International Marketing Strategies for Brakes Food Limited

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This report provides a comprehensive overview of international marketing, focusing on the rationale for international expansion, market entry strategies, and adapting the marketing mix for global contexts. It analyzes the scope and key concepts of international marketing, using Brakes Food Limited as a case study. The report evaluates criteria for selecting international markets, explains various market entry strategies with their advantages and disadvantages, and investigates the differences in product, price, and promotional approaches across different international contexts. Furthermore, it presents an overview of the global versus local debate and compares national and international orientations, outlining methods for assessing competitors and their implications. The analysis covers direct exporting, franchising, and other entry modes, offering a detailed perspective on how companies can effectively navigate the complexities of international markets to achieve growth and success. This student-contributed assignment is available on Desklib, a platform offering a wealth of study resources, including past papers and solved assignments.
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Unit 40
International
Marketing
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Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Analyzing the scope and key concepts of international marketing...................................1
P2 Explanation the rationale for it to want to market internationally and describe the various
routes to market the organization can.....................................................................................2
TASK 2............................................................................................................................................3
P3 Evaluate the key criteria and selection process to use when considering which international
market to enter........................................................................................................................3
P4 Explain, using examples, the different market entry strategies, including the advantages
and disadvantages of each......................................................................................................4
TASK 3 ..........................................................................................................................................6
P5 Presenting an overview of the key statement in the global versus local debate................6
P6 Investigating how the product, price, pricing and promotional distribution approach differ
in a variety of international contexts......................................................................................7
TASK 4............................................................................................................................................9
P7 Explanation and analyses of the different international marketing approaches your client
organization can adopt............................................................................................................9
P8 Comparison of national and international orientation and several methods for assessing the
competitors along with outlining the implications of each approach .................................10
CONCLUSION .............................................................................................................................10
REFERENCES .............................................................................................................................12
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INTRODUCTION
International marketing is defined as the expansion and promotion of business organization
all over the world. It has been found that the four marketing principles which are applied on the
domestic level are totally same at international business as well. It includes the process of
applying the principles of Marketing when a company is performing business operations in more
than one country. Business organization have various ways by which they can enter into the
international market such as import export foreign direct investment joint venture partnerships
and many more. It is necessary to target the correct market on correct time with the development
of accurate approaches before entering into the international market. The major objective of
international marketing is to develop the sales and revenue of organization. Brakes Food Limited
is the chosen organization for this report which is a UK based company dealing in food and
distributing the same items across the country (Bouchet, D., 2018). This report deals with the
several topics related to the international marketing such as it's rationale, consider factors when
going for international business, various marketing strategies, 4P's of marketing, several
approaches to international market and comparison among the home and international orientation
with its implications.
TASK 1
P1 Analyzing the scope and key concepts of international marketing
Global marketing or worldwide marketing at the another name of international marketing.
It is a process which have been undertaken by the companies who are willing to performing their
business operations on international level. In simple words the international marketing can be
defined as a procedure through which any business organization plans and executes the entry
along with some elements of marketing such as a product, price, place and promotion by taking
some considerations in respect to creation of international exchange which result in the
satisfaction of business as well as individual objectives within an organization.
It has been found that there are several key concepts related to the international marketing
include National boundaries along with a business which is planning to perform business
operations in a unknown target market culture or environment which is dynamic and large in
nature as compared to home country operations. When any business organization wants to have a
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foreign market operations or they want to become self dependent, the management of
organization plan for their expansion. Marketing activities at multidomestic level is considered
as an another concept of international marketing which leads to the growth and development of
business after gripping of targeting market at worldwide level as the business organization is
planning for getting a strong position in the market so that they can perform their business
operations independently.
The scope of marketing at global level of a business organization have been analysed that it
include several forms such as a import export or even a business of re-exportation (Chang and et.
al., 2018). Export is defined as the transfer of products and services in home produced in home
country to another country which include international business functions. Performing trade and
selling of goods and services in international target market is the major reason behind exporting.
Import is defined as a process of buying of goods and services from another country for the
purpose of selling them within the home country. The importation of semi furnished two goods
and manufacture them for the purpose of converting them into the finished products and export
them after such production to either important country or another is known as the process of Re-
exportation.
