals with only the specific set of competition along with
issues related to economy that makes them convenient to do. In such local market, there are
no such language barriers and the trends of the customers are easily being known by the
companies (Venaikand Midgley 2019). For instance- In case of Morrisons, they are capable
of selling the different products and services to the customers in UK easily as they are aware
regarding the tastes and preferences of the customers easily and it improves the effectiveness
of the company as a whole.
On the other hand, while in the international marketing aspect, the main aspect which
is being noticed is related to the fact that there are different approaches such as promotion
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along with sale of the products and services of the company to the customers in different
countries. It is highly complex and requires high level of financial resources. It can be risky
sometimes as there are different cultural barriers which comes between and the tastes and
preferences of the customers can be differing from one another as well (Vellas 2016). For
instance- While Morrisons will be expanding their business in Japanese market, in such
scenario, the company can be finding it difficult for knowing and understanding the different
tastes and preferences and it will be requiring extra costs in promotional activities to improve
their position in the market of Japan.
Overview of Key Arguments in Global versus Local Debate
From the analysis and understanding of the instance of the Morrisons in the UK and
Japan market, the different key arguments which have been noticed are as follows:
Firstly, in domestic market, there will be no such usage of the financial resources for
promotional activities and it is the main advantage for commencing the business in the
domestic atmosphere. On the other hand, in the international marketing aspect, it requires
huge financial resources which can be risky to be included as there can be incurring of loss in
the business in the future (Sulaiman et al. 2017).
Secondly, in case of Morrisons, in domestic market of UK, they will be dealing with
single market itself, however, on the other hand, in case of the international market, the main
aspect which is needed to be noticed is related to the fact that there is more than one market
and the cultural and language barriers are different issues which can be impacting
performance of the firm for adopting in the market (Steenkamp 2017).
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Various Marketing Approaches in Relation to Morrisons and Making
Recommendations
Analysis of Marketing Mix Approach While Using Variety of International Markets
While operating in the international marketing environment, the main aspect which is
required to be noticed that the decisions related to pricing can be impacting revenues that
have been implemented by organization rather than the different costs which are involved. In
the international marketing approach, the main consistency is required in the pricing as it
helps and play a vital role in contributing towards managing perception of the different
products as well as services by various customers (Ramaniand Srinivasan 2019).
Product- It is considered to be the first element in marketing mix in which the
company Morrisons need to understand the cultural background of the different individuals.
In the Japanese market, the patterns of living among the individuals are different as they
prefer to buy their groceries or clothing on their own and they do not prefer the supermarket
pattern of shopping and in such scenario, the product and service features need to be changed
appropriately (Larsson and Jakobsson 2019). The proper inclusion of standardization is
highly necessary as it will be capable of improving and enhancing efficiency suitably.
Price- It is the second most effective element which needs to be analyzed by the
company Morrisons which is most complex task as there are different costs included such as
high inclusion of financial resources that are import related duties and transport related tariffs
that can be impacting the efficiency of the firm in a negative manner. It will be capable of
improving the business-related prospects in a successful manner (Kraus et al. 2016).
Place-It is the element that will be dealing with the places wherein they can be
forming and establishing the business appropriately. In such scenario, Morrisons needs to
adopt the most effective technique of selling the different goods and services to the clients
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that includes online and physical selling of the goods and services which will be dealing with
improving the performance of the revenues and profitability in a suitable manner (Išoraitė et
al. 2016). Through the online portals, Morrisons can be having the capability in reaching to
the audiences at large and making them feel satisfied with the range of different products as
well as services as per their tastes and preferences in a suitable manner.
Promotion- It is considered to be the last element that mainly entails the standardizing
or adoption of the products. In such case, Morrisons need to adopt the proper online
advertising techniques through the implementation and usage of the social media applications
like Facebook or Twitter or LinkedIn which will be capable of delivering the different goods
and services to the clients which will be impacting performance of the company as a whole
and it will be delivering the best outcomes in the competitive business scenario as well
(Ismail et al. 2018).
From the marketing mix of Morrisons, it can be concluded that the company needs to
take few other steps in order to improve the effectiveness in both local and international
market. While entering in the market of Japan, the company can be using the promotion and
pricing strategies appropriately which will be effective for the company’s growth and
efficiency.
With the help of the competitor analysis, it will be helpful for understanding the level
of competition which can be impacting the performance of the company Morrisons in the
competitive business scenario.
Name of the Competitors Overview Market Share
Tesco Largest supermarket and it is
capable of offering the
customers with various
More than 25%
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innovative products and
services in a successful manner
Aldi Cheapest and quality products
are being offered to the
different customers
More than 16%
Woolworths It is the traditional supermarket
which are offering the
customers with appropriate
services
22%
From the marketing mix and competitor analysis, the main aspect which has been
noticed is related to the fact that Morrisons is required to be more effective in understanding
the pricing aspects and promotional aspects while marketing internationally.
