Airdri's International Marketing Strategies: A Comprehensive Report

This report examines the international marketing strategies of Airdri, a UK-based hand dryer manufacturer. It defines international marketing, contrasts local and international markets, and explores the scope and key concepts of international marketing. The report analyzes Airdri's rationale for international expansion, different market entry routes (direct and indirect), and the criteria for selecting international markets, using Germany as a case study. It evaluates the opportunities and challenges of the German market for Airdri. The report further defines and analyzes various market entry strategies, including their advantages and disadvantages, and discusses how Airdri should adapt its marketing strategies for various international markets. The conclusion summarizes the reasons for international market entry and provides recommendations.

International Marketing

Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY..................................................................................................................................1
TASK 1............................................................................................................................................1
An introduction to the chosen organisation and give some definitions of international market
besides highlighting the main differences between local and international market....................1
Assess the scope and key concepts of international marketing and explain the rationale for
your chosen organisation to market internationally.....................................................................2
Describe the various routes to international market which your chosen organization can adopt
and which route the company should adopt and why?................................................................3
There are many international markets that an organisation can enter, so evaluate the key
criteria and selection process that the company should use when considering which
international market to enter besides evaluating the opportunities and challenges.....................4
Define and explain what a market entry strategy is, using examples of the different strategies
that are available to an organisation, and include the advantages and disadvantages of each....6
Critically evaluate how your chosen organisations should adapt their marketing strategies for
various international markets.......................................................................................................8
Conclusion and Recommendations why organisation enter the international market.................9
CONCLUSION................................................................................................................................9
Badges............................................................................................................................................11
REFERENCES..............................................................................................................................14

INTRODUCTION
International marketing is considered as those marketing practices which incurs across the
border. In simple term, this includes the entity in developing one or more marketing decisions
across national boundaries. Moreover, at their much complex, this incorporates in forming
manufacturing as well as marketing facilities overseas and coordinating strategies of marketing
across the markets. Additionally, the main role of international marketing is to assures that
marketing mix for organisation’s products or service matches global requirements of clients and
seeking for the opportunities to utilise a firm’s competitive edge to market other items into new
or existent marketplace. For this report the chosen company is Airdri, which is one of the leading
UK hand dryer manufacturer and suppliers for over 45 years. It was founded in year 1974 and
having headquarters is in Oxford, UK. The topics which are going to be discussed in this report
are differences among local and international market, scope and key concepts of international
marketing. Moreover, several routes to international market and key criteria and selection
process, market entry strategies along with its advantages and disadvantages are explained. Apart
from this, some recommendation are also provided in this report in respect why firm should enter
the international market.
MAIN BODY
TASK 1
An introduction to the chosen organisation and give some definitions of international market
besides highlighting the main differences between local and international market.
Introduction to organisation
Airdri is one of the leading UK hand dryer manufacturer and suppliers for over 45 years. It was
founded in year 1974 and having headquarters is in Oxford, UK. Its core business is always the
hand dryers and its in house engineering expertise has drives them to explore new growth areas.
Since 1980’s, within the brand formula system, they has been at fore front of elevator technology
sector in addition with innovation of its patented elevator door system as well as speech units.
Additionally, during vital advancement into hand drying sector respective organisation identified
there was a gaps within market for higher, reliable, energy efficient and creative designed hand
dryers which would suits all washroom as well as the particular initial imagination sparks is
realised into their ever-developing hand dryer range.
1

Definition of international market
As per the view point of Philip Kotler, international marketing is undertaken as the societal and
managerial procedures through that persons as well as team gain what they required and desires
by developing, providing and exchanging items of value with others.
Differences between local and international market
Basis Local market International market
Meaning In this market, the marketing
activities are performed within
the geographical boundaries.
In this market, marketing
practices incurs across the
border.
Government interference In this market, the interference
of government is less.
In this market, the interference
of government is high.
Risk factor In this market, the interference
of government is low.
In this market, the interference
of government is higher.
Assess the scope and key concepts of international marketing and explain the rationale for your
chosen organisation to market internationally.
Scope of international marketing
Currently, markets and business are developed with modern era as well as also becoming much
dynamic. Based upon the current scenario context, international marketing have board scope
because of internationalisation. Additionally, both modernisation and globalisation are taking
place for doing business as well as trends to render with effective interaction and drives towards
maximised the international market scope for organisation like Airdri which are discussed below:
 Export: In this firm sell its items & services to international business and its franchises
after that importing party sell its products into various domestic market areas.
 Import: It is known to be the easy and common method of international marketing.
Herein, item are imported through firm from distinct location of global market than sale
those items to potential purchasers into particular market place.
Key concepts
The vital reasoning and motivation behind this business undertaking is to maintain its business
universally to make advancement, foster business size and acquiring productivity (Morgan, Feng
and Whitler, 2018). The administration of Airdri need to foster its business so it can give its
2

