International Marketing Strategies for Bunga Bunga Bar and Restaurant

Desklib provides past papers and solved assignments. This report details Bunga Bunga's international marketing strategy.

INTERNATIONAL MARKETING

Table of Contents
LO1- DEMONSTRATE AN UNDERSTANDING OF HOW MARKETING CONTRIBUTES TO
BUSINESS STRATEGIES IN AN INTERNATIONAL CONTEXT.........................................................3
INTRODUCTION TO THE ORGANISATION AND ITS CURRENT MARKET................................3
INTERNATIONAL MARKETING AND MAIN DIFFERENCE TO LOCAL MARKETING..............3
THE SCOPE AND CONCEPTS OF INTERNATIONAL MARKETING..............................................4
THE RATIONALE FOR AN ORGANISATION TO WANT TO MARKET INTERNATIONALLY...5
OPPORTUNITIES AND CHALLENGES THAT MARKETING INTERNATIONALLY PRESENTS
TO THE ORGANISATION....................................................................................................................5
LO2- EVALUATE ENTRY TO A SELECTION OF INTERNATIONAL MARKETS AND DEFINE
THE KEY SUCCESS FACTORS...............................................................................................................6
THE KEY CRITERIA AND SELECTION PROCESS THAT THE COMPANY SHOULD USE.........6
VARIOUS ENTRY ROUTES OF INTERNATIONAL MARKETING AND WHICH ONE
COMPANY SHOULD ADOPT..............................................................................................................7
CONCLUSIONS.....................................................................................................................................8
RECOMMENDATIONS.........................................................................................................................9
LO3- INVESTIGATE HOW ELEMENTS OF MARKETING PLAN CAN BE ADOPTED OR
STANDARDISED ACROSS INTERNATIONAL MARKETS..................................................................9
AN OVERVIEW OF THE KEY ARGUMENTS IN THE GLOBAL V LOCAL DEBATE 9
THE PRODUCT, PRICING, PROMOTIONAL AND DISTRIBUTION APPROACH DIFFER WHEN
USING A VARIETY OF INTERNATIONAL MARKETS..................................................................10
LO4- DEMONSTRATES AN UNDERSTANDING OF HOW TO ORGANISE AND EVALUATE
INTERNATIONAL MARKETING EFFORTS (MULTINATIONAL, GLOBAL, TRANSACTIONAL,
AND META-NATIONAL, ETC.).............................................................................................................11
THE INTERNATIONAL MARKETING APPROACH THE COMPANY CAN ADOPT...................11
COMPARISON OF HOME AND INTERNATIONAL ORIENTATION AND WAYS TO ASSESS
COMPETITORS AND IMPLICATIONS OF EACH APPROACH.....................................................12

CONCLUSION FOR THE COMPANY...................................................................................................13
RECOMMENDATIONS FOR THE COMPANY.....................................................................................13
REFERENCES..........................................................................................................................................13

LO1- DEMONSTRATE AN UNDERSTANDING OF HOW MARKETING
CONTRIBUTES TO BUSINESS STRATEGIES IN AN INTERNATIONAL
CONTEXT
INTRODUCTION TO THE ORGANISATION AND ITS CURRENT MARKET
An Italian- themed bar and restaurant that is Bunga Bunga in London. When the visitors enter
the restaurant the moment comes through the unassuming phone box out front, this gives the
feeling of whisked away for a Roman holiday. This is like heaven for Italian lovers as it
attributes like gondola-shaped bar, on over the stairway it has a painstaking reproduction of the
Sistine Chapel and lives composition and creative music. The name of this restaurant and bar
"Bunga Bunga" is in respect to say goodbye to Silvio Berlusconi who was the Italian politician
and persistent defendant of criminals, he used to throw the party for adults and he used to host
that party in his home. The new venue of Bunga Bunga is broken into two clear offerings that are
iffy cocktails and pizzas but normally it is famous for Cara Delevingne, Margot, prince harry and
all types of karaoke-loving Sloane that are extravagance singings (Bunga Bunga, 2019).
Bunga's current market in London, this bar and restaurant are very famous among the youth and
all the people who are above 20-24 age. The theme and outlook attract adults and youth to enjoy
their services.
According to me, Bunga Bunga can expand its business internationally. It can target the
customers in US-based cities like New York City, San Francisco and Los Angeles where it can
potentially attract Italian customers of those cities.

