International Marketing Report: Global Expansion for Marshfield Bakery

This report provides a comprehensive overview of international marketing strategies, focusing on the case of Marshfield Bakery Limited. It begins with an introduction to international marketing, defining its scope and key concepts, including exports and fully owned manufacturing. The report then explores the rationale behind Marshfield Bakery's global expansion, highlighting the benefits of hiring new talent and maximizing profitability. It delves into various market entry routes, such as direct and indirect channels, and emphasizes the importance of market selection, outlining the selection procedures and key criteria. The report further examines market entry strategies, including exporting, licensing, and franchising, with their respective advantages and disadvantages. It also discusses the differences between local and international marketing and presents key arguments for the effectiveness of international marketing. The report concludes by analyzing international marketing approaches and comparing home and international orientations, providing valuable insights for businesses seeking to expand their operations globally.

International
Marketing

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1............................................................................................................................................1
P2............................................................................................................................................2
TASK 2............................................................................................................................................3
P3............................................................................................................................................3
P4............................................................................................................................................4
TASK 3............................................................................................................................................6
P5............................................................................................................................................6
P6............................................................................................................................................7
TASK 4............................................................................................................................................8
P7............................................................................................................................................8
P8............................................................................................................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
International marketing is considered as the procedures of using principles at
international level for accomplishing an individuals requirements into various parts of the world.
It represents that global marketing is concentrated on expansion of firm's local strategies of
marketing with particular relevancy provided for identification as well as targeting of market in
order to formulate decisions into global context (Alserhan, 2017). As per the scenario, the
undertaken company for this report is Marshfield Bakery Limited which manufacture biscuits,
rusks, pastry, cakes and so on. Its headquarters is in UK. This report covers international
marketing key concepts and scope, several routes to market, key criteria and selection procedures
to utilise when plan to enter into global market. Moreover, various market entry strategies with
its advantage and disadvantage, overview of key arguments into international versus local debate
are described. Apart from this, analyse many international marketing approaches, comparison
among home and international orientation are also discussed in this report.
TASK 1
P1
Marshfield Bakery Limited was developed in year 1984 through Lynne and Paul White.
Moreover, it manufacture award-winning hand made fruitcakes, seasonal goods, cakes,, breaks
and others. It is basically situated into Dyrham, Wiltshire, UK as well as distributed their
products across Europe. In addition to this, presently they are performing into Wiltshire in which
they are recognised through effective bakery items and services that it provides to clients (About
Marshfield Bakery Limited, 2019). Moreover, they are rolling out new product development
programme for creating an opportunities into new marketplace such as UAE.
Scope:
International marketing is regarded as planning, examining, implementing as well as
promoting the goods or services of firms at international level as well as accomplishing the
needs of person who are living into various parts of world. This kinds of marketing is also called
global marketing. In present world, the concept of this is large scope owning to enhancing
awareness regarding globalisation into the world of business. Some international marketing
scope is discussed below:
1

 Exports: In this, firms export the finished products to global markets or its franchises for
providing them an opportunity for selling these goods into its local market in order to
produce higher sales. The revenue which is gained through exports is used for making
imports payments, covering the cost related with profit enhancement as well as
development of goods.
 Fully owned manufacturing: A business that possesses crucial interest into international
market may developed fully owned manufacturing facilities in respective country. The
factors like trade barriers, cost differences and others motivates entities to established
unit of production aboard for gaining overall control over quality and manufacturing.
Key concepts:
There are various key concepts which are related with global marketing (Beck, Chapman
and Palmatier, 2015). Some of them are discussed below: International trade: It is hugely related with product or services flow among country.
Here the main intent is to obtain knowledge about the influences of commercial as well
as financial situations on resources transfer among balance of payment and country.
 Comparative marketing: at the time when various system of marketing are analysed
collaboratively for determining the differences as well as similarities among them is
considered as comparative marketing.
P2
At present time, firms are looking for an opportunities for business expansion at global
level as by this they may obtain various advantage like enhance profitability, sales and others. In
context of Marshfield Bakery Limited, they are performing its business operation at global level
as well as rationale behind it are discussed below:
 Hiring new talent: Through performing internally the firms can able to hire new talents
at work area that aids them to operate the business practices in effectual way (Busnaina
and Woodall, 2015). In context of Marshfield Bakery Limited, they plan to perform at
global level so it has opportunity to hire the employees from respective areas in which
they are performing. Moreover, they can also transfer its staff to another places as per the
needs.
 Maximising profitability margins: This is considered as one of the main reasons why
firms are looking forward for international opportunities. It is so by this they may obtain
2

