International Marketing Report: Hilton Hotel's Global Expansion

This report provides a comprehensive analysis of international marketing strategies, focusing on the case of the Hilton Hotel. It begins with an introduction to international marketing, defining its scope and key concepts, followed by a discussion on the rationale for international expansion and various market entry routes. The report then evaluates opportunities and challenges in global marketing for Hilton, examines key criteria for market selection, and explores different market entry strategies, including their advantages and disadvantages. Further, it presents an overview of the global versus local debate and investigates how the marketing mix (product, price, promotion, distribution) should be adapted across different international contexts. The report also evaluates various marketing approaches, competitor analysis, and provides recommendations for Hilton's international operations, concluding with a critical evaluation of marketing mix applications in a range of international contexts. This report is a student assignment submitted to Desklib, a platform providing AI-based study tools.

International
Marketing

Table of Contents
sINTRODUCTION .........................................................................................................................5
TASK ..............................................................................................................................................5
P.1. Analyse the scope and key concepts of international marketing?.......................................5
P.2. Discuss the rationale for an organisation to want to market internationally and describe
various routes to market they can adopt?....................................................................................7
M.1. Evaluate the opportunities and challenges that globally presents in marketing to choosen
client organisation?.....................................................................................................................8
TASK 2..........................................................................................................................................10
P3 Evaluate the key criteria and selection process to use when considering which international
market to enter...........................................................................................................................10
P4 Explain, using examples, the different market entry strategies, including the advantages
and disadvantages of each.........................................................................................................11
M2 Application of market evaluation criteria and entry strategies, and make necessary
recommendations for your selected company...........................................................................12
TASK 3..........................................................................................................................................13
P5 Present an overview of the key arguments in the global versus local debate......................13
P6 Investigate how the product, price, pricing and promotional distribution approach differs in
a variety of international contexts. / M4 Determine and articulate in detail how to adapt the
marketing mix of your client organization in different international markets..........................14
M.3. Evaluate the context & circumstances in which the company adopt local as ell as global
approach to highlight the implications?....................................................................................15
M.4. Determine & articulate in detail the manner to adopt marketing mix of selected company
in international market..............................................................................................................15
D2 Produce a critical evaluation of how the marketing mix is applied to a range of
international contexts. .............................................................................................................15
P.7. Analyse and explain various approaches of international marketing, that the hotel Hilton
can opt?.....................................................................................................................................16
P.8. Make comparison of domestic and international orientation and ways to access
competitors outlining the implication of every approach?........................................................17

M.5 Evaluate various marketing approaches and competitor analysis in relation to an
organization and make recommendations on how they should operate in an international
context?.....................................................................................................................................18
CONCLUSION .............................................................................................................................18
REFERENCES..............................................................................................................................19

INTRODUCTION
International Marketing is defined as the performance of various different business
activities that is designed to make plan, pricing, promoting and directing the flow of a services as
well as goods of the company to customers in more than one country for the purpose to earn
maximum profit. For the respective deep analysis the organisation that was selected in this report
is Hotel Hilton. It was founded by Conrad Nicholson Hilton. It has its headquarters in McLean,
Virginia, U.S. It has around 584 hotels in different locations of the World. The topic that was
choose in this report are analysis of scope and key concepts of international marketing, discuss
the rationale for an organisation to want to want to market internationally and describe the
various routes to market they can adopt, Evaluation of key criteria and selection process to use
when considering which international market to enter, Explain using examples, the different
market entry strategies, including the advantages and disadvantages of each, Present an overview
of key argument in the global vs local debate. Investigation how the product, pricing,
promotional and distribution approach differ in a variety of international contexts are also
describe in this report. Explain and analyse the various international marketing approaches
organisation can opt, compare home & orientation and ways to assess competitors outlining the
implication of each approach are are describe in this project.
TASK
P.1. Analyse the scope and key concepts of international marketing?
Internation marketing: In this various principles of marketing is to be apply in more
than one country, by companies across the national borders. The scope of international marketing
involves the export of goods as well as services in many different countries across the overseas.
Other than export of goods & services, various activities are perform by exports as these
activities are describe as follows.
Scope of international Marketing
 It leads to develop peace in various nation: All the task are associated with
the business for example marketing, development, production especially in high
tech product cases, include audience from different locations of the world to
perform the activity together (Agarwal, 2018). Moreover organisation are a part

