International Marketing Plan: A Comprehensive Guide

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Marketing Plan in International Context
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Table of Contents
Introduction......................................................................................................................................4
LO1. Demonstrate an understanding of how marketing controllers to business strategies in an
international context........................................................................................................................4
P1. Analyze the scope and key concepts of international marketing..........................................4
There are various aspects, which can be considered as very effective and helpful for any
organization to assist them entering in the new market. Those aspects are exports, global web
strategy, franchising along with licensing, direct investment and the joint ventures..................6
P2. Examine the rationale for an organization to want market internationally and describe the
various routes to market they can adopt......................................................................................7
LO2. Evaluate entry to a selection of international markets and define the key success factors....7
P3. Evaluate the key criteria and selection process to use when considering which international
market to enter.............................................................................................................................7
P4. Explain using examples, the different market entry strategies including the advantages and
disadvantages of each..................................................................................................................9
LO3. Investigate how elements of the marketing plan can be adapted of standardized across
international markets.....................................................................................................................10
P5. Present an overview of the key arguments in the global vs local debate............................10
P6. Investigate how the product, pricing, promotional and distribution approach differs in a
variety of international contexts................................................................................................11
LO4. Demonstrate an understanding of how to organize and evaluate international marketing
efforts (multinational, global, transnational, and meta-national, etc)............................................13
P7. Explain and analyze the various international marketing approaches organizations can
adopt..........................................................................................................................................13
P8. Compare home and international orientation and ways to assess competitors outlining
implications of each approach...................................................................................................15
Conclusion.....................................................................................................................................15
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Reference.......................................................................................................................................17
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Introduction
According to Belyi and Goldthau (2015), the international market will be full of various
challenges and threats that have to be kept in mind in order to expand a business across the
international market sphere. The business expansion in the foreign market requires a huge effort
and potential to establish a business or expand an existing business across international sphere
(Hitt et al., 2016). The various strategies implemented by the company to enter into a foreign
market have possible merits and demerits that the company needs to keep a track of. This
requires careful observation and patience for a company to grow and develop in an international
market. The assignment will shed light on the collaboration of marketing essentials based on the
organizations present across the borders. The assignment will be developing with the help of
demonstration based on the comprehension of marketing controllers that bring the business
strategies in an international context. The assignment ash been divided into the part that will
reflect the scenario of key concepts. On the other hand, it has been observed that the assignment
has put emphasis on the evaluation of selection of international markets and their key roles that
tend to provide success factor to the international organizations.
LO1. Demonstrate an understanding of how marketing controllers to business strategies in
an international context
P1. Analyze the scope and key concepts of international marketing
There are several scopes of international marketing and those are given below.
Imports
It can be considered as one of the easiest form of the international marketing, which can be
obtained by a company. In this case, this is found that companies are importing from one nation
and selling that into other domestic market. This can be possible only in the scenario when the
demand is very high in the market.
Exports
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Opposite of the selling and importing, finalized products are exported by the organizations
toward the international markets or on their other franchises (Vellas, 2016).
Contractual Agreement
This is one of the scopes of the international markets, which exposes it toward the greater
opportunities of operating many more businesses. The base of the consumers expands, market
expands along with that profit and volumes expand in this case (Vellas, 2016). This can be seen
that organizations develop with the help of obtaining the contractual agreement.
Joint Venturing
Two brands can launch together along with entering the potential market. This can be seen that
profit, losses and investment all are predetermined (Tulung, 2017).
International marketing can be considered as one of the application of marketing principles in
order to make the satisfaction of the varied requirements along with demands of various people
inhabiting across the national borders. In other word, this can be revealed that international
marketing can be defined as undertake of various marketing activities in more than one country.
International marketing is also known as the global marketing. International marketing is
designing the market mix in all over the world with the help of 4Ps such as promotion, place,
product and price (Jarach, 2017). Apart from that, this is customizing by considering the
preferences of various people from different country. In addition, there are few reasons, which
can be considered as very useful to attract the companies for expand their business in all over the
world. Those reasons are given below.
 Increased the economies of scale
 Opportunities for high profit in the global market rather than domestic market
 Huge share on market
 Lengthened life of the product (Jarach, 2017)
 Untapped international market
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Figure 1: International Marketing
(Source: Lovelock and Patterson, 2015)
There are various aspects, which can be considered as very effective and helpful for any
organization to assist them entering in the new market. Those aspects are exports, global web
strategy, franchising along with licensing, direct investment and the joint ventures.