P2 Explanation the rationale for it to want to market internationally and describe the various
routes to market the organization can
Brakes Food Ltd. is a UK based company e which is offering its products and services only
in the home country by distributing the products for more than 20 centres there. It's headquarters
in Ashford, United Kingdom. It means Delta the business organization offers several wholesale
and logistics services by the contract from their headquarter. The growth performance of a
business organization can only be analyse through its profit and loss account. Only after
fulfilling the needs and demands of customer or by getting success and trust of market, the
business organization wants to perform their operations in international market as it will help
them in enhancing the customer base along with the expansion of market at global level (Colicev
and et. al., 2019). The Breakers Food Ltd. wants to expand their business in international market
with the objective of creating large portion of market and promote its food products in several
countries. If they want to expand their business worldwide, it can be said that the Breakers Food
Ltd. is growing internationally. While doing expansion of business organization at global level,
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the business organization can faces several fluctuations in demand. There are several routes to
market the organization which a company can adopt. Some of them are given below:
Business to Business international marketplace
E-commerce or E-market
M-commerce or S-commerce
Development and operations at international website.
From the above study it has been analysed that there are several modes which are available
for an business organization for the purpose of its expansion at global level. This concept is
related to the performance of business organization in international market by doing the
promotion of products This concept is related to the performance of business organization in
international market by doing the promotion of products offered by the company with in market.
TASK 2
P3 Evaluate the key criteria and selection process to use when considering which international
market to enter
At global level, the selection of marketplace has an crucial role. On the basis of evaluation
of several markets in a well defined manner, appropriate market have been selected in a well-
defined criterion for the purpose of fully utilisation of available resources of organization, so that
the organizational targets and objectives can be achieved (Dahl, S., 2018). Several of business
organization and doctor various key criteria and selection process for the purpose of selecting the
international market to enter. The market selection process include several steps which are
explained below: International marketing objective: It is considered as the First phase of the process of
selection of marketing. Under this phase, the objectives of export marketing of a business
organization have been analysed. It has been found that the objectives of a particular
international marketing may be different from the achievement of some other
international marketing objectives. Parameters for selection: In order to evaluate and select the market, it is an essential for
the organization to intelligibly lay behind the element of market. Sum of factors of
market include nature of competition International environment market situation and
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many more. These are the factors which are necessary to keep in mind while setting the
objectives of international marketing as it affect the business operations a lot. Preliminary Screening: In order to identify the potential market for a business
organization, it is an essential for the management to do the screening of market. It has
been founded at the nature of a product directly affected the potential market as the
potential markets may vary from product to product. Sum of factors which affect the
screening of markets are size of population, political conditions, per capita income,
infrastructural factors, structure of economy and many more. Short listing of markets: The non potential markets have been removed in the
preliminary screening step. After removing the known potential markets, the business
organization have the several options which are suitable for them (Guercini, S. and
Milanesi, M., 2019). The management of organization have to select one market and
identify the several information which are related to the for the screening of selected
market. Evaluation and selection: It refers to the step under which the analysis of short listed
markets have been done in such a way so that the organization can take cost-benefit. A
single market have been selected on the basis of external environment in order to
launching the product in the particular market. After selecting the market, have been
tested on a small scale and it has been analysed that the launching product in this
particular market is beneficial for organization or not. It is helpful for the manufacturer to
get the overall feedback from their consumers in a specific market (Thomas, N.J., 2018).
Commercial Production: It is considered as the final step in the process of selection of
market. At this stage, the business organization can start the production of products and
services on a huge level after testing the same product in the selected market. It is it
necessary for the organization to make sure that the produced product is enough to satisfy
the needs and requirements of customers of selected market.
P4 Explain, using examples, the different market entry strategies, including the advantages and
disadvantages of each
It has been found that there are several ways for entering in the international market and
there is no any single strategy which is found as a suitable for all the business organizations
because of difference in their size, nature and revenue. The business organization have to select
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any strategy to follow as per their needs. Some of modes of entry in international market are
given below:
Direct Exporting: It is defined as the strategy of international market under which
business organization directly export the finished products and services to the other countries
with the use of several mediators such as the agents and distributors. In other countries, the
distributors and Agents are considered as the front face of business organization. Some examples
of companies of United Kingdom adopting the direct exporting strategy include Black Smith
Kilne (pharmaceutical), Implies Brands (tabacco), Anglo American (diversified metal and
mining), British Petroleum (Oil Gas) and many more.
