International Marketing Report: Global vs. Local Marketing Strategies

This report provides a comprehensive analysis of international marketing principles, with a specific focus on Coca-Cola. It explores the core concepts of global versus local marketing strategies, examining the arguments for both approaches. The report delves into the marketing mix (product, place, price, and promotion) and demonstrates how these elements are applied by Coca-Cola in various international contexts. It also discusses different international marketing approaches used by the company, including an evaluation of marketing strategies and competitor analysis. Furthermore, the report presents recommendations on how organizations can structure themselves to maximize international opportunities, including an analysis of Porter's Five Forces within the context of Coca-Cola's international operations. The report concludes with an executive summary, recommendations, and references.

International Marketing

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................1
INTRODUCTION...........................................................................................................................2
MAIN BODY...................................................................................................................................2
P5 Key arguments on global vs local marketing.........................................................................2
P6 Demonstrate how product, place price or promotion are used by the different organization 3
M3 Context and circumstances in which an
organisation should adopt a global or local approach.................................................................5
M4 Determine and articulate in detail how to adapt the
marketing mix of a selected organisation...................................................................................5
D2 Produce critical evaluation of how the marketing mix
is applied to a range of international contexts............................................................................5
P7 Different international marketing approaches used by the company.....................................6
M5 Evaluate various marketing approaches and
competitor analysis in relation to an organisation......................................................................7
D3 Recommendations on how organisations should
be structured to maximise the opportunity..................................................................................7
CONCLUSION ...............................................................................................................................9
RECOMMENDATIONS...............................................................................................................10
REFERENCES..............................................................................................................................11

EXECUTIVE SUMMARY
This report is clearly based on concept related to the international marketing and
approaches related to it. This report has covered concept of marketing mix of selected
organisation “Coca-Cola” and puts out discussion on basis of marketing concept. Report has
covered concept of local vs global marketing, demonstration of price, place, promotion &
product which is used by firm. Report has covered international marketing approaches and
makes recommendation in context of the same.

INTRODUCTION
International marketing is a practice of applying various marketing principle in the
business to satisfy their customer's needs, desire, wants etc. across the nation. It includes the
various marketing activities which applied on more then one country is called global marketing.
With the help of international marketing, organization can expand their business and they have to
face challenges such as competition, legal restriction, government control etc. (Koh, 2015). In
the international business environment, there are various internal as well as external factors
which affect the productivity as well as profitability of the business. Cola cola is selected
company for the better understanding of this concept. It was established in 1886 in the United
Sates by John Smith Pemberton. This report include the various topics such as argument on
global vs local marketing and use of marketing mix strategy by different organization. In
addition, it includes the different international approaches and orientation.
MAIN BODY
P5 Key arguments on global vs local marketing
Debate was conducted on the topic of global vs local marketing, it includes the
innovative ideas, responsibility to server their products & services in the local or foreign market.
Debate was conducted by the Lynn academic web coordinator and professors. According to
Rosenberg 2019, getting chance to go abroad will come with various challenges which have to
face. In favour of the global marketing, people argue that international business have huge
impact because it will provide the unique or different experience for the improvement in their
business (Martínez, 2015). On the other hand, local side people argue that serve in their
community is our responsibility before entering in the global market. There are various points
where individual argue on global vs local marketing plan and it is discussed below:
Organization have to pursue right stakeholders and panel agreed that, it is important to be
with right people from the beginning and listen their opinion and suggestions which helps in
building effective strategy for the growth. If organization wanted to expand their business across
the boundaries then they have to consider various things because there is no single method to
done this. Business have to encounter the discussion that they are going to target local or global
marketing. Local marketing refers to marketing in the boarder and the other hand global
marketing have to expand their reach outside the boundaries.

Global marketing serve the large area where they target the big market along with huge
number of customer. On the other hand, local marketing serve their products & services in the
small area (Gnizy, 2016). For example: Cola cola company sell their products in the global
market. It is also argue that, government interference is low in comparison to the global market.
Because, organization deal in the international market where they have to follow various rules &
regulation which is mandatory to follow. Local or domestic market have to follow only internal
legislation which is lower than the global marketing rules.
In the domestic or local market, business operate in a single country with the limited use
of technology and risk factor is also very low. On the other hand, in the global marketing
operational activities will be done in the more than one country, where they company use the
latest technology and change it as per the acquirement. Along with this, it includes the high risk
because expansion in the global marketing required huge capital investment, innovative ideas
and expertise in the international marketing.
According to expertise, customer in both cases are same it is totally depend upon the
company where they are going to target it (Brouthers and et. al., 2015). To expand their business
in the local or global market, organization have to done market research where they identify the
customer needs, desire, preferences and current market trends which helps in developing strategy
in order to produce goods for the domestic or international customers. For the global marketing,
business has to done deep research because they do not have enough knowledge other countries
culture, value, attitude and buying behaviour. For example: before entering in the global market,
research & development department of Cola cola company done intense research to analyse the
other countries market condition and requirement of consumers.
P6 Demonstrate how product, place price or promotion are used by the different organization
Marketing strategy will be used by the organization to enhance their performance in the
market and make then able to get high market share. With the help of marketing mix, business
improve their products & services to satisfy customers. It includes four P's and it is discussed
below:

Product: It is refer to the physical product or services which offer to the customer to
satisfy their requirements or needs. Organization sell their products in the market after analysing
the demand. For example: P&G company introduce Ariel laundry detergent for Middle Eastern
countries such as Egypt (Dwivedi and et. al., 2015). Company introduce this product after
analysing the market where it has huge demand and requirement as well. Along with this, Nestle
offer new range of chocolate bar and the reason behind to take break from the exams pressure
which is based on the story of Japanese student. Company introduce the chocolate bar who's
name is Kit Kat which is very popular in the market.
Place: Distribution of product & services also very important because if demanded
product not delivered to the right place than all the efforts will be failed. Organization have to
done effective positioning so potential customers can reach easily. For example: Avon company
focus on direct selling model where they sell their products in the Taiwan & China. Avon also
experimenting other models where they use the internet selling as well as home shopping TV
channel. Walmart is retailer company entered in the Germany market to sell their products but
they face the huge loss and after some time company sell their 85 stores to its German rival firm
in the 2006. Walmart has to bear heavy loss or due to in effective positioning of their products.
Price: Under this strategy, management analyse the willingness of customer to pay for
the specific product or services. It is very important aspect of the marketing mix which help the
business to set their product price which meet with the customer as well as organizational
objectives. Pricing also set as per the psychology of the customer for example in the Chinese
culture, product price mostly set with 8 instead of 9.82. Because number 8 is related with
prosperity and good luck (Sun and et. al., 2016). In the China digit 8 pronounce as “ba” which is
similar to “fa” and it means get rich. Another example of Pfizer which is multinational
pharmaceutical company, it perform in the emerging markets where they charge high price for
the various product categories. Cola cola also one of the known multinational company which
offer their product by using penetration pricing strategy. This strategy majorly focus on
increasing customer base through offering low price of product.
Promotion: This step required to improve or enhance their product demand among the
market. Promotion includes the various activities such as sales, public relation, advertisement,
sales promotion etc. Here, organization communicate with the customers in the digital or non
digital form or it can be paid or non paid activity. For example: Parle-G company, it is an Indian

brand which successfully positioned in the Arabic countries with the help of effective strategy.
With the help of affordable price, good quality, taste and advertisement make this strategy
successful to complete their business goals & objectives.
For the successful expansion of their business, organization have to follow above
mention strategy to accomplished their goals & objectives (Katsikeas and et. al., 2016). In order
to increase productivity or profitability, management have to take strategic decision for the
sustainable outcomes.
M3 Context and circumstances in which an organisation should adopt a global or local approach
There are different context such as business expansion, expanding product line in similar
segment etc., are some of the situation, in which discussion on local vs global approach is vital to
play its role. This is recommendable for Coca-cola to utilises local approach which is focused to
sell and serve our own local communities even before entering into the global market. Its long
term implication is serve and also not in favour of global marketing context.
M4 Determine and articulate in detail how to adapt the marketing mix of a selected organisation
Marketing mix of the coca-cola is the price, product, places and promotion with support,
business can gather competitive position in the market at a higher zone. There are different
international market such as joint ventures, franchising, exporting etc., with help of which Coca-
cola is assisted to acquire more and more customer's at a single point of time (Richter and et. al.,
2016). Understanding of a marketing mix such as product such as soft drink have suitability to
reach to customer's into the lesser period. This is convenient, when utilising franchising and joint
ventures. Price as another P's of the marketing mix deals to exporting of good or services from
one place to another, when there is no local set-up for production process.
D2 Produce critical evaluation of how the marketing mix is applied to a range of international
contexts
Coca-Cola marketing mix is mainly comprises of a product, price, places or promotion
and which also varies from Pepsi-Co as its major competitor's. This can be applied when
business is doing international marketing and also promoting its product on a basis of product
such as its own taste, promotion using TV and internet media. In context of international context,
marketing mix is highly comprises of product development, price composition, promotion using
TV and internet media.

