Unit 40: International Marketing Strategies for CAFEPOD Coffee

This report provides a comprehensive analysis of CAFEPOD Coffee's international marketing strategies, focusing on its potential expansion into the Sydney market. It begins with an introduction to CAFEPOD, a UK-based coffee company, and defines international marketing, contrasting it with local marketing. The report explores the scope and key concepts of international marketing, including export, import, export marketing, domestic marketing, and international marketing, and explains the rationale for CAFEPOD to go global, such as increasing revenue and accessing new talent. It then describes various routes to international markets, like joint ventures, and recommends the most suitable approach for CAFEPOD. The report evaluates key criteria and the selection process for choosing international markets, along with the opportunities and challenges involved. Furthermore, it defines market entry strategies, providing examples and discussing their advantages and disadvantages. Finally, the report offers recommendations for CAFEPOD's international market entry and concludes with a summary of the findings.

Unit 40:
International
Marketing

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
An introduction to the chosen organisation and give some definitions of international market
besides highlighting the main differences between local and international market....................3
Assess the scope and key concepts of international marketing and explain the rationale for
your chosen organisation to market internationally....................................................................4
Describe the various routes to international market which your chosen organization can adopt
and which route the company should adopt and why?...............................................................6
There are many international markets that an organisation can enter, so evaluate the key
criteria and selection process that the company should use when considering which
international market to enter besides evaluating the opportunities and challenges....................7
Define and explain what a market entry strategy is, using examples of the different strategies
that are available to an organisation, and include the advantages and disadvantages of each....8
Recommendations on how and why the company should enter the international market........10
CONCLUSION..............................................................................................................................10
References......................................................................................................................................11

INTRODUCTION
International marketing may be referred as the process of performing different marketing
activities of the business across the boarders of the nation. Through this, goods and services can
be promote as well as serve by the firm at the international level. This provide the direction to a
company with proper planning and strategies which assist them to enjoy the competitive
advantage over their rivals (Kaynak, 2021). The aim of this report is to construct an international
or different marketing plans with its advantage and disadvantages. For the competition
CAFEPOD coffee has been taken into consideration which is basically a UK based company.
The firm deals in providing different types of coffee range like smooth, intense, ristretto, arabica
lungo, decaffeinated, origins colombia hulia, origins sumatra lake tawar, and compatible pods.
The respective firm strategies to expand their business in Sydney. The following report is going
to covers the brief introduction of the chosen company and the difference between the local and
international market. This report also analyse the key concepts of the international marketing and
the rational to go globally. Afterwords, this report focus on the different types of routs to
international market along with the market selection process in relation to the chosen company.
Along with this, this the advantages and the disadvantages of the different types of market entry
has also been covered in this report. In the end, this report critically evaluate their marketing
strategies for the various international market.
TASK 1
An introduction to the chosen organisation and give some definitions of international
market besides highlighting the main differences between local and international
market.
Overview of the firm
CAFEPOD coffee is a well known brand of UK which was founded in 2011 by Peter
Grainger and Brent Hadfield. The firm deals in different types of exotic range of coffee with aim
of bring happiness to people’s everyday lives and assist them to thrive in the hustle, the bustle
and the daily grind. The delicious blends of the respective form are Brunch Blend, Ristretto,
Supercharger Espresso, Intense Roast, SW18 Daily Grind and Decaf Espresso.

Meaning of international market: -
International marketing is basically an activity which is related to the sales of goods as
well as services to the consumers at the international level or beyond the boundaries of the
nations (Kowalik, Danik and Francioni, 2020). This not only brings organisations of different
nation closer to each other but also allow them to understand the needs of consumers and
facilitate them with excellent services. International marketing is being considered as the most
important tool for the organisation which assist them to grow in a very effective manner.
Difference between the international and the local market: -
Local market International Market
 This may be defined as those market
where marketing activities are carrying
out within the boundaries of nation.
 In this, there is only one nation and one
culture with same language.
 In local market only one type of
currency is used.
 With the local market low risk of
factors are associated.
 Internation market may be refer as
those market where market activities
are carried out beyond the boundaries
country.
 This comprises if various nations with
different culture and language.
 In this, different currencies are used.
 High risk of factors are associated with
this.
Assess the scope and key concepts of international marketing and explain the rationale for
your chosen organisation to market internationally.
International marketing paid focus on the different applications of the marketing
principles along with the strategies which are utilized all across the globe. This is totally different
from the domestic marketing, both in the way of trading of goods and services and needs of the
buyer. In this, the marketing manager of the organisation plays a very important role (Krishen
and et., al., 2021). In order to work into the international market in effective manner, marketing
manager must have to successfully understand the environment and think in the way of
consumers. The scope of the international marketing has been discussed below: -
 Export: - this is basically a process in which goods and services are produced in one
country and export to sale in the another nation. For example like, Toyota company

