Market Entry Strategies & Marketing Mix

The assignment delves into the concept of market entry strategies, examining various approaches businesses utilize to enter new markets. It analyzes the traditional marketing mix (product, price, place, promotion) and its relevance in shaping successful market entry strategies. The document emphasizes the importance of aligning these elements with specific target markets and industry contexts.

Individual Report
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Table of Contents
Executive Summary..............................................................................................................................3
INTRODUCTION ...............................................................................................................................3
Screening market..................................................................................................................................4
Intended market....................................................................................................................................5
Market entry strategy ...........................................................................................................................7
Target market segments ......................................................................................................................7
Positioning............................................................................................................................................8
Objectives.............................................................................................................................................9
MARKETING MIX.............................................................................................................................9
CONCLUSION ..................................................................................................................................11
REFERENCES...................................................................................................................................12
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EXECUTIVE SUMMARY
The present report is based on the individual report which include the marketing activities.
The management of the Gerolsteiner include the internal and external environment which involve
the SWOT and PESTLE of the firm. Company focuses on the target market like Middle East and
customers is middle class family. There are different types of the market entry strategy which is
used by the manager for expanding their business ventures. Organization follows the different type
of the marketing activities such as positioning and market segment which helps to provide the
products and services to their target customers and solve the issues of them. The executive of the
Gerolsteiner requires to formulate the objectives which help employees to get the idea for attaining
the desire goals and objectives (Czinkota and Ronkainen, 2012). Through the screening market,
company enter into the international market and selects the best location for rendering the product
and services to their users. In addition to this, organization includes the marketing mix under which
set the product price and promote the good in the market.
INTRODUCTION
Marketing plays important role in the organization wherein manager promote the products
and services with the help of all activities related to promotion. In this report, executive requires to
analyses the internal and external environment wherein they conduct the SWOT and PESTLE of
the firm. There are various key points of the marketing entry strategy which is used by the
management (Geniets, 2013). It helps to easily expand their business and export the material across
the global. Under this report, there are various aspects of the individual report will be studies in the
context Gerolsteiner is the German mineral water firm. Organization produces the water product to
their customer which include the hydrogen , oxygen, magnesium etc. The present report covers,
company focuses on the target market which help to produce the products and services as per the
consumer demand. The mineral water which is provided by the firm in which require to position of
the product in the market (Hitt, Ireland and Hoskisson, 2010). In addition to this, there are various
element of the marketing mix which is used by the organization and easily promote the goods and
services in the market. There are various approaches and strategy related to marketing of the
products which will help to fulfils the demand of the consumer and increase the overall productivity
of the corporation.
Beside this, manager of the Gerolsteiner need to analyses the internal environment under
which they conduct the SWOT of the firm that are given below:
Strength
 Company have the strong brand image in
Weakness
 Organization faces the various issues
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the market.
 Organization provides the mineral water
products that are derived from nature.
 Gerolsteiner have the strong financial
position in the the market which help to
highly contribute the percentage in
corporate social responsibility
(Hollensen, 2015).
 The element of the Gerolsteiner mineral
water is the scientific proved which will
good for the human health.
related to the emerging economics.
 The management of the Gerolsteiner has
no localization products which create the
likeness of local people.
Opportunity
 Company get the opportunity for
expanding the international market and
provide the great market for its mineral
water.
 Organization provides the mineral water
like boiled in which customer prefer the
boiled water.
Threats
 There are various issues and challenge is
faced by the Gerolsteiner because many
competitors deals the same product and
industry.
 The government policy and regulation
related to the mineral water in target
market which not consist in Germany
(Lusch and Vargo, 2014).
SCREENING MARKET
Executive of the Gerolsteiner requires to identify the best location wherein they provide the
goods and services to their customers. In this way, company enter into the international under which
they need to decide the location and market. Management takes the decision for selecting the
market which help to get the idea about the market and products and services. Basically market
screening as a function which help to expand the venture by selecting the new market. Moreover,
management of the Gerolsteiner selects the middle east market which help to middle class people
easily purchases the product and services (Papadopoulos and Heslop, 2014). It helps manager to
expand their business which will increase the overall productivity and maximize the sales revenue.
Company select the the Middle East market under which they provide the mineral water to their
consumer. On the other hand, there are various stages of the market screening wherein company
expand their ventures in developing the countries which assist to easily render the goods and
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services. Consumer attracts towards the product and take the decision for purchasing the products.
