International Marketing Strategies of BRAC: A Market Entry Analysis

This report provides an analysis of BRAC, an international NGO, and its international marketing strategies. It begins with an executive summary and introduction, followed by a background of BRAC and how its product ideas address youth unemployment. The report then examines BRAC's choice of China as a foreign market, justifying the decision with relevant theories such as the OLI model and OC model. It then explores the market entry strategy, specifically the use of a joint venture, and justifies this approach using the Ansoff Matrix. The report concludes by discussing how BRAC will adapt its marketing program to the changing environment of China, using the theory of change as a justification. The report highlights the challenges of youth unemployment, especially in developing countries, and how BRAC aims to address this issue through various initiatives, including the use of the Kormo app. The report also emphasizes the importance of adapting marketing programs to meet marketing objectives effectively.

International
Marketing

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................1
INTRODUCTION...........................................................................................................................2
A) Background of NGO and how does it product ideas address challenge of youth
unemployment.............................................................................................................................2
B) Choice of foreign market to enter and justifying it with theories..........................................3
C) Market entry strategy and justifying it with theories.............................................................4
D) How will adapt the marketing program and justifying with theories....................................6
CONCLUSION................................................................................................................................7
REFERENCES ...............................................................................................................................8

EXECUTIVE SUMMARY
This document has showed the necessity of international marketing in today's business
environment. Along with this, BRAC which is an international NGO has used Joint Venture as
its market entry technique considering the theory Ansoff Matrix. This has helped in building an
effective brand image in China in short span. Along with this, document has also given proper
information of different market entries and there benefits at the same time. Away with this, paper
consist with different range of challenges that are basically high in developing countries where
and it is around 20% and in near future it will rise up to a percentage of 35.
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INTRODUCTION
International market is a formative concept which offer different types of developmental
opportunities to numerous organisations to operate their functions at wide level. For this it is
required to make market program plan with the help of which organisations can gain more
opportunities to expand their business and gain growth prospectives. Present case study has been
conducted on BRAC which is Building Resource Across Communities and was established in
the year 1972 and acts an NGO with a purpose to provide humanitarian services to people all
around the world. This report covers various factors such as marketing program, vision, mission
and foreign market enter which help company to conduct their operations in effective level.
A) Background of NGO and how does it product ideas address challenge of youth
unemployment
BRAC (Building Resources Across Communities) is international NGO based in
Bangladesh which provides employment and international development in effective manner. The
product ideas will prove to better approach in order to provide relief to poor and make healthy
development (Hult and et.al., 2018). BRAC is an international development organisation which
is headquartered in Dhaka, Bangladesh and was founded in 1972. It is a non-profit organisation
and largest non-governmental development organisation with respect to number of employees in
September, 2016. It exists in 64 districts of Bangladesh and 13 countries in America, Africa and
Asia. Around 1,00,000 people have been employed by them and out of that 70% are women.
BRAC is a partially self-funded via different social enterprises which comprises of food
and dairy products and handicraft stores. Their vision, mission and values are provided below:
Vision: There aim is to provide world which is free from discrimination and exploitation
where everyone gets opportunity to show their capabilities, skills and knowledge to their
complete potential (Bang, Joshi and Singh, 2016).
Mission: They want to endow communities and people when situations like social
injustice, disease, illiteracy and poverty prevails within country. They aims at attaining
affirmative change in large scale via social and economic programmes by which individuals can
pull in their potential.
Values: Their values comprises of effectiveness, inclusiveness, excogitation and unity by
which people can have what they deserve.
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For acknowledging problem of unemployment globally specially for girls have became
critical issue with time. For this different organisations are investing lots of resources, energy
and time by which these problems can be resolved. This rate has been increased to around 12 to
13% with passage of time. These challenges are high in developing countries where and it is
around 20% and even more then this. Youth unemployment has became serious challenge and it
is urgent global crisis which needs to be solved as soon as possible (Berthon and et. al, 2012). A
forum was was conducted to resolve this problem and major organisations in this were Save the
child, Accenture in collaboration with BRAC. App was created by them named Kormo by which
they analysed employment gap. It provides job seekers with platform where they can interact
with employers. By tracking market trends such as salary range and high-demand skills, BRAC
started programme for training youths in perspective of professional knowledge. This assisted
them to provide equal pay scale for women who were deprived of this.
