International Marketing Report: Ma Bakers' Expansion Strategies

This report provides a comprehensive analysis of international marketing principles, focusing on the case of Ma Bakers, a bakery based in London. It begins with an introduction to international marketing concepts, differentiating between local and global marketing strategies, and discussing the rationale behind a company's willingness to expand internationally. The report delves into the key criteria and selection processes for entering international markets, exploring various market entry strategies. It then examines the critical arguments in the context of local versus global marketing, along with a review of product, pricing, promotion, and distribution approaches. Furthermore, the report discusses international marketing approaches and assesses home versus international orientation, including methods for competitor analysis. The report concludes with a summary of the key findings and recommendations for Ma Bakers' international expansion.

International
Marketing
1

Table of Contents
Introduction......................................................................................................................................3
TASK 1............................................................................................................................................3
P1. Scope and key concepts of international marketing.........................................................3
P2. Rationale for willingness to market internationally.........................................................6
TASK 2............................................................................................................................................9
P3. Key criteria and selection process while entering international market...........................9
P4. Market entry strategies...................................................................................................10
TASK 3..........................................................................................................................................13
P5. Key arguments in context to local v/s global marketing................................................13
P6. Examine product, pricing, promotion as well as physical distribution approaches.......14
TASK 4..........................................................................................................................................15
P7 International marketing approaches................................................................................15
P8. Home v/s international orientation with different ways for assessment of competitors 16
CONCLUSION..............................................................................................................................18
Reference.......................................................................................................................................19
2

Introduction
International marketing is regarded as the different marketing principle that are mainly used by
organisations for the purpose of expanding their operations across borders. Marketing plays a
very crucial role in the present market scenario for attracting large number of customers and
expansion of business national marketplaces. Present report is based on that is Ma bakers that is
bakery having presence in the middle of Fulham in the city of London (Maqsood, & et. Al.,
2020). The present report is about the different scope and concepts of international marketing
along with the between International and local marketing. Further there is discussion of the
selection process that has to be considered while entering in international market and
development of certain marketing strategies. There is requirement to understand key arguments
product pricing promotion strategies. Nursery where is turn off the orientation along with
different ways for assessment of competitors.
TASK 1
P1. Scope and key concepts of international marketing
Overview of the organisation:
Ma bakers is a small Bakery that is having presence in London this brand is offering fresh
and different types of breads that are homemade and based on stone ground floor. They are
operating in London and are delivering excellent product to their customers. Is also involved in
providing online facilities about the processing of their breath and is one of the leading classes
that have been taken by many people across London (Marinov, ed., 2017).
Scope and concept of international marketing:
According to the views of Armstrong and et. al. (2015), said that international marketing refers
to the process of implementation and understanding the overall marketing capability of a
organisation and then for the orientation of a particular organisation at a global scale.
3

According to the views of Czinkota and Ronkainen (2013), , international marketing can be
referred to concept that relates to different types of procedures and practices that are taking Place
Beyond the domestic boundaries of a country and r to exchange and communication offering that
are very important and are related to organisation both internally and externally (Ramon-Muñoz,
2020).
Scope:
International marketing can be term as a business organisation that is performance of various
activities related with the inflow and outflow of goods and services of a particular organisation
across different countries (Silva, Stylesand Lages, 2017). The major reason behind international
marketing is to enhance the profitability and brand image having presence in different parts of
the world and not just limited to the domestic country. The scope of international marketing is
mentioned below:
1) Imports:
Import is a process that is one of the most prominent ways that is used for carrying the
international marketing process where organisations are bringing products from different
countries and selling them to potential buyers across their domestic locations. The main use of
imports in such organisations is for the purpose of enhancing overall product portfolio.
2) Export:
Exports are related with building products in finished or raw material form of the world
with the help of franchise or different type of legal agreements there can be trade relation form
with other countries there is supply of demand according to the requirements in such other
country. The revenue earned by exports is used for the purpose of making for the payments and
covering of cost that have taken place in the course of developing products (Thussu, 2018).
3) Contractual agreements:
It is helpful for organisation in facilitation of the expansion with the help of different
types of contractual agreement that are legalized and take place with Associates that are present
4