INTERNATIONAL MARKETING AND MAIN DIFFERENCE TO LOCAL
MARKETING
International marketing is a processor performance undertaken by business to promote, plan,
price and distribute the goods and services in other nations to customers for profit motive
(Czinkota and Ronkainen, 2013).
The region where you live in the local market, the politics and the population whereas
international marketing depends on various goods and it gets influenced by other countries
policies.
The role of International marketing is to operate with macroeconomics this affects the large
movement that affects the flow, logistic reasons, relations of politician in different economy,
local marketing operates in microeconomic, the market is all dependent on the local effects like
local laws, population and conditions of that region that can create suitability or benefit for that
business. The international market has a diverse and broad global environment which may be
unstable sometimes and the local market has limited and combined environment that stable.
In comparison to the international market, the local market includes homogeneous market which
consists of similar purchasing power but the international market has multiple and fragmented
markets with various purchasing power. As it has a different market they need to produce
different product whereas local market produces a single product.
International marketing includes usage of different currencies, and local market uses single
currencies for business transactions.
THE SCOPE AND CONCEPTS OF INTERNATIONAL MARKETING
Peace among Nations: As it leads to the exchange of goods, services and technology among
nations which ultimately strengthens their relationship.
Reduce Risk & Opens Opportunities: Scope of international market increase with the opening
of global markets. Opportunity to expand and manufacture increases which ultimately lead the
competition and availability of cheaper and better products (Srivastava, 2017).
Imports: International market increases the imports and market gets more variance in products.

Exports: Opportunities to export the domestic product increases and this helps in generating a
good amount of foreign currency for the country.
Contractual Agreements: As the business flourishes overseas, consumer base expands with an
increase in the volume of profits. Thus companies grow exponentially by getting into contractual
agreements.
Joint Venturing: At the time it is beneficial for companies to enter into a JV to raise the scope
of international marketing as a result of a barrier to new entrants in foreign markets.
Fully Owned Manufacturing: Relatively a higher level of engagement in the foreign soils,
companies can own a fully owned manufacturing in a country which helps companies control
quality (Srivastava, 2017).
Marketing across borders requires extra work and research prior to launching a marketing
campaign for which we can follow three simple concepts:
Make sure your offer location is specific i.e. delivery options and feasibility of shipping to that
location.
Translate your offer (and not your ad copy) into their language because it may lead to your
embarrassment by getting a native speaker to translate your marketing offers
(EGYANKOSH.AC.IN, 2019).
Consideration of different cultures: sometimes it’s not enough just to market your products, you
may need to rebrand your business completely to appeal to the locals.
THE RATIONALE FOR AN ORGANISATION TO WANT TO MARKET
INTERNATIONALLY
Increase Sales and Profits: If your business is good in the local market, expanding globally will
likely improve the overall revenue (Delaney, 2014).
Short and long term security: Vulnerability to local market and downturn also decreases thus
ensuring security to business.