B) Choice of foreign market to enter and justifying it with theories
Choice of foreign market is China as it has constant rate of unemployment from last four
years which is 4.09 %. In relation to this, market entry theory will be used as it is quite crucial
for international firm for making proper entry in new market so that desired objectives may be
met in the best manner possible. In context to BRAC, the international NGO is planning to
expand its business in China. The main reason behind choosing this country is that
unemployment rate of this country is approximately same from past 4 years that is 4.09%. It
simply depicts that still their are numerous of people in china are nit having job (Cashin,
Mohaddes and Raissi, 2017). On the basis of this, it can be said that if BRAC will enter into
China then they will be having opportunity to provide employment to unemployed people. This
development in job opportunity will ultimately provide a rise in economic development of China
in rapid manner. As a result, with the passing time unemployment rate in china will decline day
by day and will also improve living standard of its localise citizens. In addition to this, it can be
China said people of China are much adaptable they could work effectively if they get chance to
work. Therefore, if BRAC will enter in China as their new market where they can be said that
they can easily fulfil their main motive for which they are entering into China. In this regard, it
can be said that top management team of BRAC are required to evaluate different theories which
will help them out in easily entering into new market place that is China for the purpose of social
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change (Cateora, 2007). Some of the main theory that could have been adopted by BRAC is OLI
model and OC that is Organisational capacity model. Both of them are defined as below:
OLI theory: This theory represents that market entry decision of company is mainly determined
with three main advantage should be considered by the company. These three core advantages
are defined as below:
 Owner ship advantages: This means, if company plans to enter into new market then they
should analyse that what kind of advantage will going to be provided nationality owner.
 International advantages: It states that benefits which will be gained by other countries
through international expansion. It basically talks about countries beyond national
boundaries (Czinkota and Ronkainen, 2013).
 Location advantages: This advantage focuses on evaluating various facts which develops
due to location differences such as rules and regulations, resources, cost of production,
institutions etc.
OC Model
Organisation capacity model popularly known as OC model was developed by Aulakh
and Kotabe Madhok. This theory says that an organisation is a bundle of numerous capabilities
and knowledge where people with different skills, capabilities are working together for a
common goal. In context to BRAC, if the management team use this model in their organisation
they can collect different people with their own skills, knowledge and capacity. As a result, they
can achieve their predetermined goals and objectives in an effective manner and provide
employment to those who have skills and knowledge (Henseler, Ringle and Sinkovics, 2009).
As per above specified models, it can be said that both of them are helpful for BRAC
during their international expansion in China. As per evaluation, it has been analysed that OLI
theory is best suitable for BRAC. As it evaluates different advantages on various elements.
C) Market entry strategy and justifying it with theories
The market entry strategy which will be used by BRAC is joint venture. This means that
firm will enter with another similar NGO in China for serving the purpose of eradicating
unemployment (Leonidou and et.al., 2018). Joint ventures comprises of artefact of independent
managed organisation. In this BRAC has started to operate within China through joint venture
strategy. The theory used is Ansoff Matrix element of market development strategy for bringing
same services to China for minimising unemployment rate. This theory is a strategy planning
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tool which furnishes framework to assist senior managers, marketers and executives by which
they can formulate strategies for future growth. This will assist BRAC to provide employment
opportunities to wide range of youth. This model is described below:
Market penetration: BRAC is trying to grow by using existing services within market.
Their main motive is to remove unemployment from world so that, they can have sufficient
opportunities for growth (Hoppner and Griffith, 2015). Joint venture will provide BRAC to
operate within China, they are aiming at their present mission, in which they aims at eliminating
illiteracy, poverty, justice and illegal activities which creates impact on society as well as
economy of country.
Market development: In this firm is about to expand in new country by using their
present offerings and minimal developments. As per their vision and mission they want to
eliminate major drawback which have impact on economic and social growth, this drawback is
unemployment (Hult and et.al., 2018). It is necessary as this leads to unwanted crimes for their
survival. This is major challenge as most of youths are unemployed which results in decline in
their growth as youth possess more knowledge with respect to latest trends and technologies.
BRAC will provide them opportunities by which they can have their own startup and contribute
to economy of country.
