Report: BSL's International Marketing Strategy and Expansion Plan

This report provides a comprehensive analysis of Bamboo Systems Limited's (BSL) international marketing strategy, focusing on the rationale for expanding into international markets, particularly Japan, and the various routes to market. It examines the scope and key concepts of international marketing, including imports, exports, contractual agreements, joint ventures, and full-owned manufacturing. The report also discusses the opportunities and challenges of marketing internationally, such as low investment costs versus poverty and corruption. Furthermore, it evaluates whether BSL's marketing plan should be standardized or adapted and how to organize and evaluate international marketing efforts. The analysis is based on BSL's current operations in the UK, Australia, Canada, France, Germany, Singapore, and Switzerland, and its strategic decision to expand into Japan, considering the country's high demand for IT services.

INTERANTIONAL BUSINESS

Table of contents
Introduction......................................................................................................................................3
1.Why the business should consider international marketing. ........................................................4
2.What international markets the business should consider..........................................................10
3.Whether the marketing plan should be standardised or adapted.................................................16
4.How to organise and evaluate international marketing efforts (multinational, global,
transnational, meta-national, etc.)..................................................................................................22
Conclusion.....................................................................................................................................26
References......................................................................................................................................27
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Introduction
International marketing is a process of promoting business operations in a global world. For
promoting a business on a global basis international marketing process plays a major role. Some
different types of marketing principles are applied for international business and some principles
are used on a domestic basis but in a reformed manner (Stern, 2009). The Bamboo System
Limited (BSL) is a computer company in the UK and provides different kinds of computers and
their parts. In this report, key concepts of international marketing, the rationale for business
organisations describing various routes of the international market, key criteria of the selection
process, different kinds of marketing strategy, advantages and disadvantages of international
marketing, an overview of global arguments for international marketing, analysis of many
international marketplaces, comparing different types of international market orientation will be
discussed in this report.
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Why the business should consider international marketing.
Company overview
The bamboo Systems Ltd (BSL) is a computer and software company in the UK and provides
different types of software applications, providing modern data, and analysing different kinds of
opportunities in the information technology sector. The company has been proven effective in
terms of providing software services to the users. The company was selected for the two gold
winners in the 17th international business award. The CEO of the company is Tony Crathorne.
For ensuring high architecture design computing platform is designed to scale out the targeted
applications. The company delivers 8 types of services like Apache, kubernetes, Ubuntu,
Tensorflow, Centos, docker, Hadoop, elastic etc. BSL also provides well-balanced servers for
dedicated memory that also ensures maximum performance. BSL’s performance is optimally
efficient that designs for unmatched performance. The company also provides a magnitude
reduction of power consumption that 80% rack space for ensuring higher density. In this modern
age, technology and IT services are very revolutionary processes for linear scalability so the
company focuses on micro services to support computing architecture. As BSL is growing very
faster leaders of the company think to expand it areas. So the company has taken initiative to
open some stores to other countries.
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Analysing the scope and key concepts of international marketing.
International marketing is a process of promoting, directing, planning, setting prices for goods
and services to run business to other nations and countries. International business relates to many
other countries in the whole world. The core thing is applying marketing principles in another
country for making business relations with foreign countries. BSL provides its products and
services to other countries in the world. The company follows an international marketing strategy
for operating business. International marketing is concerned with crossing borders and applying
different types of marketing principles. The technology of London area is very developed rather
than others and the United Kingdom is developed country so the people of the country use most
developed technology (Sinkovics and Salzberger, 2006). BSL has emerged as the most premium
brand in the London area and increases its customers base. In an international market, many new
opportunities are offered specially for technology-based products. Before entering the
international market, a business organisation should understand international market trends and
challenges so that the business can be operated properly. By applying international marketing
principles an organisation focuses on to increase customer base. So BSL needs to know the
current international marketing principles for increasing customer base. Currently, the company
is operating its branch in the UK, Australia, Canada, France, Germany, Singapore and
Switzerland. As the company is on a high pace of growth. Therefore, the firm is going to
increase its international share by expanding its operation in more country. BSL select Japan to
open their new branch in the country. From various research it has been found that, In japan
there is huge demand of IT Services. So it will be very effective idea to run business in Japan as
well as USA. The company has a high scope of growth by expanding the business in Japan.