Advantages
By adopting this business strategy, the business or organization can reach in the foreign
market. Hence it is considered as the golden opportunity for business organization for
expanding their business in different countries (Johnston, W.J. and Cortez, R.M., 2018). This strategy also related to bringing the improvement in communication due to the
middle man and contract person, in case of any emergency or issue.
Disadvantages
This strategy is considered as the time consuming process because of the presence of a
middleman or contract person. Along with this it is a highly expensive strategy.
It is really a difficult task for the business organization to create a strong customer base.
Franchising: It refers to the strategy which is generally used in North America. This
strategy is found as really helpful for the the business organization dealing in the food products.
It include the involvement of two caveats in model i.e. strong brand recognization and
competition in the new market. Several of business organization who are applying the strategy of
a franchising include Oscar Pet Food, Costa Coffee, InXpress, Subway, KFC, Pizza Hut,
Starbucks, Domino's, McDonald's and many more (Koval and et. al., 2019).
Advantages
It leads to the achievement of brand loyalty of organization from several successful
locations. Franchise is helping the business organization in the fast expansion as they are providing
the labour and the sales of business organization provide the growth to them.
Disadvantages
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In the case of collection of single wrong franchise totally spoil the reputation of whole
franchise.
It include high amount of risk as it is not safe to share all the confidential information to
the franchise if the business organization is not fully committed to the business.
TASK 3
P5 Presenting an overview of the key statement in the global versus local debate
Marketing is defined as the sum total of all those activities and practices of which are
undertaken by a business organization for the purpose of satisfying the customers by adding the
values in product. Another objective of marketing is to create a good relationship with their
customers. It also focus on the identification of needs and demand of customers so that the
business organization can satisfy them by providing the relevant products and services.
Performing the activities of trades in the home country is called as domestic or local marketing.
Where is the International or global marketing is defined as the process of performing the
business operations in the Global market or worldwide. Below mentioned table is showing the
key argument among the global and local debate:
Basis Local Marketing Global Marketing
Meaning It is defined as the procedure of
doing marketing activities within
a single country. It perform the
marketing function on national
level.
It refers to the process of
performing marketing business
operations in more than one
country or at international level.
The expansion of business
organization in several countries
are consider as the global
marketing (Kurpis, L.H. and
Hunter, J., 2017).
Use of technology It has been found that the local
marketing involve less or local
technology as they perform the
marketing activities in front of
limited audience.
Advance and latest technology
have been used while performing
the marketing function on
international level. It help the
business organization in reaching
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to the large number of people in a
time and cost effective manner.
Capital Requirement Local marketing is working on a
small level. Hence, they require
less amount of capital in
comparison to the global
marketing.
It requires high amount of capital
in order to cover the huge level
of audience.
Research On small level, it is the choice of
customers to do or not to do the
research.
Because of less knowledge of
foreign markets, it is necessary
for business organizations to do
deep research to acquire
knowledge.
Nature of customers It is a local market in which the
people of almost same nature
lies.
Due to the availability of huge
audience of several countries, all
customers have different culture.
Area served A small area of a single portion
of global marketing have been
served.
It covers a wide area as
compared to the local marketing.
Government
Interference
Less government interference is
involved.
It involves high government
interference.
Risk It involves less risk factor. It involved High risk factors.
Business Operations Local marketing operates
business in a single country
(Parlar, T., 2017).
.
While Global marketing works
on global level.
P6 Investigating how the product, price, pricing and promotional distribution approach differ in a
variety of international contexts
It is necessary for business organization to analyse the market before planning to launch
any product or service. The standard marketing mix have been adopted by the business
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organization while they are entering in the foreign markets. Below mentioned are the product,
price, place and promotion approaches in a variety of international context: Product: In international market, the management of business organization is required to
take the decisions as per the production offer products in different countries. The
production of products get a different from country to country because of the different
culture and the religion of people living there. It have been analysed that the the buying
behaviour of the customers of different countries are different. Brakes Food Ltd. have to
take care the preferences of the consumers while doing expansion of their business
organization in different countries. Promotion: The when object of promotion is to provide a message of advertisement to
the customers of different countries in such a way so so that the customers can
understand the message and attract towards the organization. It has been found that the
different countries have a several languages, attitude, political climate, cultural and many
more. It is necessary for the business organization to make their promotional message
understandable to the people of a particular country (Ramani, N. and Srinivasan, R.,
2019). It is recommended to Brakes food Ltd. to do PESTLE analysis for identifying the
external and macro environment of different countries which affected the business
organization. Price: It has been founded at the most difficult task for an organization is fixing the
prices of products and services. It is necessary for an international business organization
to take care of several factors while fixing the prices. These factors include personal
disposal income of target market, transportation Costs, import and export duty, economic
condition of country, currency and many more. Brakes Food Ltd. is required to fix the
prices of their products after analysing about the purchasing power taste of customers and
competition available in a specific country.