Product development: BRAC has innovated an app, named Kormo. This app provided
interaction between employers and unemployed youths. By this they can gain insight into
expectations of organisation and also organisation can address what all upcoming employees
expect from them (Jean and et. al, 2016). This app was used in Bangladesh, but such kinds of
more apps can be developed by them by which they can provide opportunity to youth of China
also. They can also provide training to youth so that they can gain knowledge about professional
skills. Through joint venture they will operate within China. By developing app, BRAC can give
youth vast range of opportunity to enhance their knowledge.
Diversification: In this organisation, tends to grow their market shares by new offerings
within market. In this strategies are formulated by which market can be developed. In context of
BRAC, there aim is to eliminate unemployment from countries, by providing equal rights to all
employees. For this, they have started training programmes by which youth can gain knowledge
about latest trends, techniques, methodologies and skills which are required to survive within
market. Joint venture has been used so that BRAC can easily enter within market of China to
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eliminate rate of unemployment and discrimination among employees which creates negative
impact on mindset of people (Leonidou and et.al., 2018).
D) How will adapt the marketing program and justifying with theories
The marketing program will be used to adapt to changed environment of China and as a
result, marketing objectives would be met quite effectively. The theory to justify this approach is
theory of change will be adopted and marketing plan will be made accordingly (Morgan, Feng
and Whitler, 2018).
There are different types of change components which is mentioned below:
Need Statement:
In order to bring appropriate change it is required to effectively describe a problem
which is existed in a program and required to be addressed such as root causes and actual
barriers (Morgan, Feng and Whitler, 2018). Without having a proper and clear set of goals it will
become hard for BRAC to measure their success. In order to satisfy employment need of youth it
is required for NGO to analyse factors of standard metrics and factors related to cost saving,
business objectives, risk management and productivity improvement.
Target Population:
It is essential to analyse and define change program target market along with this
required to segregate population those who are going to be benefited with that program. BRAC
can take help of social media to identify those population which is needed to be served. This will
help NGO to split their channels and attain attention of more customers. It is important for
BRAC to go beyond of their traditional way of marketing program which include, age, income
and geography and evaluate various way to motivate target audience. This will benefit them to
evaluate deep insight of their pin point and triggers of their target group which will automatically
aid BRAC to inspire innovative content ideas and provide effective services across the world
(Morschett, Schramm-Klein and Zentes, 2015).
Core program components:
It is essential to define critical factors of programme that will going to create a change.
As BRAC have main pin points and motivation drivers the next process for them is to map each
of the stage against the sales funnel.
Outcomes:
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In this factor, measurable change of program is required to be mentioned along with its
aim which is required to be achieved in context of any particular target population (Rong and et.
al, 2015).
As china have more developmental opportunities therefore, in order to satisfy a target
market it just not enough to advertise for this adapting marketing condition can effectively
overhaul overall market strategies. In addition to this utilization of marketing mix can be proved
to be very effective for BRAC. NGO can effectively adopt marketing program by coordinating
their set of activities and designing their functions can achieve their marketing objectives in best
possible way (Quelch and Klein, 1996). With the help of marketing program BRAC can sharpen
their marketing skills in the field of executing, designing, organising etc.
CONCLUSION
With the help of above mentioned report, it can be concluded that there are a range of
market entry tools which could be used by business organisations at the time of entering a whole
new market like Joint Venture and many more. On the other hand, it is also summarised that an
organisation needs proper funding in order to gain competitive advantages at a whole new
market in a short span.
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REFERENCES
Books & Journals
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Implications for international marketing strategy. Business horizons. 55(3), pp.261-271.
Cashin, P., Mohaddes, K. and Raissi, M., 2017. China's slowdown and global financial market
volatility: Is world growth losing out?. Emerging Markets Review. 31, pp.164-175.
Cateora, P. R., 2007. International Marketing 13E (Sie). Tata McGraw-Hill Education.
Czinkota, M. R. and Ronkainen, I. A., 2013. International marketing. Cengage Learning.
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modeling in international marketing. In New challenges to international marketing (pp.
277-319). Emerald Group Publishing Limited.
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evolution of research in international marketing channels. Journal of Retailing. 91(4),
pp.610-626.
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International Marketing Review. 33(3), pp.483-512.
Leonidou, L. C and et.al., 2018. Advances in Global Marketing.
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