It aids organization to increase the brand image in the market and brand loyalty which will gain the
large market share. Moreover, corporation need to update with the market trends and update with
the relevant information which help to identify the consumer wants. In this way, organization render
the mineral water product in which they select the Middle East market (Popkova, Panyavina and
Popov, 2013). Therefore, community of the Middle East prefer the boiled water which is provided
by the firm. It helps management do not facing the issues wherein easily expand their firm. Apart
from this, company faces the issues and challenges because many competitors deal in same industry
and produces the same product. In addition to this, corporation requires to set the price of product is
reasonable cost which help consumer to easily purchase the water at the affordable cost.
INTENDED MARKET
Intended market can be stated as the groups of the people in which company need to meet
the of the target people (Fitzen, 2013). In this way, organization responsible for accomplishing the
demand and wants of the target consumer and maintain the relation with them. Management select
the Middle East market for expanding the their venture and providing the mineral water to their
consumer. Moreover, there are various characteristics of the market in which middle east people
able to purchase the products and services. In this context, management focuses on the new market
under which they use the promotional strategy. It helps to easily promote the products and services
in the market and inform of the customers (Arnold, 2016). As per this, buyers of the middle east
purchase the goods and services which assist management to gain the overall productivity. On the
other hand, management need to analyses the external environment that factors are described as
below:
Political Factor- The government formulates the polices and tax policy under which company
require to follow the policy. In this way, Gerolsteiner expands their business in Middle East
wherein government issued the safety regulation. Company provides the mineral water to their
customers wherein they require to adopt the regulation for reducing unfair practises at the work
place. Furthermore, if the tax policy are increased by the government which directly affect the
activities of the firm (Pestle, Crowley and Weirauch, 2014). They also increased the cost of the
products and services accordingly consumer purchase power are declined. It negatively affects the
performance of the firm because mostly consumer unable to purchase the product. As per this,
corporation declines the overall productivity and decreases the sales turnover. On the other hand,
with the help of regulation, company reduces the unethical practices at the work place and protect
the consumer right which help to attain the satisfaction level of the customers. Accordingly,
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management increase the market share in same industry and overall productivity (Kumar,
Mirchandani and Shah, 2013).
Economical factor- In this factor include the GDP, interest rate, inflation, recession, bank rate and
flow of money. In this context, if these factors are changed which directly affect the activities of the
firm and consumer purchasing power. Gerolsteiner selects the Middle East market for expanding its
production wherein they require to identify the economy condition. As per this, they produces the
products and services as per the demand of the consumer. On the other hand, if the good economy
condition of the Middle East which help easily borrow the money from the bank and fulfils
requirements of the firm. It positively impacts on image of the corporation which will increase the
sales turnover. Apart from this, bad economy condition generates the various issues and problems is
faced by the customers and management (Papadopoulos and Heslop, 2014). Company unable to
borrow the money from the bank which impact on activity of the firm. Employees not able to
produce the products and services on time and delay in accomplishing the requirements of the
organization. Organization declines the market share and minimize the profit margin.
Social factor- It is the important factor of the organization and external environment wherein
community change the taste and preferences. It includes the values, beliefs, assumption and life
style under which company need to produce the products and services with the identify the all these
factor. Moreover, organization focuses on the new market and their society wherein the Middle East
community prefer the healthy products. As per this, management of the Gerolsteiner provides the
mineral water customers and it is not harm of the buyers health (McAlexander, Koenig and
DuFault, 2015). It positively impacts image of the firm because consumer are satisfied his products
like mineral water is provided by firm.
Technology factor- Organization require the innovation in which they adopt the advance
technology for expanding the business and developing the production. Through the advance
technology, employees are able to deliver the service on time and produces the more products
without wasted time. It helps management top easily accomplish the demand of the clients also
fulfils the requirements at the work place.
Environmental factor- Organization focuses on the environmental factor wherein they produce
the eco friendly products. Gerolsteiner requires to use the good quality plastic to their customers
which do not harm for the health of the customer (Amos, 2016). In this way, if the management
provide the product in high quality plastic which help to attain the satisfaction level of the
customers.
Legal factor- Management follow the regulatory frameworks which help to maintain the flow of
operation. It assists workers to focuses on their work and behave in well manner which will increase
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the overall productivity.
MARKET ENTRY STRATEGY
The market entry strategy as a method whereby company deliver the products and services in the
new market. It also include the distribution channels and exporting the goods in the target market.