Place: If any business organization want to make high profit it is necessary for them to
make the products and services available to the customers at right time and right place. It
has been found that the business practices are also different to National markets. In the
market of United Kingdom, the products and services are move in a proper chain which
include several people such as a manufacturer, wholesaler, retailer and customers. Brakes
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Food Ltd. is required to analyse the distribution chain in a specific country and after that
they are required to decide the place of selling the goods.
TASK 4
P7 Explanation and analyses of the different international marketing approaches your client
organization can adopt
Performing the business operations across the world include several of marketing
strategies. It is required for a business organization to adopt several approaches of international
marketing. Some of them are given below: The transaction Cost: This approach explain director the business organization have to
select the accurate and correct mode of entry in global market. The selection of mode of
entry is always based on the decisions of trade off among control and cost of resources
commitment (Razak and et. al., 2018). In order to coordinating the actions and revising
the strategies, this approach to make possible that the organization for the same implies
high revenue. The global configuration/Coordination Perspective: in order to bringing the
improvement in the efficiency along with gaining the high number of competitive
advantage, perception highlight has its importance while configuring and coordinating
with the practices of organization at several levels in the value chain in all countries. The evolutionary perspective: It is necessary for the business organization for making the
comprehensive perspectives to show the operations of a business organization while
expanding the operations in international market. In 1977, this theory was developed by
Johansson and Vahlne on the basis of pattern of industrialisation. The Global integration perspective: The whole of integrated have been seen by the
Global or international market. New faces have been placed on the importance of
conducting the marketing operations all over the world. While starting the business
operations in the new market, the organization have to shift in resources. Sometimes it
have been found that the resources shift from one market to another market in order to
accomplishing the market objectives in a more effective and efficient manner.
The standardization/Adaptation perspective: In 1968, this approach was introduced by
Buzzell under which the potential benefit of standardizing various elements of marketing
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mix have been analysed. The main objective of this analysis is to stand in the opposition
of adopting localised strategies. Levitt has perform a debate in 1983 under this approach
which explains that the the Global organization can get success only when they adopt the
market standardized product policy in all the countries.
P8 Comparison of national and international orientation and several methods for assessing the
competitors along with outlining the implications of each approach
It has been found that most of business organization use only four types of orientations such
as polycentric approach, ethnocentric approach, regiocentric approach and geocentric approach.
Ethnocentric approach is defined as the approach under which the business organizations think
about their operations as a secondary as compared to domestic operations. It is considered as the
the part of a domestic or home orientation. In the context of Brakes Food Ltd. it is necessary for
the management of four considering the competitors of the same home country first over the
international competitors (Schwens and et. al., 2018). Polycentric approach is also found as the
the portion of domestic orientation under which the local techniques and employees are
considered as the best source in order to to dealing with the several fluctuated conditions of local
market. This approach establishes several branches in the Global market and it is necessary for
each and every branch to operate in an independent manner.
Business organizations use regiocentric and geocentric approaches for the purpose of
international orientation. Under the regiocentric approach, several regions are considered as the
different markets of organization. It is stated that the competitors of International Organization
are different. Hence the business organization is required to develop different strategies in order
to formulating them. Under the approach of geocentric, all the business organization consider the
entire Global as a single market (Sharma and ret. al., 2018). It is required for such organization
to adopt the standardized marketing mix.
CONCLUSION
It has been concluded from the above report that the international market leads to the
grabbing of several opportunities which are available to the organization. The expansion of
business organization in the international market leads to the growth and success of business by
earning high revenue and profit. It is necessary for Brakes Food Limited to analyse the entire
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