Analysis of Various International Marketing Approaches which can be Adopted by
Morrisons
In the respective scenario, Morrisons can be implementing the Polycentric Approach
wherein they will be using and customizing the entire marketing mix as per the tastes and
preferences of the different customers in the international and global market. For instance- In
case of Morrisons, the company can be making the pricing and customization of the products
and services as per the preferences of Japanese market as they will be able to sustain their
position and earn high level of revenues for achieving effectiveness in the market suitably.
On the other hand, the ethnocentric approach can be adopted by Morrisons wherein they can
be able to handle both international and domestic market appropriately and improve their
operations simultaneously without much difficulties (Fitriah et al. 2019).
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Comparison of Home and International Orientation and Ways to Access Competitors
Outlying Implications
There are different aspects which can be adopted by Morrisons for understanding the
level of competition in the market in a suitable manner. Firstly, in Japanese market, there are
few competitors who are playing a vital role in managing the preferences of the customers in
a successful manner (Erdil and Özdemir 2016). The segmentation, targeting along with
positioning can be the most appropriate approach which will be helpful in understanding the
scenario and generate high efficiency in managing their position in the market. The targeting
and segmentation will be done for all age grouped customers which will be helping the
company in delivering the best services successfully (Dileep and Mathew 2017).
Conclusion and Recommendations
Therefore, it can be concluded that the international marketing is the performance of
the different business activities which are designed in order to plan, promote and price the
flow of the goods and services for consumers in more than one nation. It can be seen that in
case of Morrisons, the company can be improving their performance successfully with the
help of using the marketing mix wherein the standardized pricing is needed to be
implemented for improving the growth patterns of the company as a whole. There are
different recommendations which can be incorporated by Morrisons for improving their
position in an effective manner.
Firstly, the PESTEL Analysis can be incorporated for understanding the external
environment in which the company will be operating. The political stability and economic
appropriateness are the two crucial elements which needs to be implemented for
understanding the growth prospects of the company successfully.
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Secondly, the competitor analysis is the other approach which needs to be
implemented by the company as it will be capable of improving the business operations
successfully. The different moves of competitors can be the strength in understanding their
effectiveness in the market.
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References
Dileep, M.R. and Mathew, V., 2017. Marketing of Tourism Industry: Enhancing Services
through Marketing Mix Elements. In Strategic Marketing Management and Tactics in the
Service Industry (pp. 304-329). IGI Global.
Erdil, T.S. and Özdemir, O., 2016. The determinants of relationship between marketing mix
strategy and drivers of export performance in foreign markets: An application on Turkish
clothing industry. Procedia-Social and Behavioral Sciences, 235, pp.546-556.
Fitriah, A.W., Rosdi, S.N., Rosli, M.M., Aziz, Z.A., Ibrahim, W.M.Y.W., Radzi, M.S.N.M.,
Aniesha, N.Z. and Yaacob, A.A., 2019. The Effects of Marketing Mix on Small Fish Farming
Business Performance. RevistaPublicando, 6(19), pp.1-16.
Ismail, M., Zainol, F.A.,Daud, W.N.W., Rashid, N. and Afthanorhan, A., 2018. Application
of Entrepreneurial Marketing to the Marketing Mix: Why it Matters to SMEs in
Malaysia?. International Journal of Academic Research in Business and Social
Sciences, 8(12).
Išoraitė, M., 2016. Marketing mix theoretical aspects. International journal of research
granthaalayah, 4(6), pp.25-37.
Kraus, S., Meier, F., Eggers, F., Bouncken, R.B. and Schuessler, F., 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.
Larsson, M. and Jakobsson, K., 2019. The Role of Standardization and Adaptation in the
Marketing Mix: A case study on a professional service firm.
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Ramani, N. and Srinivasan, R., 2019. Effects of Liberalization on Incumbent Firms’
Marketing-Mix Responses and Performance: Evidence from a Quasi-Experiment. Journal of
Marketing, 83(5), pp.97-114.
Steenkamp, J.B., 2017. Global Marketing Mix Decisions: Global Integration, Not
Standardization. In Global Brand Strategy (pp. 75-109). Palgrave Macmillan, London.
Sulaiman, Y., Bakar, N.N.A.A., Ismail, M.Y.S., Mat, N.K.N. and Musa, R., 2017. The
function of marketing mix and consumer preferences on health food consumption among
UUM students. International Journal of Economic Research, 14(20), pp.1-20.
Vellas, F., 2016. The international marketing of travel and tourism: A strategic approach.
Macmillan International Higher Education.
Venaik, S. and Midgley, D.F., 2019. Archetypes of marketing mix standardization-adaptation
in MNC subsidiaries. European Journal of Marketing.
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