The scope of international marketing
Imports: Imports refers to the process of buying products from other countries and sell them to
domestic country so it is considered as the simplest form of international marketing. When a
product has a great demand in a domestic country but the country is unable to provide the
product according to the demand then the domestic country decided to imports the product to
meet the demand where it is available. Many companies localise some products that have a great
demand or meet the market demand.
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Export: Another scope of International marketing exports. It is the opposite form of imports.
Export is a process of selling products to another foreign country that has a great demand and
value to the foreign market. When domestic products have no higher value and the products is
available in the marketplace but the products have a great value in the international market or
foreign country then the domestic country sell the products to a foreign country. For generating a
lot of revenue a country sells its finalise products to the international market.
Contractual Agreements: At the time of moving beyond the domestic boundary it creates many
international scopes and creating a lot of chances to do business. It is also considered as an
international marketing scope that creates lots of opportunities for a domestic country business
organisation. By contractual agreements, the marketplace enhances revenues increases, the base
of consumer expands. Business companies grow very faster through contractual agreements and
several partners overseas.
Joint venture: Joint venture means creating a contractual agreement with other brands to operate
a business together for achieving some specific goals and objectives. In a potential market, two
brands can enter together for operating their business and gaining some specific goals like most
of the market share from the competitive marketplace. In this method of business two parties
decide about investment, profits and losses before starting business operations. A joint venture
creates many scope and opportunities for entering into a foreign market by overcoming barriers.
For understanding the market dynamics of all international markets efficiently the joint venture
process plays a very essential role.
Full owned Manufacturing: A company can fully own and engagement with manufacturing by
a relatively higher level of communication. The manufacturing company can sell products in
national boundaries and foreign countries by ensuring some facilities. By owning fully, the
quality of products can be controlled properly (Sinkovics and Salzberger, 2006).
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The rationale for BSL to want to market internationally and describe the
various routes to market they can adopt.
The popularity of the company increases by the competitive advantages over the major
competitors from the UK. International marketing helps the organisation to enhance the area of
business. For acquiring more resources international marketing plays a very major role in
engaging all business organisations. For marketing products and services internationally a
company needs a huge amount of money. Human resources and financial resources are the most
essential elements in the international marketplace. BSL plays a very effective role to meet all
responsibilities for international business and the company focus mostly on the effective human
resource. For international marketing, the business organisation needs to follow diversifying
sources of sales and supplies. To enlarge the company’s operations internationally the company
needs to operate its functions in different countries in the world. The company has been taken
initiative to open store in Japan and thinks to operate business in USA. BSL focuses on meeting
customers’ needs and wants for entering into the international marketplace. The reasons for
entering the international market are demonstrated below:
Taping in the worldwide market: Entering the international market an organisation can increase
its income and revenue. By entering the worldwide marketplace business organisation can
expand their area of business. BSL is growing company in UK area so the company tries to enter
the international market for expanding business area worldwide (Schroeder and Borgerson,
2005).
Development and benefits: BSL focuses on the development of the company’s business areas.
Most of the company tries to expand the growth of the company ensuring benefits and the
primary motivation for employees in the organisation. By creating opportunities and benefits an
organisation can esteem its image in the international marketplace and help to move forward the
company. The development of an organisation depends on the situation and conditions of the
country’s overall environment. The factors and conditions are given below:
 The political condition affects the business world very intensely as well as an
international marketplace. Political stability is the most essential component for operating
a business in a global market. Any irregularity and instability are seen in the political
environment the company will face different kinds of problems.
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 The economic condition of a country affects the working process of the global
marketplace. The income and revenue of a business organisation are intensely affected by
the economic condition of the country.
 Social trends and culture create the market demand and also create job facility for local
people so the overall environment, the International marketplace is also affected by social
factors.
The routes of entering the international market of Bamboo computer
Licensing: This has been considered as one of the most vital element in term of starting the
business at international market. The licensing provides an assurance to the business so, no other
organization can run its activities in the name of Bamboo computer. The prior function of
entering in international market is to get the copyright of the business. And this has been
considered as the process of licensing. BSL gets its own identity in the international market after
completion of licensing.
International agent distributors: BSL has to hire the most qualified agents from the world so
that products and services can be provided properly.
Strategic alliances: For entering the international market all business organisations need to agree
with some agreements in manufacturing, development, marketing distribution and other aspects.
BSL can access the international market by agreements and strategic alliances without sharing
ownership of the company.