higher profitability through increasing its range of users. In context of Marshfield Bakery
Limited, they plan to operate at global market because of which they has large base of
consumers at respective location.
Moreover, there are main reason because of which firms such as Marshfield Bakery
Limited looking forward for global opportunities. Also, there are several market routes that
drives towards developing globalisation from which few are discussed below:
 Direct route: It is comprises of that channels in which business directly contact with
individuals into global marketplace for persuading them to buy the goods which is sold
through firms (Demangeot, Broderick and Craig, 2015). Marshfield Bakery Limited
possess the ability to utilise channels like sales, representative, arranging, distributing
mail order catalogues for direct contacting with consumers, setting positive image and
retaining them for longer duration through facilitating higher quality breads.
 Indirect routes: It includes channels in which firm enters in a contract with third party as
well as hand over the accountability to influence behaviour of consumers to them
(Indirect Routes to Market, 2016). Marshfield Bakery Limited may opt channels such as
OEM partners, Channels partners and others.
So, this is recommended that Marshfield Bakery Limited have to adapt channel partners
as route to market into new places or country. As these are considered as workforce who possess
effective knowledge of advanced techniques that are prevailing into respective industry.
Therefore, they may also suggested as well as facilitated the equipments which may provide an
edge to this bakery over competitors into this sector.
TASK 2
P3
Market selection is essential procedures for Marshfield Bakery Limited as it is obligatory
for this firms to obtain success into global market are. The selection procedures steps are
discussed below: International marketing objective: The market is chosen as per the objectives which
entities is striving for expanding into international market area. It is performed for
assuring that ethical, cultural, legal as well as regional value of country are very much
profaned through the products of bakery which are served by Marshfield Bakery Limited.
3

 Parameters for selection: The several parameters that has to be considered through
Marshfield Bakery Limited at the time of entering into global market are availability of
raw materials and infrastructure, market conditions, government regulations and others. Preliminary screening: The market that does not possess potential for serving profitable
places for firm are obviated after undertaking some factors like economical structure,
customers attitudes, per capita income and others. Analysis and selection: The selected marketplaces are thereafter assessed after
performing the feasibility as well as cost benefit analysis. The effective market area is
then chosen to perform the business of Marshfield Bakery Limited and make breads,
cakes and so on of this bakery available for people into global market area. Test marketing: In this, firm sell the goods into specific geographical location segment
for gaining an insight into customers attitudes as well as response to products formulated
through Marshfield Bakery Limited.
 Commercial production: Once the outcomes of test marketing are identified as a positive
then business perform the mass production into chosen global market (Process to select
International market, 2018).
Key Criteria
The criteria for choosing global geographical market place are discussed below: Nature of competition: The market places which is chosen while considering threats of
competitors within global market area as well as the success pattern of particular sector
where company performs (Dwivedi, Kapoor and Chen, 2015).
 Infrastructure facilities: The marketplace is chosen as per the appropriate infrastructure
availability for assuring that Marshfield Bakery Limited bakery products are
manufactured may be performed in simple way.
P4
There are various ways through which a firm may obtain entry within global market place
. It is considered as the market entry strategies as well as aids a business to effectively perform
expansion of firm's practices (Eteokleous, Leonidou and Katsikeas, 2016). There may be several
market entry strategies which may be adapted through Marshfield Bakery Limited, some of
them are discussed below:
Strategy Sub Types/ Advantage Disadvantage
4

Description
Export By international agent
 In this the financial
risk is moderate.
 Entry cost is low.
 Agent can able to
overcome form the
entry complexities.
 In this there is lower
profitability upon
transactions.
 Incapable to gain
global experiences.
 Immense reliability
upon international
agent.
By international
distributor
 The requirements of
staffing is lower.
 Marketing cost is
less.
 In this the cost of
transportation is
higher.
 Herein, there is
potential trade
barriers.
Licensing In this the sale of
rights is protected
through intellectual
property that is to be
utilised for
commercial intent into
international
marketplace.
 In this also, the cost
of entry is less.
 Also, the risk of
finance is low.
 Disloyalty threats of
licensee.
 The income is
relatively lower.
 Into international
market, there is lack
of control upon
quality maintenance.
Franchising In this, there is sale of
rights through
domestic franchisors
for performing
commercial practices
by global franchisee.
 Here is the chances
of rapid
international
expansion.
 Entry cost is lower.
 In this, there is
needs to control the
cost.
 Sharing
profitability among
domestic and
international
5