All of the activities related with the business such marketing, production and development in the
context of high tech products. This is helpful to engage the people from all over the world to
work together (Lovelock and Patterson, 2015). In addition, the interaction between different
representatives from various companies can be considered as very useful and this face to face
conversation is very good as well in terms of commerce and recreation. In this regard, this can be
seen that all of this interaction directs toward not just the reciprocated gain, which are related
with the business relationship. However, this can be seen as well, all of these interactions are
also related with the personal relationship along with mutual understanding (Lovelock and
Patterson, 2015). In the purpose of working as a team along with drive one single agenda, the
teams interrelate with one another occasionally along with frequently fulfill for the significant
agendas.
There are few very significant factors, which can affect the scope of the international marketing
and those are given below.
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1. The fast developments of the world trade organization along with the areas of the regional free
trade are European Union and American Free Trade Area.
2. The trend toward the receipt of the system of the free market among the developing nations in
Latin America, Eastern Europe and Asia (Lovelock and Patterson, 2015).
3. The growing impact of internet, global media and internet.
4. The permission of managing the resources along with global environment correctly for the
generation to come.
P2. Examine the rationale for an organization to want market internationally and describe
the various routes to market they can adopt
There are several principles, which need to be followed by the organizations to expand their
business internationally.
 Introduce new services and new products to the mix
 Sell more services along with products toward the existing consumers
 Expand into the new territories (Blythe and Martin, 2019)
 Target the new market of consumers
 Valve into the new sales along with delivery channels
LO2. Evaluate entry to a selection of international markets and define the key success
factors
P3. Evaluate the key criteria and selection process to use when considering which
international market to enter
The market selection procedure plays a key role in order to determine the fate of an organization.
The nature of market that the organization is supposed to enter acts as a subsidiary agent in
determining the kind of response the domestic organization is supposed to get (Holmes et al.,
2018). This procedure of market selection is more complicated when it comes to an international
market. The nature of international market requires an in depth judgment and speculation as the
domestic organization is completely new in the sphere of an international market. According to
Lake (2018), the selection of international market also differs based on the type of company
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expansion. The market selection procedure at small and medium sized enterprises (SMEs) varies
largely from large-scale enterprises (LSEs).
The small and medium sized organizations mainly select the foreign market sphere due to an
external agent which does not have any definite source (Luo and Bu, 2018). There are many key
factors and criteria that drive the SMEs to choose international market in order to thrive
generously in the international market without any such distractions. The primary criteria
include:
 Lesser degree of differences in culture, language, politics and market cultural development
are key factors that are kept in mind regarding the international market selection for the
SMEs.
 Lesser degree of geographic distance is also an important criterion for the SMEs in order to
select specific internal market.
According to Panibratov (2017), the market of international sphere creates certain limitations
for SMEs to gather recognition if there is a vast distinction in matters of culture, society and
geographic distance. It is therefore, soothing and preferable for the SMEs to select an
international market that has similar tastes of business proposition and cultural ideas. The
stability of the SMEs is better when it comes to lesser distinction in matters of psychic
distance. This psychic distance pertains to different variations in matters of culture, society,
politics, education and even development of industry. The SMEs get a better profit in an
international market if their nature of industry growth is similar to that of their own.
The large scale enterprises (LSEs) on the other hand have a higher scope of adjusting to these
undeniable differences in the international market sphere. The LSEs has a higher of scope
when it comes to adjusting to the international market which has greater degree of cultural
and social differences. The development of LSEs in the international market is not highly
susceptible to large differences in matters of political and social aspects and views. Unlike
the SMEs, the LMEs can already handle the introduction of their business variation in the
international markets due to the already established stature of their business structure. In this
regard, the selection procedure of international market for LMEs is not pertained to the
external factors that cause higher degree of problem for the company.
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P4. Explain using examples, the different market entry strategies including the advantages
and disadvantages of each
The different market entry strategies require different approaches from the organization that is
trying to make a successful entry into the international market. The international market is full of
threats and strict regulations that require the following strategies:
 Brand Franchising- The prime strategy that is implemented by any organization in order to
fix their market entry plan is vividly franchising their brand (Thompson et al., 2015). The
target international market is prone to any kind of offers from the brand which is trying to
expand their business. The franchise building is a successful strategy as it opens door for the
brand to expand. The market expansion of Tesco has utilized this strategy to enter into
foreign markets. However, a possible disadvantage for brand franchising is failure to
publicize the franchise of the brand in the foreign market.
 Exporting Directly- The direct export of products and materials into the foreign market
sphere is one of the significant strategies that a company can utilize. The practice of
distributing direct materials and products into the international market sphere helps the
company to create associates and distributers who can expand the brand name in the
international market. The multinational retail company of Aldi has utilized this strategy to
expand their business into international market sphere and increase the company’s
competitive advantage. A possible disadvantage of exporting strategy can be not getting
enough profit due to failure of product distribution in the international market.