in other countries. International marketing helps in assisting to overwrite quantum of sales and
present base of customers (Usunierand Shaner, 2017). It is also helpful in enhancement of the
market share profitability and revenue structure of organisation help in expansion of their
business activities.
4) Fully owned manufacturing:
Any organisation that is having interest in different foreign markets is able to develop
their own manufacturing units in such countries., there are several factors that encourage
companies for establishment of the production unit across porter's and it consists of government
policies barriers and different cost differences that are related concept with is fully owned
manufacturing.
Key concepts:
There are certain key concepts that are related with international marketing and are
provided below:
Domestic marketing:
Domestic is type of marketing that is targeting different individual that belong to the
domestic market. Domestic enterprise is basically entity that is operating in their domestic
boundaries of the host country and they have no further intentions to expand themselves across
borders.
Comparative marketing:
It can be defined as marketing techniques and strategies that have to be understood in
order to determine the overall level of similarity or difference that is the reason why this type of
strategy is regarded as a comparative marketing because in this particular strategy there is
comparison made.
International trade:
It can be considered as one of the major activities that is related with the overall flow of
goods and services across different countries. The major objective is to understand the insights
5

related with different commercial and monetary conditions related with transferring of resources
and maintaining the overall Balance of payments.
Differences among the international and local marketing:
Local marketing is a concept that is related with carrying on marketing activities in the
geographical boundaries of a particular country mother and international marketing is related
with implementation of activities across borders and outside the domestic boundaries. In case of
local marketing organisations are having focus on gaining insights that are related with domestic
values where as in case of international marketing there is difficulty in understanding the value
and nature of customers who posses completely a different background.
P2. Rationale for willingness to market internationally
Rationale for organisation:
Ma baker is a small local Bakery that is having presence and London and is dealing in
different homemade Bakery products like homemade breads are speciality of this brand. it is
having high brand image because of the quality products and this has like this brand to build a
loyal base of customers. But presently they are having presence in London only and now they are
willing to expand your business in different international market for this they are willing to
establish themselves in a more attractive manner and understanding the requirements to flourish
in international markets.
With the help of understanding opportunities prevailing in international markets it is very
important for the organisation to understand different types of risk that are linked with the sales
in the home country but are present in international market. This enterprise is willing to make
their products and services for local customer that can help in placing turn because of larger
customers who will be new in such International markets may not trusted brand because of the
slightly higher prices they offer because of the part of the differentiation feature of this brand.
Marketing across International markets is help in understanding the insights of this plant by their
customers but at same time there is requirement to ensure long run stability only then it will help
them in maintaining their return on investment in increasing the Earning per share.
For MA Bakers it is also significant to enter in such international market and work towards
6

implementation of marketing activities across floor so that they are able to strengthen the overall
market position.
Opportunities and different types of challenges associated with concept of international
marketing:
Opportunities:
1) high profitability:
International marketing will help an Abacus in having opportunity to enhance their overall
revenue and more return on investment. International marketing will also help in providing
opportunities by approaching a completely different segment of customer and increasing the
overall competence of the available resources with their optimum utilisation.
2) Marketing strategies:
With the help of international marketing and Abacus will be able to apply some of the
cost effective strategy so that they are able to develop knowledge related to the target segment of
customer. Knowledge will be very helpful in enhancement of their performance of sales and
profitability in all the international markets.
Challenge:
There are several challenges that are marketing Internationally:
1) There a possibility that Ma bakers because my face some of the issues that are related with
different meaning of colours are completely different in each country. So it is very important for
MI Bakers that expenditures to international market before that they must clearly understand
what implied meaning of different colours conveys.
(Source: Different Meanings of Colours and Numbers in countries, 2019)
7
Illustration 1: Different Meanings of Colours and Numbers in countries

2) Also people with eating habits so it becomes very important for Ma bakers that they must
conduct a detailed research before entering a particular country so that they can analyse and form
strategy based on results that have been obtained from the research. It is also very important in
understanding the behaviour patterns of place of customers who are part of different countries.
Different routes for marketing internationally:
There are several rules that can be used by ma Bakers as discussed below:
1) Direct Route:
It is the type of route in which marketing executive and representatives come in contact
of the customer base for influencing them directly to make purchases. This is also related with
making communication for mail orders, website deliveries or sales representative.
2) Indirect routes:
In this method different marketing representative are having preferences for interaction
with their customer and development of a detailed understanding of different third-party
mediators. Concept of system integrators channel partners or Alliance partner are some common
indirect routes of international marketing that helps in providing opportunities to Ma Bakers for
persuade their customers.
About discuss are some of the routes that can be used by ma bakers purpose of enhancing their
presence in international borders. It is also helpful in influencing the interest of maximum
customer and increasing the overall profitability for this organisation.
8