There are various modes of the market entry strategy which include the exporting, licensing,
franchising and pertaining, joint venture etc. In this way, management of the Gerolsteiner
expanding their venture in the Middle East under and exporting the products in outside of the
Germany (Weinstein, 2014). The exporting strategy is two type one is direct exportation and
indirect exportation under which company takes the charge of the shipping foods in the
international market. On the other hand, the indirect exportation the goods and expand their
ventures through the middlemen. It helps manager to easily integrate the goods into the market and
consumer purchase the goods via middle men (Market Entry strategy: Definition & Example,2015).
TARGET MARKET SEGMENTS
The management of the Gerolsteiner selects the Middle East market in which they focus on
the target market and customers. In this way, customers high needs for their daily life and ranging
the water and company able to fulfil the demand of them (Huang and Sarigöllü, 2014). Organization
requires to focus on the middle class people in which they they render the product to them.
Segmentation can be stated as the process wherein company divide the group of the people
and market as per the needs of the consumer and application related to the products and services. In
this context, there are various characteristic of the products and factors can be divided by the
various criteria like gender, age , location and culture etc. This is done by the three level such as
demographic, psycho-graphic and behavioural under which the management of the Gerolsteiner
uses the demographic segment that are described below:
Demographic- Manager of the Gerolsteiner produces the mineral water to their customers. In this
context, they focuses on the target market and customers wherein company select the demographic
segment on the bases of income and age level. Organization consider the age like 20 to 50 group of
the people under which these age group person able to purchase the mineral water . They provide
the high quality of product and sale at the reasonable price to their customers. It helps consumer to
easily purchases the good which will increase the company growth (Datta, Ailawadi and van
Heerde, 2016).
Beside this, company involve the different of the targeting strategy that are given below:
Undifferentiated target strategy- Company uses this strategy wherein they send the information
related to products and services to their customer’s. In this way, management send the message as
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the large number of the people at the same time.
Undifferentiated target marketing strategy- Organization creates the more then one message
under which they can communicate with the customers by different benefits of the product.
POSITIONING
Product positioning is the crucial element of the marketing plan and organization under
which company decides the how to communicate with the customers (Pavlou and Stewart, 2015). In
this context, management uses the communication channels which help to identify the needs of the
them accordingly they fulfils. By using communication mode, company send the message to their
customers regarding market trends and recognize the needs and wants. As per this, manager
produces the products and services and accomplish the requirements of them. It positively affects
the performance of the firm because manager able to produce the goods as per the need of the
consumer which generates the satisfaction of them. On the other hand, the product positioning can
be stated as a process wherein company generates the image in front of the customers about the
products and survives. For example, Gerolsteiner provides the minimal water to their customer and
brand Gerolsteiner like purity (Rahmani, Emamisaleh and Yadegari, 2015). Consumer trust on the
brand and take the decision for purchasing the water which will increases the brand image of the
company in the market. Moreover, organization target the middle class customers who prefer the
boiled water in the Middle East wherein company render the mineral water to their users.
Moreover, manager requires to position of the product in the market without following the unfair
practises at the work place. In this context, they Ned to know the product features and proper
integrate of the mineral water which help to easily explain the product features in front of the
consumer.
Gerolsteiner need to position of the mineral water in the Middle East market wherein provide the
high quality product to their customers. In this way, the middle class consumer are attracted
towards the product which is provided by the firm. They need to provide the goods with good
quality plastic which help consumer to easily purchase it (Barrett and Weinstein, 2015). On the
other hand, company have the various competitors so that they deals the same product and industry
which create the issues. The competitors like Evian, Acquapanna and Voss which develop the
challenges are faced by the firm as well. Apart from this, company requires to adopt the strong
promotional technique and unique selling of the products and services in the market under which
mineral water that is purity of the water. As per this, consumer prefer the mineral water which will
increase the image of the organization.
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OBJECTIVES
There are many objectives like increase the sales, launch of the product, attain the
satisfaction level of the consumer etc. Gerolsteiner requires to set the objective like capture the
high market share and increase the overall productivity. In this context, management increase the
sales by 6 % till at the mid of 2017 (Gradshteyn and Ryzhik, 2014). These objective can complete
the within 1 month under which management and employees are able to attain the objective of the
firm. In this context, employees follows the various activity which help to achieve the goals and
objectives.
MARKETING MIX
Gerolsteiner develops the market strategy for entering the new market in the Middle East
and focuses on the target customers and market. In this way, company promote the products and
services in the market with the help of promotional activities. They include the marketing mix that
are explained below:
Product- Company provides the wide range of products and services to their customers which help
to fulfil the demand of the customers. In this way, company render the mineral water to their
customers and they need to launch the new product (Kotler, and et.al., 2015). In this context,
management focuses on the research and development which help to launch the new product in the
market. The target market and customer of the firm is the middle east and middle class family.