manufacture their motor vehicles in the Japanese plants and export their products not
only in the international market but also in the North America.
Different types of benefits like compensation of local restrictions in relation to the space,
climate and taxation. This result in development of the economy in regarding to growth in the
GDP, increase in the employment opportunities and many more.
 Import: - this may be defined as the process of buying another country good which are
produced abroad. For example like, UK imports the tomatoes from Italy. Through import
facilities which are not present in the local market for the organisation can be introduced
and different facilities can be enhanced.
Fundamental concepts of the international marketing are Export market orientation, Domestic
market orientation and international market. This assist the organisation in satisfying the needs as
well as wants of the consumer in a very effective manner in the global.
 Export Marketing: - in this, organisation steps out from the local market and start
finding the opportunities across the boundaries of the nation (Ledesma-Chaves and et.,
al., 2020). This form of marketing basically paid focus on the expansion of size and
scope of market. In this, goods are produced by the organisation within the home country
and export in the international market . If the export is done by the firm in direct manner
then they have to appoint the sales persons and if the export is done by the firm in
indirect manner then this is done through the international agent.
 Domestic Marketing: - within this, the marketing of the home country is targeted.
Domestic organisation paid focus on the operating their business functions at the
domestic level. If they strategies to expand their business, they paid focus on the new
market segment , technologies and product within the boundaries of nations instead of
entering into the international market.
 International Marketing: -in this organisation paid focus on exporting the marketing in
different locations worldwide. Subsidiaries as well as joint ventures are established by
the organisation in the overseas nation in order to perform the marketing operations in
proper manner (Liu, Perry and Gadzinski, 2019). The subsidiaries are control as well as
managed by the headquarters.
Explain the rationale for your chosen organisation to market internationally.

 Increase the revenue: - this is being considered as one of the most important reason for
the CAFEPOD Coffee to expand their business operations in the market of Sydney. If the
respective company management go globally they have the chance to attract the new base
of customers and target the large market area. This assist the firm to get the access over
the millions of customers due to which sales of the firm in increasing.
 Access to new talent: - if the firm strategies to globally, they have the opportunity to
recruit the new talent within the management. This assist the CAFEPOF coffee to carry
out their business functions in effective manner which bought various advantages for the
firm.
Describe the various routes to international market which your chosen organization can
adopt and which route the company should adopt and why?
Joint venture & collaboration: The international marketing includes establishment of
joint venture and collaboration in many countries in the prescribed country with foreign
enterprise (Makrides and et., al., 2021). This exploits the foreign country market, work of
organisation to collaborate in these arrangements.
Consultancy services: The services offers company exporting through undertaking key
tasks in various foreign countries. In purpose of, export company send their expert to
other country as they will guide and direct for manufacture product from new technology.
Establishing: For packaging, processing and assembling of goods as required for the
market and branch in foreign market will be set to establish. Complete manufacturing will
made for the branch through using direct investment.
Arrangement of Licensing: In this arrangement the foreign enterprise will grant the
right for using the exporting patent of company, trademark, copyright as per the
conditions which were prescribed in the agreement with or without financial investment.
Know how of Technical & managerial services: This is responsible for monitor the
manager for importing the company .
The CAFEPOD coffee will use Join venture and collaboration to enter in global market
this helps them to enter in new market and divide the risk in market. In this there will be two
owner and this help in run business smoothly. They can divide work and liability also be divided
in this market.

There are many international markets that an organisation can enter, so evaluate the key
criteria and selection process that the company should use when considering which
international market to enter besides evaluating the opportunities and challenges.
Through entering in new market there will be many decisions and stages which have to
be made to impose high influence in the success for expanding in international market.
Expansion in international market is difficult as this includes various stages for the performance.
This have many process which have to be follow at the time of entering in global market. The
decision will make big impact on success of movement and expansion in global market. The
process which needs to follow at the time of entering in new market-
International marketing objectives- In this stage it is used for identify the marketing
objective of export and company's target. The areas and markets in which an enterprise
will establish the store at international level for serve product and service which will
choose as per the strategies of company and international market (Martínez-López and
et., al., 2018).
Parameters for selection- The enterprise have to be accurately evaluate and understand
the parameters which will be needed after they select some area which are essential for
products and services. The parameters which have to be consider in selection of market
through Sainsbury have availability of raw materials, appropriate infrastructure, laws for
governance, aggressiveness of the competitors and many more.
Preliminary screening- The screening have to be done in which all the location were
eliminated which will not offer the potential of the enterprise. They utilise some factors
for screening which have population size, behaviour of consumer behaviour, buying
potential of consumer, economic condition of the area and so on.
Analysis and selection- In this stage this evaluate the market and examine for the
selection in international market for the enterprise and go through a feasible study. This
examines recognising of cost benefits which were provided to the market (Vrontis and et.,
al., 2021).
Test marketing- In this the sample of offering were provided through the enterprise to
all the individual who were around the area for gain the knowledge for reaction of
workers, the likings and what they will expect through the brand.