Increase Innovation & learning: As your market expands, competition prevails and you learn
to deal with sophisticated customers and new marketing strategies.
Economies of Scale: Exporting the products helps to expand the economy and helps in
achieving greater scales of the economy (Delaney, 2014).
Competitive strike: Sometimes market entry can prompt by the reaction to competitive moves.
Another frequent scenario is Offence as a defence in which a company enters the home market of
a company usually in retaliation for an earlier entry into its own domestic market.
OPPORTUNITIES AND CHALLENGES THAT MARKETING
INTERNATIONALLY PRESENTS TO THE ORGANISATION
International marketing is full of challenges and excitements, there are many things which come
in the way of marketers as opportunity or threat:
Compliance- legal issues are the most challenging aspect of international marketing. We are
planning to market Bunga Bunga in New York, San Francisco, Los Angeles and Chicago these
are the best area where people love to spend on these kinds of restaurant and bar. Us has
different standards of compliance, so the company must understand the regulations of us or
perform best in these cities company needs to build their contact through CRM and
communication (Carpenter and Dunung, 2019).
Localization- it's not only about the different site or language of that location, but it also has
much more things that can affect the business of an individual in foreign:
 The social platform and nature of communities they prefer can be different in the country
to country. The target audience must be known in that chosen area.
 The criteria of payment should be understood as the different country have different
ideal payment methods for their staffs and employees, some use credit cards and
some use different mode as well as a company must understand the checkout options
for international.
 US have different holiday's criteria than the UK so it varies from country to country.
At the time of building calendar or promotional content, the season of business and
holiday must be in mind.

Culture- across the globe lifestyle and culture are different everywhere. Suppose we are
doing business in Japan the sales process and marketing is totally different from the UK. So
personas must study before going to other countries. The culture differences always
influence the business (Carpenter and Dunung, 2019).
LO2- EVALUATE ENTRY TO A SELECTION OF INTERNATIONAL
MARKETS AND DEFINE THE KEY SUCCESS FACTORS
THE KEY CRITERIA AND SELECTION PROCESS THAT THE COMPANY
SHOULD USE
Before entering the foreign market, the company should analyze the market. The company
should conduct the international marketing entry evaluation process, this includes five stages in
the process. This evaluation is done to detect all the opportunities so that company can give the
best product and services to the customer of that country. These five steps are as follows:
First step- identification of country: the world is like an oyster. A company can choose any
suitable country where they are getting desired customers and business environment. So country
identification process must be conducted, that refer to take a general view of the potential market
in that country (How to export and import.com, 2019). For example, Australia and the United
Kingdom share similar heritage and language. Cuba and China shares similar culture, religion,
ideology and political environment.
Second step- preliminary screening: at second Stage Company need to do the preliminary
screening of that nation which involves macro-economic factors such as level of domestic
consumption, exchange rates, currency stability and many more things that can influence the
business. Bunga has to calculate the cost of entering the US market. There are many countries
that are facing instability in politics that can influence the company's entry and can throw huge
risk on their business. So depth screening should be done by marketing managers by listing
potential countries (Ducati, 2015).

Third step- comprehensive screening: here the company must study the feasibility of foreign
market. To make the accurate decision through detailed information about the target market,
there should be analysis of microeconomic factors as well as local conditions of the market
which includes marketing mix like what price will be charged in that nation, how services will be
distributed, how communication will be possible with our targeted customers and so on. These
kinds of questions must have answered in this step. Analysis of threats and opportunities, tariffs
or quotas in business activities, and what values should be taken into account for nations market.
Fourth step- final selection: in this step the company needs to short-list the company on the
basis their strategic decisions and objectives with similarities of that nation. The competitor
analysis should be done before entering to calculate the firm cost in relation to competition. After
short-listing the countries marketing manager should visit those countries to see the possibilities
of the business in the market (How to export and import.com, 2019).
Fifth step- experience: it is very important to take personal experience in order to know the
business practices and culture of that nation. Thus, the marketing manager must travel to that
particular country where they are going to set up their business. This is the step where you will
find the best for your company, which can provide flexibility to your business and where the
company can hunt happily (Ducati, 2015).
VARIOUS ENTRY ROUTES OF INTERNATIONAL MARKETING AND
WHICH ONE COMPANY SHOULD ADOPT
There are various ways to enter an international market, a person should not depend on the only
strategy as international markets are wider and uncertain.

