International Marketing Plan: Bonmarche Case Study

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INTERNATIONAL MARKETING
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Table of Contents
Introduction......................................................................................................................................4
LO1: Demonstrating the ways marketing can contribute to international business strategies........5
Analyzing the scope and concept of international marketing (P1)..............................................5
Rationale for international marketing with suitable routes (P2)..................................................5
Opportunities and challenges in regards to international marketing (M1)..................................6
LO2: Evaluation of the entry in selection of international markets and key success factors..........8
The criteria and selection process to be used while entering international market (P3)..............8
With suitable examples, explain different market entry strategies with advantages and
disadvantages (P4).....................................................................................................................11
Provide suitable recommendation for market entry strategies (M2)..........................................12
Critical evaluation of international market providing ways how the chosen organization adapts
their marketing strategies (D1)..................................................................................................12
LO3: Elements of the marketing plan can be summarized across the international markets........13
Overview of prime arguments at global and local level (P5)....................................................13
Investigate how 4Ps of marketing differs in international context (P6)....................................13
Highlight the circumstances in which the chosen organization can adopt global or local
approach (M3)............................................................................................................................14
Analyse the ways of adopting marketing mix for chosen organization (M4)............................15
Critical evaluation of the marketing mix applied in international context (D2)........................15
LO4: Understand to organize and evaluate international marketing efforts..................................16
Analysis of international marketing approach in chosen organization (P7)..............................16
Compare the local and international market to analyze the level of competition (P8)..............16
Marketing approaches and recommendations for operating in international context (M5).......17
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Recommendation for structuring the chosen organization for maximum profits (D3)..............17
Conclusion.....................................................................................................................................18
Reference list.................................................................................................................................19
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Introduction
The aspect of international marketing gained prime importance in the recent era. As per the study
conducted by Chan et al. (2017), international marketing is the application of the principles of
marketing in order to satisfy the varied needs of the consumers residing in different geographical
location, even beyond the national boundary. Thus, the current works aim on understanding the
scope and rationale for executing international marketing with special reference to Bonmarche.
The chosen business is dedicated to inspiring women to feel good and beautiful irrespective of
their age and size. The chosen organization boasts of being one of the largest retailers in the UK
for women wear and owns more than 300 stores in the UK. However, there remains no presence
of the chosen business organization over the international platform (bonmarche.co.uk, 2019).
Thus, the current work aims to provide justified rationale for suggesting the right strategy of
international marketing. Finally, the assignment makes use of suitable marketing structures for
assessing the advantages and disadvantages of the chosen marketing strategy with proper
recommendation.
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LO1: Demonstrating the ways marketing can contribute to international business strategies
Analyzing the scope and concept of international marketing (P1)
The scope of international marketing over the global arena can be associated with the factor of
peace among the nations. Activities associated with production and manufacturing of the goods
can work on enhancing the relations between the countries (Chan et al. 2017). Similarly, it can
be taken into consideration; international marketing increases the scope of opening new business.
As per the study conducted by De Villa et al. (2015), manufacturing a certain product can be
cost-effective and the nation often transforms to turn into a hub of exports. For instance, a huge
portion of products is manufactured in China are sold globally. In similar regards, it can be stated
global brands are often seen to rake significant portion of associated revenues from outside their
parent country.
As per the observation made by Frasquet et al. (2018), international marketing is largely
supported in recent times and government of countries is often seen to encourage the same. The
immense growth of World Trade Organization (WTO) and regional free trades such as the
European Union are few cases supporting international trade and marketing. In addition to that,
the trend associated with the acceptance of free market system in the developing countries in
Asia, America, and Europe enhances the scope of international marketing. The expanding impact
of the global internet system through smart phones leads to the dissolution of country borders in
domains of international marketing.
Analysing the series of scope associated with international marketing, Bonmarche can opt for the
following types of business. Firstly, exports, in this scenario Bonmarche can sale the goods to
obtain higher revenues. Secondly, events related to joint venturing can be a suitable intervention;
as both, the companies can share the profit and loss. Thus, for a local business such as
Bonmarche, Joint venturing with a local partner in the host country can be highly beneficial for
executing business not only operationally, but it can help in explaining the dynamics of markets.
Rationale for international marketing with suitable routes (P2)
China’s huge population of 1.3 billion acts as a potential market for garment business (Liu et al.