current and new things and stuffs to its global shoppers so they can get proper fulfilment to their
requests. Aside from this, one more explanation towards business extension is to get productivity
to foster monetary circumstance of the business undertakings and gain contention benefits from
the worldwide market. The motivation behind running business around the world is that in the
activities that the organizations work their business in worldwide market, they can get worldwide
buyer, strategic advantage and acquire productivity in their business through offering new sort of
things according to worldwide market interest (Agwu and Onwuegbuzie, 2018). There are
different reasons to universally maintain the business. Some of them are characterized seeing
business of Airdri is as under:
 The reasoning can be maintaining the business all around the world is that on the off
chance that the venture offer products according to the need of worldwide shopper, the
association can build the deals determined to further develop effectiveness.
 Other explanation can be connected with the administration of good political connection
in setting of business. Since when the foundation maintain its business universally then it
considers a few principles and regulation of various nations that can be critical for the
foundation to grow business in new marketplace.
Describe the various routes to international market which your chosen organization can adopt
and which route the company should adopt and why?
There are various routes by which the particular endeavour can market and make extension
in its business at global marketplace.. They are characterized as under:
Direct routes: The organization of the undertaking can consider the routes through which
it can make direct agreements with the objective person in global market determined to offer
wares and offering items and administrations to them. Alongside this, the administration of
specific structure can use various channels like leading displays, sites conveyances, agents,
offering, circulating the mail request indexes to connect with their objective individuals (Gomes,
Sousa and Vendrell-Herrero, 2020). It support in making a decent impact and hold customers till
long run. These ways and courses are profoundly critical to the enterprise likewise with the help
of them it can connect with the objective individuals. For example, site is an immediate course to
the firm to market and when a foundation make work to make development and add another item
in its product offering then fundamentally it offer information about it on the organization site.
3

So with its backing, the organization can offer information about its labour and products to its
customers.s
Indirect routes: It remembers the channels where the organization enters for to an
agreement with outsider and hand over the accountabilities to impact conduct of shoppers to
them. There are a few channels that can be considered by Airdri. The depiction of them as
underneath:
 Alliance partners: It alludes to a gathering which is more modest in size yet process the
ability to guidance specific organization in regards to the business drives that can be
expected by the firm to impact and proper passage inside the market (Paul and Mas,
2020). It is a market course that is critical to Airdri as when the firm maintained its
business universally then it can uphold in offering improvement choices, admittance to
target markets as well as give the data and asset sharing. Some time it very well may be
influence the business in setting of improper correspondence, unfortunate asset dispersion
and loss of control on significant issues, for example, item quality and working expense
and so on.
 Channel partners: It signifies to those adventures that have specialized mastery to impact
the clients' attitude and make them to decide the advantages of items and administrations
that are given by the endeavour. The administration of Airdri can use these devices as
course and ways of showcasing and business development. On the off chance that the
administration of particular firm consider along these lines, it is significant for it in a few
way like saving expense, time and shopper comfort as reason for portion of labour and
products. Additionally, misfortune in procuring, loss of correspondence control and loss
of item importance can be horrible for it
There are many international markets that an organisation can enter, so evaluate the key criteria
and selection process that the company should use when considering which international
market to enter besides evaluating the opportunities and challenges.
Airdri Ltd is SME UK manufacturing company is considering expanding their business at
international level and wants to enter in Germany. There are different international markets
where company enter into market but Germany. Because of their creativity and technology, and
also authoritarian countries, industries, and a professionally informed populace, Germany is a
hub for big businesses. Those nations should surely be on top radar whether they're seeking for
4