Direct Export: Selling directly into the market you have chosen with the help of agents whom
you can trust and who can handle your business like your own staff.
Licensing: A strategical arrangement where a firm transfers its right to use a product or service
to another firm (NYAKUNDI, 2016).
Franchising: It requires two caveats, first, your business model should either be very unique or
have strong brand recognition that can be utilized internationally.
Partnering: It is useful and necessary when the culture of the market, both social and business,
is different from your own market. It helps in gaining local market knowledge.
Joint Venture: It a form of partnership which creates a third independently managed company.
Risks and profits are shared as per the agreement.
Buying a Company: A most appropriate entry strategy since you get the established customer
base, market knowledge, and a status of being the local company (NYAKUNDI, 2016).
Buying a new company: many times buying a new local company in that foreign market can be
the most perfect step to get enter in that business market. Because of government regulations,
the company can enter the market. But this is the most costly entry strategy for any firm for
entry.

Piggybacking: it's a unique strategy to enter internationally in the business market. This actually
includes selling of product and services to another firm in that country who can market your
product by selling it domestically through large firm internationally.
Turnkey projects: this strategy is mostly adopted by particular companies such as engineering,
architecture, consulting and construction. In this strategy, risk got eliminated as it includes
government projects. But this strategy is not at all suitable for Bunga Bunga bar and restaurant.
Greenfield investment: these strategies are meant for international businesses. These businesses
are basically focused on purchasing land in a foreign country then operate and facilitate that area
for ongoing business. This is also a costly method to enter the foreign market which includes
high risks due to transportation cost, knowledge of technology, skilled labours and government
regulations (NYAKUNDI, 2016).
CONCLUSION
There are many businessmen and many countries so, entering in global or international market
should contain strategic decision making. The entry strategy that is been selected by the
organization can give them success or loss, it totally depends on the careful analysis. Companies
may face many problems initially but the arrangements and further attention will give the
company a fruitful result. Bunga can choose any of the strategies we have discussed above that
can unlock the hurdles in setting up business in US cities. Now a day’s competition is on another
level, this the company needs to choose the bold and creative way to enter the international
market. Government partnership, global alliances are the strategic entry nowadays. A manager
should do the comparative analysis of entry strategy to get the best option, which must include
all the costs like structure cost and changing environment cost and so on. Bunga Bunga bar and
restaurant is a love of Italian people so this business will surely work in US cities as there are
many lovers, the only thing is manager need to take the careful steps and strategic entry to
overcome all the obstacles and objections that will come in the US.
RECOMMENDATIONS
The company needs to clarify his thoughts about what he was managing locally and what he is supposed
to manage internationally. The approach to managing globally can be complementary as the US and UK

do not have much difference in taste. Bunga needs to do the same thing internationally but with few
modifications and innovation as people varies from city to city.
By understanding the local market, a company can develop a collaborative approach. The customer base
is not much different in comparison to the UK. So it makes sense to expand the business in the US as
behaviours and culture are quite similar. So the relationship with the local marketing team of the foreign
market may be the best idea. After making good relations with a local market company can build the
marketing plan and socialize that plan with them and make sure that there are no issues that can ruin your
business plan.
The manager should draw goals and matrices to balance the level of the international market. Make sure
that everything is going according to the plan and always focus on healthy competition in order to lead
the success of the business.
Most important thing while international marketing planning is to share everything with your market
team, discussion of each and every aspect with the teams really helps a lot to consolidate and insight gain.
As communication is a critical part for successful planning. As these collogues will work with you
globally so disconnection should not be there.
LO3- INVESTIGATE HOW ELEMENTS OF MARKETING PLAN CAN BE
ADOPTED OR STANDARDISED ACROSS INTERNATIONAL MARKETS
AN OVERVIEW OF THE KEY ARGUMENTS IN THE GLOBAL V LOCAL
DEBIT
Think global act local is a success mantra for global marketing. When the products or the
services are diverse or different then company or brand must go for creative campaigns planning
as it influences the market locally as well as globally. In the digital world, the company needs to
think about both the market international as well as local. We know when the local new get
highlighted it get viral globally which highlights the new everywhere in the phones and other
digital accessories (Freedman international, 2018). The plan should include both perspectives
global or local. The international strategic plan influence every aspect of the company that’s why
thinks globally and act locally.
Thus, Bunga Bunga needs to think about both globally as well as locally because their business charm is
about the unique services provided by them, these same things should be carried everywhere in global.