TASK 2
P3. Key criteria and selection process while entering international market
Criteria and the overall selection process in emerging International markets:
Market selection is very important for Ma Bakers in assisting the organisation to attain
success and growth in international market. The overall process of selection is mentioned below:
International marketing objective:
In this the overall location has to be finalized by the organisation it is important to consider the
different religious values economical values and ethical values before entering a particular
country.
Selection parameters:
There are different types of parameters that can be considered by ma bakers. Such as the
organisation must availability of different competitor's market scenario requirement of customers
and all the government regulations.
Preliminary screening:
Important step for marketers have to understand the creative location different associated factors
such as consumer behaviour and the overall per capita income.
Selection and analysis:
All the above discuss steps have been completed there is a detailed analysis and cost benefit
study feasibility aspects must be made. The best market has to be selected for expansion by ma
bakers.
Test marketing:
In this organisation is selling goods in particular geographical locations to understand the
knowledge and overall behavioural aspects of consumers.
Commercial production:
9

Overall results of test marketing a positive then organisation will implement the mass
production activities for the targeted international market.
Key criteria’s: There are certain criteria that have to be considered:
1). Competition:
The target market will already possessed some of the brands that are dealing in similar product
so all such threats must be identified beforehand (Juršeand Jager, 2017).
2) Infrastructure facilities:
This is one of the most important aspects that have to be considered marketing related
with the Infrastructure facilities for Ma bakers.
3) Laws & Regulations:
Ma bakers have to comply with all the legislations and international market requirements
so that they are able to smoothly carry out all the operations and functions.
From the above discuss factors are some of the key criteria that must be considered by ma
Bakers in order to expand their business in Dubai.
P4. Market entry strategies
Strategy Sub Types/
Description
Advantage Disadvantage
Export By different foreign
agents
 Low Entry cost
 Low financial risk
 Easier to deal with
various issues
 Low profitability.
 High dependency
on foreign agent
 Difficulty in getting
exposure to
international
10

experience
By various foreign
distributor
 Lower cost of
marketing
 Lower requirements
on behalf of
employees
 Higher
transportation cost
 Higher Trade
barriers
Licensing Rights related to sales
are backed by
different Intellectual
property rights that
can be used
commercially.
 Lower cost of entry
 Low financial risk
 Get knowledge
related with overall
Licensing local
conditions
 Lower control over
maintaining of
quality
 Lower income
 Fear related to
getting license
Franchising Overall right of sale is
provided to domestic
franchisor for
implementation of
various activities by
franchisee
 Probability of
higher expansion
 Lower entry cost
 Higher control cost
 Higher Profit
sharing between
domestic franchisor
& the international
franchisee
 There are chances of
franchisee
disloyalty.
Application of the market evaluation criteria and different entry strategies:
Implementation of the selection process and identification of evaluation criteria the
selected country is Dubai where ma Bakers is willing to expand themselves (HartsfieldJohansen
and Knight, 2017). The overall infrastructure facilities in Dubai are very high that is helping in
easy availability of different raw materials in carrying on the operations in appropriate manner.
11

UAE is ranking at 66 positions in the Bakery industry and there is probability of high success in
the coming period of time as there is a increasing graph from the year 2010 to 2014. Ma baker
had the opportunity to target the people who are more health conscious and this will help in
enhancing overall sales.
Illustration 2: Retail Volume in Tonne - Bakery Products Subsectors in UAE
(Source: Retail Volume in Tonne - Bakery Products Subsectors in UAE, 2019)
From the above discussion it can be said that ma Baker can use the licensing method for the
purpose of market entry and it will help in sustainability of this brand for a longer duration of
time.
Conclusions and recommendations for organisation to enter in international market:
From the discussed findings it can be said that international marketing is one of the most feasible
method that can be used by organisation for the purpose of Business expansion (Feyaerts, Van
den Broeckand Maertens, 2020).
It can be said that marketing across International borders helps in developing reference
number of opportunities and also challenges that have to be considered by the marketing
department of every organisation. For the purpose of entering International Markets and it have
direct and indirect routes. It has been suggested that organisation must adopt licensing method as
it consists of low risk and is also financially very effective benefits of cost associated with it.
12