2015). The adult garment business in China reaches up to RMB1, 457.8 billion in 2017, with a
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growth of 5.2% annually (Han et al. 2017). Thus, it can be stated the garment market in China
can act as a potential source of income for the chosen organization. Similarly, Hong Kong, a
famous tourist destination is a potential source of garment market. Hence, it can be stated within
the Asian market, China acts as a potential market for Bonmarche.
Finally, while considering business expansion, the Asian market is chosen and China is the
country decided. However, Bonmarche needs to expand within the European countries too. In
that regards, France can be termed as a good option. The French garment industry is worth
43.9% of market value and is dominated by small niche companies selling small amount of
technical and high value apparels (export.gov, 2018). In that regards, it can be clearly noted the
small supply of the garments in France is lower than the demands. Thus, the business expansion
of Bonmarche to French market can have positive effect on the business.
Thus, addressing the needs of current market of China and France, Bonmarche can have a
significant impact on business if the strategies are not planned properly. Hence, it can be stated
following are the routes that can be adopted by Bonmarche in expanding their international
business. As per the study conducted by Hsueh (2016), when a business plans to move beyond
the national boundaries, the scope associated with international marketing increases the chances
of doing more business. Through the intervention of contractual basis, consumer base is known
to expand with the profit and volumes. Thus, Bonmarche can witness exponential growth by
entering into contractual agreement with partners in France and China. On the other hand, fully
owned manufacturing can be termed as another suitable international marketing strategy. As
stated by Larsson et al. (2017), fully owned marketing often demands higher level of
engagement in foreign soil. Thus, Bonmarche can own a fully owned garment manufacturing
unit in China or France. Using the stated facility, Bonmarche can sell products to the chosen
country or export the garments to the nearby countries. As opined by Morschett et al. (2015),
owning fully owned manufacturing helps companies control quality over their products.
Opportunities and challenges in regards to international marketing (M1)
After analyzing relevant literature, following are the advantages of international marketing for
Bonmarche:
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 Helps in obtaining competitive advantage in the longer run, as the chosen business plans
to extend operations beyond the local limits.
 Designing of the products through better research and development enhances the value of
the organization
 Increase in the rates of consumption due to huge supply from foreign countries. As stated
previously, the French garment industry is worth 43.9% of market value and is dominated
by small niche companies selling small amount of technical and high value apparels
(export.gov, 2018). In that regards, it can be clearly noted the small supply of the
garments in France is lower than the demands. Thus, the business expansion of
Bonmarche to French market can have positive effect on the business
 Increase in the earnings related to exports through influx of foreign currency. The income
from foreign countries such as France and China can have significant impact over the
business
 Improvement in the image of the company and the country. Bonmarche is a local
company and plans to expand business, the business expansion can act as a suitable
intervention for improving the company image.
Discussing the challenges in international marketing is as follows:
 Different marketing environments can have severe impact on the business operations of
Bonmarche. Citing the example of Brexit, the trade between France and UK may suffer.
As per statistics, UK exported £133 billion goods to the EU states, which is half of the
total global goods exported. If the Brexit is passed then the costs of the products
manufactured by Bonmarche is may increase (market-inspector.co.uk, 2019).
 Difference in consumer behavior and perception towards foreign companies can act as a
challenge for Bonmarche. The difference in taste and hobbies of the consumer and their
preference towards a specific foreign brand can act as a hindrance in international
marketing
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Figure 1: Opportunities in regards to international marketing
(Source: Created by author)
LO2: Evaluation of the entry in selection of international markets and key success factors
The criteria and selection process to be used while entering international market (P3)
Identifying Foreign Markets:
Before entering into a market, it is important for Bonmarche to analyse the marketing condition
of the host countries within which Bonmarche can sell their garments easily. As stated by
Morschett et al. (2015), the firm should work on analyzing the potential of foreign markets.
Hence, it can be stated Bonmarche should have a clear idea about the market and concentrate on
few international markets rather than concentrating on more markets.
Properly selecting international markets:
As per Mathews et al. (2016), there are several scopes associated with export to different
countries. However, it becomes difficult to carry out businesses in all the countries and thus,
there are few criteria for eliminating the markets. As influenced by Han et al. (2017), following
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obtaining competitive
advantage
Increase in the rates of
consumption
Increase in the earnings
Improvement in the
image of the company

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are the standards associated with selecting the right market; firstly, incompatibility in regards to
technical standards can eliminate few markets. Similarly, in certain cases, cost associated with
product can be high and few countries may fail to adopt leading to loss in business. The tariff
barriers can create problems for establishing business leading to poor profit margins. Finally, it
should be taken into consideration; high levels of existing competition within the chosen
international market may have negative impact over the business of Bonmarche.