Commercial production- This is last stage in which it occurs the results for testing
marketing place will become in favour of the enterprise and this start production and sell
the products in an selected market which is available globally in unknown and new
market.
Define and explain what a market entry strategy is, using examples of the different
strategies that are available to an organisation, and include the advantages and
disadvantages of each.
The strategy of market entry is a planned way for goods and services in the recent target
market. The entry strategy for market outlines the goals of all the enterprises and overview the
targeted market (Wang and et., al., 2020). The entry of marketing strategy covers all the goals of
enterprise and overviews the targeted market. The various entry maker strategy with pro and
cons were mentioned below:-
Export- In this the export means that when a state delivers their goods and services to any other
state. This includes the currency between the countries which will be consider in the
international trade. The export increases the scope for globalisation in the globe. The
merchandising goods is being exported to the as the goods for the business.
Export's Benefits-
 This will enhance the opportunities of job for the individual who were involved in
international enterprise.
 This will increase the trade in international market which make direct impact on the
economy of the state.
Export's Demerits-
 This results in less control of the owner on the goods which were exported due to
different conditions in which the owner fails in satisfying the wants of the consumer
(Messner, 2021).
 This will result in increase of the cost for the products which is delivered in various
countries. This happens because there are many kind of taxes which is going to apply on
the exported products which produced through the manufacturer of the product.
Licensing: -The license is the way in which the enterprise will also operated in other state. This
happens because giving a licence to an individual transfer the opportunity to operate the same
business which has build up of goodwill in the market. The individual will enjoy the goodwill

and they will earn further profit in upcoming future. This is like giving an franchise. This is cost
effective and less expensive in this market.
Licensing Benefits-
 This is less expensive than other kind of business.
 This will decrease the risk for maintaining relationship of business.
 This also have royalty in the business.
Licensing Demerits-
 This includes restrictions in hallmark and specific goods which were produced through
the manufacturer.
 This also enhance competition in the market.
Joint ventures- These are of those type which includes a type of industry which have more than
one owner in the firm. Usually, this have two or more owners for a firm in the joint venture. The
investment in this will be done from both the owners of the joint venture (Wang, Zhang and
Zhou, 2020). The liability lies on both of the owners. Moreover, there are different procedures
which have to be followed by the companies.
Joint Venture Advantages-
In this they have benefit of risk sharing in the business.
The rights and liabilities were also being shared in the process of business through the
owners of the company.
Joint venture Disadvantages-
The single control over the working and the activities of the business is absent in this.
In there may be conflict arise between both the owners of the joint venture.
Critically evaluate how your chosen organisations should adapt their marketing strategies
for various international markets
Infrastructure facilities: -This play very important role for an enterprise which goes
globally. The area of market have to be evaluate through the management of CAFEPOD
coffee which results to understand the detail about market and develops the plan for
effective working (Naik and Sharma, 2021). As per many tools and techniques will also
be included through the enterprise in which they analyse the market in proper way. This
aids them in production of goods which is been set as per the requirements of the market.

Nature of the competition: - The competition in an market will affect development and
growth of the CAFEPOD coffee. So, this is most important for the management of the
company which develops proper strategy to compete with the rivals in the market. The
strategies will help them to eliminate the difficulties.
Recommendations on how and why the company should enter the international market.
This will be suggested to the CAFEPOD coffee is that when they expand there business
in global market then they must use the options of licensing and franchisee. Because of
the assistance of this they can manage the cost and the expanses of the company.
This is very essential for an enterprise to analyse the environment of business in the
nation which will give assistance to them for enjoy the different opportunities.
The proper training have to be given through the management of the company in order
to train the workers for better working.
The organisation will use the platform of social media like You Tube, Twitter,
Facebook, Instagram, Pinterest and many more for increasing the image of brand in the
targeted market.
CONCLUSION
In the above report this have been concluded that this is very crucial for the management
of business organisation which will formulate the various kinds of approaches to effectively
enter in the global market. Through entering into global market the enterprise enjoys many kind
of benefits which are increase in the profit and sale. This report also concludes the various kind
of mode for entry with the advantages and disadvantages and the selection process of market
along with the recommendations.

References
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