 Creating Partners- The strategy of partnering with foreign brands in the international
market sphere provides a higher opportunity for the brand to expand their business (Tulung,
2017). The partners in the foreign market help the brand to get a prominent grip of the
scenario in the international market. Tesco is an international company that implements
partnering strategy to enter into international market. The disadvantage for partnership in
the international strategy for market entry is disloyalty of partners and not getting equal
share of profits. The foreign partners can easily mishandle the economic growth of the
company under their own power.
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LO3. Investigate how elements of the marketing plan can be adapted of standardized
across international markets
P5. Present an overview of the key arguments in the global vs local debate.
Several multinational organizations are seen to be taking resort to both local as well as global
marketing in order to enhance themselves. However, there are ample of differences between the
two. International Marketing includes the marketing tactics, which knowledgeable marketers
adopt in several countries in accordance with the prevailing markets of those countries. On the
other hand, local marketing is referred to as the marketing activities, which are employed on a
national scale (Leonidou et al., 2018). In terms of local marketing, organizations take resort to
marketing strategies for catering to the customers of a relatively smaller area, which are
generally within a country’s local limit. The customers residing within a specific country are
served as well as influenced by it. A number of privileges are enjoyed by domestic marketing
including lesser communication barriers, easily accessible data, detailed knowledge regarding the
demand of the customers, preferences as well as taste, less competition, knowledge related to the
market trends, set of political as well as economic issues and so on. However, the biggest
drawback of domestic marketing is the limited growth as a result of limited size of the market.
In terms of international marketing, organizations take resort to marketing practices for catering
to the global market. In terms of international marketing, there is no such boundary as
multinational companies are endowed with the responsibilities of focusing on the customers of
those countries, in which multinational organizations are operating. Organizations taking resort
to global marketing faces several challenges while expanding their businesses in the international
market (Souchon et al., 2016). These includes language barriers, foreign currency changes,
socio-cultural diversities, disparities in customers’ buying habits, setting an international charge
for the products as well as services.
The primary dissimilarities between international as well as domestic marketing are as follows:
1. Domestic marketing is referred to as the activities related to production, promotion,
distribution, promotion, selling as well as customer satisfaction within the organization’s country
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of origin. International marketing is referred to as the marketing activities undertaken by the
organizations at the global level (Gillespie and Riddle, 2015).
2. With the help of domestic marketing, a small area is catered by organizations. On the other
hand, a larger area is covered by the international marketing.
3. In terms of domestic marketing, business organizations operate in a particular country.
However, in terms of international marketing, business organizations operate in several countries
(Gaur and Delios, 2015).
4. In terms of domestic marketing, government influence is less in comparison with the
international marketing since business organizations have to conduct their operations based on
rules as well as regulations of several countries.
5. In terms of international marketing, business organizations have the advantages of accessing
to the latest technology adopted by various countries, which is not there in domestic countries.
6. International marketing is exposed to several challenges as a result of several factors including
exchange rates, socio-cultural dissimilarities, setting an international charge for the services as
well as the products. However, domestic marketing is exposed to lesser threats (Esteves, and
Rua, 2015).
7. Huge capital investment is required by domestic marketing however, less investment is
required by domestic marketing in order to acquire resources
8. A deep research is required in terms of international marketing on the international market.
However, in terms of local marketing, such deeper research is not required.
P6. Investigate how the product, pricing, promotional and distribution approach differs in
a variety of international contexts
Product Policy in terms of international market consists of three stages:
Product Standardization: Unchanged products on the international market are introduced by
organizations. Such actions seem to be effective if customers are able to utilize the products
similarly on several markets. This strategy’s usage is comfortable as well as inexpensive.
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Product Adaption: This consists of adjusting product as well as its properties based on the
conditions, which are seen to be prevailing in the specific market. This consists of packaging,
symbols, size as well as color. Huge amount of experience as well as capital is required by the
product adaption (Massingham and Pomering, 2017).
Eventual Transformation in the Product: This is utilized in the situation where there is
absence of danger regarding the emerging competition
Pricing Policies
 Pricing includes separate pricing policies on international markets.
 Developing advanced communication technology makes similarities among distant
markets, which is why it becomes harder for leading a separate pricing policy at abroad
as well as domestic market. A global pricing policy is carried out by the organization
when the differences among several markets are blurred by the internationalization
process.
Distribution Policies
 In terms of distribution, organizations take resort to distributional policy for overcoming
temporary, ownership as well as spatial barriers to distribution, which separates
manufacturer as well as the ultimate customer. A major role is played by international
logistics in production activities as well as international sales (Wu and Li, 2018).
Promotional Policies
Transferring information about the organization, its products to new probable buyers is involved
in the promotion policy, which will be proficient in making buyers avail these products.
Organizations take resort to promotional policies based on factors including
 Financial resources as well as experience in the international market
 Types of customers
 Competition in the local as well as international market
 Product nature as well as its quality (Massingham and Pomering, 2017).
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