franchisor.
Recommendation:
As it is analysed that international marketing provides many opportunities as well as
challenges to firms that have to be undertaken through marketing consultant. Moreover, this is
also seen that there are several routes which is available to entities upon global level like direct
and indirect (Griffith and Zhao, 2015). In addition to this, it is recommended that organisation
have to adapt the licensing marketing entry strategy as it have less entry cost as well as financial
risk is not so much high with their implications.
TASK 3
P5
The difference among local and international marketing are discussed below:
BASIS LOCAL MARKETING GLOBAL MARKETING
Scale of
operations
In this, the promotion, distribution
and sales of goods can be performed
at local level.
In this, business operations are
undertaken at international level.
Financial
resources
This do not needs more finance as
firm performs into local marketplace.
This needs large investment as they
deals into several countries as well as
marketplace.
Example Marshfield Bakery Limited is
performing into local market and
comply strategies like social media
and others for attracting huge
population.
The example of international
marketing is Airbnb that introduce a
social media campaign known as
Onelessstranger which aids firm to
extend above 1.5 million customers to
book accommodations in all over the
world.
Key arguments
6

This is usually believed that international marketing is effective for firm as this facilitates
an opportunities to business for enhancing the base of clients through providing the individuals
requirements located into global marketplace as well as rendering higher quality products for
retaining them for longer duration (Hult and et. al., 2018). Moreover, the effective infrastructural
as well as communication quality facilities required to facilitates benefits to company in context
of enhancing market share and accordingly obtain profitability. In this respect, the local
marketing lags behind the international market as it leads towards shortage of resources,
infrastructure and needed technology for performing manufacturing in such a way that they may
provide competitive edge to organisation over foreign competitors. Also, local marketing is also
not so much preferred as this grab the attention of huge individuals is not available to business
into local country.
Moreover, few person also believe that local marketing have an edge over international
marketing as the developer is not so much tough as well as firm are familiar with the particular
domestic country market condition. Also, monetary resource needed to set up the firm name and
position into home nation is very much simple than moving in international one. Therefore, the
sustainability possibility is huge when company is engaged into local market. In this respect,
international marketing is analysed as less effectual as consumers relation into global market is
hard to maintained. It owes towards presence of huge rivals who are seeking for an opportunity
for soliciting entity's consumers as well as reduced its market share and goodwill accordingly.
P6
The marketing approach such as product, price, promotion and distribution are hugely
impacted when firm is moving from domestic to global marketplace. Each and every country is
different in respect of language, culture, tastes and others (Kotler and et. al., 2015). In this
context, while expanding business into UAE and another foreign marketplaces, the marketing
potential of Marshfield Bakery Limited is distinguish from domestic country that is United
Kingdom.
Element Domestic market(UK) International Market(UAE)
Product The company facilitates fresh
breads, cakes, pastry and others for
accomplishing the requirements of
The Marshfield Bakery Limited
products may be adopted according
to customers languages, tastes,
7

individuals. preferences and so on of new market
area.
Price In this, bakery products pricing of
firm was higher as it has developed
some loyal consumer base.
Marshfield Bakery Limited may use
penetration pricing for attracting the
customers attention into global
market.
Promotion Presently, promotions being
performed with the assistance foo
special media sites like Twitters,
Facebook and many more.
Into global marketplace, firm may
utilised strategies like marketing
campaigns, social media and others
for influencing customers to buy
goods.
Distribution In this, Marshfield Bakery Limited
is facilitating online delivery as
individuals show interests within
company's products over websites.
Into global market, respective bakery
utilise methods like retailers, channel
partners and others.
TASK 4
P7
As there are several international marketing approach so Marshfield Bakery Limited have
many options to adopt the effective one. Some of them are discussed below:
 Global: It is considered as international marketing approach that possess outlet to expand
into various countries but they comply a uniform organisational culture with regular set
of procedures which aids to facilitates an efficacious international firm (Kotler and et. al.,
2018). Such as Starbuck and so on.
 Transactional: These are firms that are complex in nature as well as perform substantial
facilities at the time of performing business into various countries. They does not
particularly preferences to any specific country as its national home. Such as Nestle.
 Multinational: This is considered as the international marketing approach where firm
have facilities or shops within several countries so each places functions as well as
8