Price- It plays important role in the organization under which company require to set the price is
reasonable. In this way, customer wants to the company for providing the high quality of product
and sale at the reasonable price. Moreover, corporation adopts the competitive pricing strategy
which help customers to easily purchases the products. As per this, affordable price generates the
satisfaction of the consumer and easily accomplish the requirements of them. On the other hand, if
the management of the Gerolsteiner charge the product price at the high cost wherein customers not
able to buy the goods. It negatively affects the sales of the firm which will decrease the sales
turnover and productivity.
Place- It is the crucial part of the business under which company focuses on the availability of
goods and services at the store (Czinkota and Ronkainen, 2012). In this context, Gerolsteiner select
the target market is Middle East wherein they deliver the mineral water to various shops in the
Middle East. The middle class family buy the products without difficulties and fulfils the
requirements of them. On the other hand, organization opens the number of outlets in the Germany
which help buyers to purchase the mineral water. Manager easily solve quires of the consumer and
achieve the satisfaction level of them. As per this, company capture the large market share and
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maximize the overall profit margin.
Promotion- The promotional activities plays vial role in the organization in which management
requires to adopt the promotion techniques (Geniets, 2013). It helps company to easily promote the
goods and services in the market and increase the visibility of the mineral water in market.
Moreover, executive advertises the goods with the help of social media, brochures etc which assist
consumer to attract towards the goods and services. On the other hand, organization provides the
some offers and discount which assists consumer to take the decision for purchasing the mineral
water. For example, management render the offer like buy one get one free which help to increase
the sales of the firm. Company allows the offer and discount because it is the source for incensing
the sales of the product and productivity.
Process- The process is the crucial part of the firm and without process company unable to expand
their business as well production (Market Entry strategy: Definition & Example,2015). In this way,
firm requires to focuses on their process under which management maintain the relation with the
customers. Company deliver the product to their consumer through the deliver men. In this context,
organization appoints the new employees at the work place and render the training programme to
their human resource. It helps workers to get the knowledge is related to the goods and services and
they also learn about how to solve the consumer quires etc. By using training, they are able to
deliver the best services to their users and handle the any time of issues of the customers. As per
this, it helps manager to attain the goals and objectives of the firm and attain the satisfaction level of
the consumer. On the other hand, through the deliver men, company easily render the goods to their
users on time and without difficulties which help to increase the sales of the firm (Hitt. Ireland and
Hoskisson, 2010).
Physical evidence- This is the tangible element of the extended marketing mix under which
Gerolsteiner need to focus on the whole infrastructure of the organization. In this context,
management maintains the structure at the work place and design the attractive interior decoration
which help employees to manage then work without issues. In addition to this, company manage the
proper lighting, fan at the work premises which employees concentrate on their work and produces
the more products. It helps manager to fulfil the demand of the workers as well consumer Whitlock
will positive impact on the image of the firm (Hollensen, 2015). Moreover, organization increases
the market share in same industry and overall productivity as well.
People- It plays important role in the organization wherein without individual management able to
manage the work and unable to achieve the goals and objective of the firm. In this context, manager
knows that company cannot go forward without the right people at the right place. Individual
assists to make the order of the customers and contributes in success of the organization. They give
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the innovative ideas and suggestion which assist manager to take the effective decision is required
for producing the products at the work place. Furthermore, people able to achieve desire goals and
objective is formulated by the Gerolsteiner and attain the satisfaction of the consumer by giving
the optimal services (Lusch and Vargo, 2014). It positively impacts of the organization because
consumer satisfied his services is provided by the workers. As per this, company maximize the sales
turnover and increase the revenue margin of the firm.
CONCLUSION
From the above report, it can be conclude that, manager of the Gerolsteiner expand their
ventures in international market under which they select the target market and customers. Company
focuses on the Middle East and middle class family under which they render the mineral water to
their customers. Through the external and internal environment, executive analyses the opportunity
and current position in the market (Pestle, Crowley and Weirauch, 2014). With the help of
positioning, company effectively position of the product in the market and customers easily
purchases the products because they render the mineral water with the purity. Company includes the
marketing mix which help to set the product price and availability of the goods at the store.
Organization adopts the promotional techniques which help to easily promote the goods in front of
the customers and increase the visibility of goods.
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