P7 Different international marketing approaches used by the company
In this assessment, concept of international porter five force is need to be taken care and
being led into the discussion on the basis how coca-cola operates in one particular environment.
As, this leading soft drink beverage firm is mainly operates on an international level and have
several factor effects it such as influence of buyer, supplier and rise of competition. In context o
the Coca-Cola, discussion of the porter five forces are as follow:
Bargaining power of buyers: On the global platform, bargaining power of the buyers are
low, as this because of individual customer buys less quantity of drinks beverages of coca-cola
and they not consumes it on daily basis. Coca cola is having most of the loyal customer's and
they are much prefers drinking beverages such as Coca-cola on prominent basis. Because of such
kind of loyalty, bargaining power of buyers is low.
Bargaining power of supplier: The bargaining power of the supplier is low. This is why,
because of number of suppliers are high and also switching cost of the coca-cola is weak. Thus,
coca-cola easily can be switch from one supplier to another. In addition, this would lead to the
loss of suppliers. Hence, there is non substitutes of sugar or any material required to make syrup.
Hence, bargaining power of supplier is probably higher.
Threat of competition: In the soft drink market there are two player namely such as Pepsi
and Coca-cola and competition among among them is mainly severe and not being appropriate as
per the industry standards. Plus, in soft drink industry, some small player are also their and in
point of view, they are much not capable to competitor with the coca-cola. Risk of this factor is
moderate.
Rivalry of new entrants: On the global level, some local brand has comes up with are
still quite less, but giving cut throat competition to Pepsi-Co and Coca-Cola. In matter of taste,
Coca-Cola is still on top of the town and being to be get beaten. Thus, threats of new entrant is
quite low.
Threats of substitutes: Main substitutes of the Coca-Cola product is energy drink of
Pepsi-C, fruit juice and other hot drink to being offers to the customer. In this context, switching
cost is low for the customer's. But, coca-cola must be focused on maintaining their taste on
continual basis.

P8 Compare home and international orientation and ways to assess competitors outlining the
implications of each approach
International orientation is the process explained which involves producing different
items in order to satisfy customer's of different countries. In context, home orientation is selling
into the domestic market. While selling in both of the market, competitor analysis is need to be
undertaken, in which focus is being on attaining strategic into the market. In international
orientation, accessing to competitor is necessary so as to find location & strategies of customer's
and how it would act as suitable for Coca-Cola to attain major market status. Concise market
research is required in this context.
M5 Evaluate various marketing approaches and competitor analysis in relation to an organisation
International marketing is a bigger platform with use of which firm operates on a global
basis and promotes its product effectively (Baker and Saren, 2016). With use of the centralised
approach, structuring of a marketing department is quite enough and working towards exposure
of the marketing on the international context. Pepsi-Co uses this approach to do global
marketing, where Coca-Cola uses decentralised approach, when business entity have its own
sales operating units and also relies on sales units or offices. As, Pepsi-Co is the bigger
competitor of the Coca-Cola along with rising in brand loyalty. Using centralised approach,
Pepsi-Co is successful to acquires market along with selling beverages or snacks.
D3 Recommendations on how organisations should be structured to maximise the opportunity
After the complete analysis of international marketing approach, this is recommendable
for Coca-Cola to identify their future market such as launching new product, understanding of a
price market as well as understanding needs of future development of more soft drink based
product doing detailed market research about the new customer's (Martin and et. al., 2016).
Coca-Cola must decides its potential market such as local, global or sub-continental using this,
they can identifies their potential market to sell more defined soft drinks.

CONCLUSION
From discussed report, it is concluded international marketing is one of the necessary
concept which is focused onto provide support in form of the international promotion. Market is
big and also have wide range of competitor in which focus is on developing international identity
of a product on the international level or stage of the working. Local awareness is necessary in
case of selling world-wide product at a potential side of business. Thus, marketing mix is clearly
focused on making regulation along with making right decision making in a way to creates
unique of a product at a defined stage or level of business development.

RECOMMENDATIONS
From an above report based discussion, its a clear and concise recommendation that
Coca-Cola must be focus on its marketing mix such as price, product, places or promotion etc.,
with the help of which brand can build its unique image into market structure along with rising
suitability for future level product offering as well as ensures growth for future based business
sustainability. Hence, it is also recommendable for this firm to takes care of long term business
productivity as well as ensures higher business outcomes.

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