the greatest nations in Germany for company! Thus, Germany is good country for the
internalization of company at broad level (Chatterjee, Chaudhuri and Vrontis, 2021).
There are many opportunities in this country for manufacturing company that is mentioned
below:
 A highly skilled workforce: Germany has a well-developed academic and vocational
infrastructure. This allows young individuals to be channelled into their appropriate
career at a youthful child, which promotes specialization. The technical path, in
particular, has made a significant contribution to the steady availability of labour
personnel.
 Germany has long been the country's biggest innovation in the industrial sector, but it
was only in Germany that the atmosphere is conducive to this new transformation.
 Cross border trading: Germany is completely accessible to exporters and 3rd import
taxes, limitations, and restrictions as a part of the Eu. It shares its borders with nine other
nations:
 Denmark, The Netherlands is a country in Europe, Luxembourg, Belgium, Austria,
Poland, France, Switzerland; Czech Republic is a country in Central Europe.
 This makes it a desirable location for enterprises looking to expand internationally across
Europe. Furthermore, Germany has a number of EU trade deals and also international
accords with nations such as the United States.
In three key aspects, Germany has maintained a healthy and consistent productivity and quality.
One is manufacturing's significant contribution to the entire economy. Manufacturing accounts
for a bigger percentage of GDP in Germany than just about any other European country. Neither
South Korea and China dedicate more of their budgets to manufacture than Germany among the
main Economic growth (Strizhakova and Coulter, 2019).
Challenges in Germany for manufacturing company
In generally, Germany's system has witnessed a gradual and careful transformation. Its
employees are progressively transitioning from producer to customer jobs. The upcoming new
groups and their labour market actions are marking this transformation. According to latest
survey, production in Germany is on the wane, although it's not as severe as the American
outsourcing trend.
5

 Demand for quality: The Germans are proud of their producing high products at a rapid
pace. They operate with extreme accuracy, which leads to bluntness in order to facilitate
communication and demands.
 Work-life balance: In comparison to the conventional 40-hour workweek, the average
German working weeks are noticeably shorter. The amount of hours a German employee
works after a day or weekly is regulated, reflecting a theme on family activities (Lacka,
Chan and Wang, 2020).
 Formal corporate culture: German businesses might be less convivial than those in other
nations due to its effectiveness. They favour hierarchical levels, which contributes to the
company's official uniformity.
The reason for internationalization of the respective company to Germany is to gain more
income sources and reduce dependence on UK business cycle for generating profit. Another
justified reasoning for expansion into Germany is that it is technologically advanced nation with
stable economic environment. After Brexit, economic stability of UK has been affected
negatively. On the other hand Germany is experiencing economic growth and is the most open
economy out of the G7 states which make it ideal for international expansion. It will provide the
respective firm huge profit opportunities. The specific segment which is suitable for the
respective company is Hotel and hospitality businesses who require hand dryers in bulk along
with other office places. This is suitable segment to target because they use large number of hand
dryers for lavatories.
Define and explain what a market entry strategy is, using examples of the different strategies that
are available to an organisation, and include the advantages and disadvantages of each.
Market entrance plans serve as a road map for companies looking to enter foreign markets.
Organizations will choose the right methodology based on their aims and intended audience
because there are various ways to sell things abroad. Analyze the market entrance tactics and the
variations between them will help in choosing whichever approach is best for their business.
Direct exporting: It entails distributing straight into to the marketplace of their choice, first and
foremost with their funds. When one selling programme has been developed, many firms resort
to brokers and/or wholesalers to promote business in the marketplace. Agencies and wholesalers
support their candidate in strong cooperation alongside company. They are the standard bearer of
6

their firm, thus selecting brokers and wholesalers should be approached in the same manner that
hiring a major employee does (Rubinsson, 2020).
Advantage:
 The producer has direct interaction with end consumers and merchants, which is one of
the major benefits of exporting goods. As a result, he is in a better position to assess the
needs of international customers. It has the ability to adjust their products to shifting
market demands.
 Direct exporting presents the benefit of giving you total control over the goods you're
selling in another country. The conditions of sale might also be determined by the
exporter’s specific competitive situation in the international market.
Disadvantage:
 Direct exporting has a high costs for businesses. It necessitates a larger initial investment
until earnings start to flow. As a result, smaller exporting businesses are unable to secure
sufficient funding for exporting. Larger businesses will benefit from this approach.
 Lending, finance, collections, refused products, including after support are all dangers
associated with direct exporting. The producer is solely responsible for these hazards.
Licensing: It is a more complex agreement in which one company licenses the license to utilize a
good or service to the next. It's an especially impressive technique if the license buyer already
has a sizable position in the market wish to join.
Advantage:
 Licensing is a fast-track technique that allows to enter the market very immediately if
they have the proper partnerships queued up.
 In terms of total assets and wealth creation, licensing is a low-risk business. Throughout
most cases, the licensee should provide the bulk of the equipment.
 Technically, translation is a complicated subject, and licensing is a simple way to
overcome most regulatory barriers to entrance.
Disadvantage:
 In adopting best practices, losing control in a licence environment is a significant
drawback. The licencing of a branded product is especially important since any product
testing issues on the licensee's side will affect the licensor's brand image.
7