performs into their own way (Morschett, Schramm-Klein and Zentes, 2015). Such as
McDonald's.
Among the above explained various international marketing approaches Marshfield
Bakery Limited should adapted global approaches for expanding their business into global
market. As this possess them to expand into various countries with uniform organisational
culture with regular set of procedures.
P8
Home orientation is considered as an approach in which firm workforce focused to
observed only the similarities between marketplaces as well as usually perceives that goods or
services that are effective into domestic country will also be successful into another marketplace. Implication: It possess to establish effective coordination among global as well as
domestic country for Marshfield Bakery Limited.
 Ways to assess rivals: It anticipates that competitors power is not so much effectual that
they may occurs damage to its image as well as share of entities. Moreover, this
orientation intent to possess confidence into goods or services facilitated through
organisation and therefore considered that competitors threats to be lower.
International orientation: This is considered as an approach that depend on the basic
conceptions that the differences as well as similarities exits between several market which is
expand in all over the world. This differences and similarities may be understandable for
deciding a strategy which may perform in respect of whole global markets. Implication: This kind of orientation focused to facilitates Marshfield Bakery Limited a
competitive edge over their competitors in order to assure their sustainability within
market area.
 Ways to assess competitors: It is an approach that usually assumes that rival threats in
higher as well as it possess the ability to ruined firm's position as well as goodwill within
international market area (Wu, 2016).
Recommendation:
Therefore, from the above, it is recommended that Marshfield Bakery Limited have to
adapt the penetration pricing for grabbing the attention of various customers into UAE as well as
may able to retain them for longer period in future. In addition to this, it is also suggested that
respective organisation have to undertake the marketing campaigns. In respect of product, they
9

have to concentrate on product line expansion by considering the heath conscious nature
respective country people. Marshfield Bakery Limited should adapted global approaches for
expanding their business into global market.
CONCLUSION
As per the above report, it has been concluded that there are huge scope as well as key
concepts of international marketing such as Exports, Fully owned manufacturing and others.
Global marketing provides many opportunities as well as challenges to firms that have to be
undertaken through marketing consultant. Moreover, this is also seen that there are several routes
which is available to entities upon global level like direct and indirect. Moreover, there are
several marketing entry strategies which mat be adapted through entities are licensing, franchisee
an d others. In addition to this, it is also comprehended that there are many international
marketing approaches like transactional, multinational and others that may be helpful to enhance
consumer base as well as enhance present profitability and revenues.
10

REFERENCES
Books and journal
Alserhan, B. A., 2017. The principles of Islamic marketing. Routledge.
Beck, J. T., Chapman, K. and Palmatier, R. W., 2015. Understanding relationship marketing and
loyalty program effectiveness in global markets. Journal of International
Marketing. 23(3). pp.1-21.
Busnaina, I. and Woodall, T., 2015. Doing business in Libya: Assessing the nature and
effectiveness of international marketing programs in an evolving
economy. International Business Review. 24(5). pp.781-797.
Demangeot, C., Broderick, A. J. and Craig, C. S., 2015. Multicultural marketplaces: New
territory for international marketing and consumer research. International Marketing
Review. 32(2). pp.118-140.
Dwivedi, Y. K., Kapoor, K. K. and Chen, H., 2015. Social media marketing and advertising. The
Marketing Review. 15(3). pp.289-309.
Eteokleous, P. P., Leonidou, L. C. and Katsikeas, C. S., 2016. Corporate social responsibility in
international marketing: review, assessment, and future research. International
Marketing Review. 33(4). pp.580-624.
Griffith, D. A. and Zhao, Y., 2015. Contract specificity, contract violation, and relationship
performance in international buyer–supplier relationships. Journal of International
Marketing. 23(3). pp.22-40.
Hult, G. T. M. and et. al., 2018. Addressing endogeneity in international marketing applications
of partial least squares structural equation modeling. Journal of International
Marketing. 26(3). pp.1-21.
Kotler, P. and et. al., 2015. Marketing. Pearson Higher Education AU.
Kotler, P. and et. al., 2018. Marketing management: an Asian perspective. Pearson.
Morschett, D., Schramm-Klein, H. and Zentes, J., 2015. Strategic international management (pp.
978-3658078836). Springer.
Wu, C. W., 2016. The international marketing strategy modeling of leisure farm. Journal of
Business Research. 69(4). pp.1345-1350.
Online
Indirect Routes to Market. 2016. [Online]. Available Through:<https://medium.com/the-
mission/indirect-routes-to-market-34cf4547928b>.
Process to select International market. 2018. [Online]. Available Through:
<https://howtoexportimport.com/Process-to-select-International-market-4576.aspx>.
About Marshfield Bakery Limited. 2019. Available Through:
<https://rspo.org/members/3853/Marshfield-Bakery-Limited>
11