Internet: The Internet is the most effective and cost-effective medium of operating business in
the international marketplace. Without going to a foreign country physically a business
organisation can visit the country and making business deals by using the internet (Papa and
Elliott, 2011).
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The opportunities and challenges of marketing internationally
The opportunities that are available in the international market are given below:
Low investment: BSL needs to identify such country for investment where investment and cost
of investment are low such as India. The company can enter the Indian market with low costs.
Taxation: By entering into the international market a business organisation can reduce its tax
cost because the company doesn’t need to invest additional costs for taxation.
Large Population: In the international market a large number of customers are available for
quality products.
Challenges
Poverty: In poverty country like India, has a low cost for trading so the company can experience
revenue and profit negatively.
Corruption: As in the international market, various types of companies are available the
corruption level in the international market is huge.
Infrastructure: In the international market all countries do have not well-developed
transportation and telecommunication system like the UK.
Critical evaluation in relation of opening the branch of BSL in Japan:
The BSL company is one of the biggest IT service provider. The company provides help to the
number of business and institutions by delivering the web-based applications. The company is
highly focusing on increasing its market share. Now, the firm has chosen Japan in terms of
expanding the business. The firm has adopted the effective research startegy and found that,
Japan is the best place in order to expand the operation of busienss. In order to understand this
with clearance. Here are the points that are efficient enough to prove that, “why Japan has been
chosen over other countries”.
Increasing business modal- It has been found from various research that, Japan is on a high rate
growth and there are number of business that are opening in the country. All these businesses
requires the IT services and software applications in relation of increasing the productivity of the
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businesses. BSL is one of the biggest service provider in terms of IT & Software services. Thus,
the company has a big opportunity to grab.
Customers are highly attracted towards technology- While analysing the market of Japan,
The study of consumer behaviour has been approached. And it has been found that, the
customers are highly active in terms of using technology. Consumers are highly involves in
using computers and software. The youth of japan use computer devices in order to complete
their studies. Thus, the BSL has high chances of taking the business towards the success raye by
opening the branch in Japan.
What international markets the business should consider.
The key criteria and selection process to use when considering which
international market to enter.
As the company is UK based the company should follow economic integration for entering into
the international marketplace for operating business. To operate the business operation in another
company BSL needs to consider some factors. For the selection process some aspects are
considered these are given below:
Identifying international marketing objectives: BSL should identify its objectives for increasing
market values. By identifying marketing objectives, the company also can increase its profit.
Information collection: For the overseas market reliable market information must be needed by
the company for sustaining in a competitive marketplace. BSL should focus on competition,
nature of consumers, demand of products and inspect market overseas (Lascu, 2006).
Information analysis: The collected information needs to be analysed by researchers for
ensuring relevant and reliable information.
Shortlisting of the market: For competition prevailing shortlisting of the market must be done
through government policies.
Market selection: At the time of market section government policies, trade barriers, inflation,
and overall overseas are considered to ensure good return from the international marketplace.
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The process of entering into the international market
BSL follows various types of international marketplace and analyses so that proper information
and trends of market can be analysed as the company wants to operate business in Japan and
USA based countries.
Country identification: After selecting a country, it needs to be evaluated on the basis of the
international market. Before entering the international market Bamboo computer needs to
consider potential customers, customers’ needs and wants, the culture of the country and
executing various types of research for evaluating the business environment efficiently. Before
selecting the company should evaluate the actual business environment of the countries.
Preliminary screening: The second step before entering the international market is preliminary
screening. In this step, various types of factors are considered such as domestic consumption,
stability of the currency, level of exchange rates, and another overall basis of the international
market. The process is focused on the selection of the international market very effectively.
In-depth screening: The other similar products from the international market are considered to
maintain the channel of distribution of the products preferences the test of customers. The costs
are also considered for the making proper pricing model of the company.
Final selection: The goals and objectives of organisations are considered for final selection. If
the products and services are relevant to the goals and objectives and matching with the needs of
the international market, then the products and organisation are finally selected for operating its
business in the international market. Similar companies may exist in an international market
Bamboo computer needs to increase its competencies to compete with many business companies
in the international market. When market place sees similar products are provided by many
companies then they provide different kinds of conditions for entering into the international
marketplace.
Direct Experience: The potential market for the company refers to the profits and facilities for
the company so the company firstly analyses the potential marketplace first critically so that an
effective marketplace can be identified. So direct experience from the business firm will be very
effective for running a business in the international marketplace (Kotabe, 2007).
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