 Having to rely on a foreign partner comes with its own set of hazards for the company's
development. Licensing, like making an investment on the financial markets, necessitates
careful consideration of which company to collaborate with (Rust, 2020).
Joint venture: Some businesses try to reduce the risk of entering a worldwide market by
forming partnerships with some other businesses that want to sell globally. Joint projects have
the ability to produce more income than existing enterprises because they generally operate as
large, private agencies rather than a merger of 2 micro - enterprises.
Advantage:
 Give businesses the chance to expand their capabilities and knowledge.
 Allows organizations to join adjacent industries or different geographical marketplaces,
as well as gain entry to cutting-edge technologies.
 Accessibility to more resources, such as technical specialists and equipment.
Disadvantage:
 It's possible that forming a joint venture will results in more complicated tax affairs.
 A joint venture's sustainability is contingent on extensive examination and evaluation of
the goals.
 A joint venture might be more expensive than forming a coalition.
Critically evaluate how your chosen organisations should adapt their marketing strategies for
various international markets
Airdri Ltd select Joint venture marketing strategy in order to enter in different types of
international market because of selected organisation is small medium based company.
Particularly in emerging markets, forming a third business with a partnership is frequently the
favored route of market entrance. A joint venture allows a corporation to benefit from the
facilities, local expertise, and image of its partner. In recent years, strategic alliances and joint
ventures have grown in popularity (Di Benedetto and Lindgreen, 2018). They enable businesses
to pool their risks and resources when entering foreign markets. While gains may have to be
divided, they provide a corporation with a level of freedom not available via direct investing.
Management, governance, duration of agreement, price, knowledge transfer, local business
competencies and finances, and government intents are all important factors to examine in a joint
venture. Controversy over unequal investment projects, distrust over private information, and
8

performance uncertainty, or how to "split the pie," are all potential issues. (d) an absence of
parental backing, (e) ethnic nuances, and (f) deciding if, when, and how to end the connection.
The main advantage for Airdri Ltd with Joint venture People and corporations can offer
diverse degrees of experience and talents to a joint venture, which can help develop items /
products that would otherwise be impossible for a firm to produce by itself. For instance, an
individual lawyer and a smaller accounting firm may team up to form a new company that
specialises in tax matters for new businesses. The joint venture can either advertise the services
or goods developed from both company partners, or it can act effectively that has its own
executive team and advertising. Joint ventures like this have the ability to expand a core audience
and generate more income.
Conclusion and Recommendations why organisation enter the international market
As per the above analysis it is concluded that Airdri ltd wants to expand their business at
international level that business increased business development is one of the most significant
advantages of globalization development. Companies can grow quicker by entering the
international market. Additional audiences are exposed to a company's product or service via
expanding its worldwide reach. This might lead to more extensions in the future. Before
internalization it is recommended to Airdri Ltd that select specific mode of entry that helps to
enter in particular international market without any problem. Along with, select effective
marketing strategies in order to set up business in foreign countries. Right strategy can help to
establish their business in international market and get success in effective manner.
CONCLUSION
As per the above report, it has been concluded that International marketing plays crucial role
at present times. As this incorporates in forming manufacturing as well as marketing facilities
overseas and coordinating strategies of marketing across the markets. Additionally, the main
role of international marketing is to assures that marketing mix for organisation’s products or
service matches global requirements of clients and seeking for the opportunities to utilise a
firm’s competitive edge to market other items into new or existent marketplace.
9

Badges
Specific skills How to demonstrate?
Academic writing-
Grammar:
Word grammar
Sentence grammar
Comprehension :
Reading and
understanding
Punctuation .
Spelling
Critical thinking
Discovering
information
Books,web sites,journals,etc.
10