Selection of Foreign Markets:
Use the macro variables to discriminate between China and France. This in return can work on
understanding the basic scope and opportunities of garment business for Bonmarche. On similar
regards, a macro variable of both China and France describes the market of political, social, and
economic development. The second step is focused on indicating the size of the market in chosen
countries. The analysis of the market size can provide a clear idea about the demand and
consumer behavior leading to better garment manufacturing. The third step is to analyse the level
of competition and cost, coupled with profit scope (artofmarketing.org, 2018). The final step in
selection of foreign market is evaluating the potential target markets.
Selection of target countries:
The macro environment needs to be analysed such as economic, and market size. The consumer
needs must be highlighted so as to manufacture product as per the demand leading to high levels
of profit. The legal environment must be given equal importance and each country is known to
have different legal obligations while conducting business in international market.
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SELECTION OF FOREIGN MARKETS
Research regarding the market potential
Preliminary opportunities
General market research related to product
Possible opportunities
Micro research
Probable opportunities
Targeted market
STEP 1
STEP 2
STEP 3
STEP 4
Rejected countries
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Figure 2: criteria and selection process for entering international market
(Source: Created by author)
With suitable examples, explain different market entry strategies with advantages and
disadvantages (P4)
Direct exporting:
Direct exporting involves delivering the garments directly to the interested consumers, rather
than depending on third-party exporter. The advantage of the mentioned intervention is
elimination of intermediaries, allowing better control over business. Customers know the
business personally as they are in direct contact with representatives. In case business develops
in foreign market, Bonmarche can have flexibility for improving and redirecting their market
efforts. However, the disadvantage includes abundant time, energy and resources, with high
demand for corporate management. Thus, Bonmarche may be subjected to shift of concentration
from core competencies resulting in loss.
Licensing:
Often termed as sophisticated strategy where firm is known to transfer their product rights to
another firm. A small business may not have enough resources for conducting research for
designing new products. Thus, licensing allows access to technical aspect for manufacturing
innovative garments and also works on maintaining the market position. Licensing works on
creating dependence over the supplier who may not renew the license creating problem in
business (intracen.org, 2017)
Franchising:
This mode is suitable for rapid market growth and for business with repeatable business model.
Thus, analyzing the business model for Bonmarche the suitable model can have following
advantages and disadvantages. The risk of business failure is greatly reduced as the franchisor
can give required support. The event of franchising helps in competition with big businesses due
to pool of support provided from franchisor. However, it should be taken into consideration;
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franchisor may eventually run out of business and fail to provide the needed support
(nibusinessinfo.co.uk, 2018)
Partnering:
Partnering is of prime necessity while entering in international business. Partnering can several
forms such as an arrangement of co-marketing and extend up to sophisticated strategic alliance.
The advantage of partnering can be deemed useful in case where there is existence of difference
in consumer behavior due to disparity in culture. However, the partnership is inclusive of the
debts and responsibilities of the partners. As per Liu et al. (2015), partnership often exhibits a
chance of friction among the business partners of Bonmarche.
Joint venturing:
Joint venturing can be a suitable intervention; as both the companies can share the profit and
loss. Thus, for a local business such as Bonmarche, Joint venturing with a local partner in host
country can be highly beneficial for executing business not only operationally, but it can help in
explaining the dynamics of markets. However, building relationship in associated venture can be
time-consuming.
Provide suitable recommendation for market entry strategies (M2)
Thus, based on the analysis of literature, it can be stated a combination of two marketing
strategies can work on providing better results. For example, partnering and joint venturing are
important (Varshneya et al. 2017). However, it should be taken into consideration; Bonmarche
should carry out immense research and development before partnering with the companies in
host countries. Similarly, joint venturing can have a positive impact by initiating a sense of
dynamics in chosen market.
Critical evaluation of international market providing ways how the chosen organization
adapts their marketing strategies (D1)
On analyzing the current position of Bonmarche, it can be stated the plan for entering the
international market is a suitable venture. However, the event associated with Brexit can create a
negative impact on business. Nevertheless, the business with France is not the sole objective of
Bonmarche; the Chinese market has immense potential for boosting the sales of the chosen
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