of workforce interactions that tends to enable people from all the countries to
interact face to face for the purpose of both commerce as well as recreation. All
this interaction tends to not just the mutual gain associated with business
relationships, personal relationship and mutual understanding. The latter leads
to global peace & prosperity and increase the scope of international marketing.
 Factors that makes impact on the scope of global marketing:
1. The increasing growth of the world trade organisation and regional areas of free
trade like Europion union and north American free trade area.
2. The trend of acceptance of free market system in developing countries in Asia,
eastern Europe and Latin America.
3. It is mandatory to manage the global environment and resources in appropriate
manner for the generations to come.
 Reduces or eliminate risk and open huge opportunities: It expand with
foreighn market opening up for business. At times manufacturing goods in a
country can be most cost effective .and the country become the hub of exports.
Global brand generate maximum portion of their income from outside the
domestic country.
Key concept of international marketing
 Export Marketing:In this company steps out from the domestic market and
explore various opportunities across the country. In such type of marketing the
main focus is on the expansion of size and scope of market. In this organisation
manufacture all the goods in the home country and than supply to other foreighn
countries. In many conditions firms starts with indirect exporting with the help
of international agent ( Beirman, 2020). If the organisation deals to direct export
than it needs to appoint sales personnels either in the domestic country or in the
foreighn country but it require to visit the markets of foreign country regularly
 Domestic Marketing: In this in the home country marketing is to be targeted.
Fully domestic company can run their business operation in domestic country
only. When it focus on expansion of business and growth it diversify into new

market, technology & products with in the country rather than entering into
foreighn market.
 International Marketing: In this focus varies from just exporting to
marketings in various different locations across the globe. To undertake
effective marketing operations organisation establish the subsidiaries and joint
ventures in many countries across the overseas. These subsidiaries work
according to the directions that were received from head quarters.
P.2. Discuss the rationale for an organisation to want to market internationally and describe
various routes to market they can adopt?
The purpose of international market is to capture large audience of different locations that
leads to business growth and development. Business expansion and earning large amount of
revenue is the main purpose to market globally.
To strong global brand image: The main motive of hotel Hilton that deals in hospitality
industry is that they should provide excellent services to their customers and giving good view
from the rooms It attract large number of people and create strong brand image that makes
positive impact on revenues.
Increase the profit margin: By providing good services and take feedbacks and follows
from time to time it satisfy their audience in this way they capture the large people by attracting
them towards their brand. If Hotel Hilton attract large customer it increase the sales and help to
increase revenue also.
Creating the value for hotel owner, investors, and customers: By providing good
services on time the brands can create a good image or goodwill in the competitive market. If
large audience is attract due to their goodwill it is beneficial for owner because it will improve
the revenue or profit that helps for survival and business expansion in this way it is beneficial for
owner and investors (Chaffey, 2019). If the business expands it gives customers new varieties of
dishes( food) and luxurious rooms.
The company Hilton can adopt various routes to markets as these are describe as under:
 Joint venture & collaboration:International marketing involves establishing
joint venture and collaboration in various countries across the domestic country

with foreighn firms. To exploit the markets of foreighn countries, organisation
work in collaboration in under these respective arrangements.
 Consultancy services: As these services are offer by the exporting company by
undertaking turnkey projects in different foreighn countries. For this purpose,
export company send its experts in various countries other than domestic
country as they guide and give direction regarding manufacturing activities on
the spot.
 Establishing:For the purpose of processing, packaging and assembling the
goods as per the requirement of the market a branch ion foreighn market is to
be set be establish. Complete manufacturing is carried out by branch by using
direct investment.
 Arrangement of Licensing: In such arrangement foreighn company are granted
the right to use the exporting company's patents, copyrights, trade marks as per
the terms and conditions of agreement with/ without Financial Investment.
 Know how of Technical & managerial services:It is the responsibility and of
managerial personnel & technicians to guide and monitor the managers and
talented managers of importing company.
M.1. Evaluate the opportunities and challenges that globally presents in marketing to choosen
client organisation?
International work marketing is a wide concept that involves number of opportunities and
challenges for the companies who are planning to engage in the procedure or have already been a
part of it. Some of the challenges and opportunities that are significant to are as follows:
Opportunities- Hilton Hotel will be getting hold of better infrastructural development of
the foreign market and also will be able to market its offerings to the wider audiences as well as
establish a extensive global image (Cornwell, 2020). Another opportunity is increased revenues
and reduced costs of marketing while captivating the customers of other nation.
Weaknesses- A major challenge which can be faced by organisation while moving
internationally is the existing competition in the market and there goodwill.

P3 Evaluate the key criteria and selection process to use when considering which international
market to enter.
By entering a new marketplace there are number of stages and decisions that are to be made
which imposes high influence on the success of expanding in global marketplace. Expanding
globally is a difficult task as it involves many stages to be performed. There are certain processes
which are to be followed while entering and expanding the market globally. The decisions which
are to be made makes huge impact on the success of movement and expansion in global
marketplace. There is a process which needs to be followed while entering a new market place: - International marketing objectives- This stage is used to identify the export marketing
objectives and the targets of the company. The markets and the areas in which the
company will be establishing its Store at the global level to serve products and the
services will be chosen according to the company’s strategies and the foreign market. Parameters for selection- Companies has to properly evaluate and understand certain
parameters which are needed after they have selected the areas that are important to their
products and services (De Mooij, 2019). The parameters which are considered for
selection of markets by Sainsbury are raw materials availability, appropriateness of
infrastructure, government laws, aggressiveness of existing rivalries and many other. Preliminary screening- Screening is done through which all those locations are
eliminated which do not offer any potential to the company. They use certain factors for
screening such as population size, consumers buying behaviour, consumers buying
potentials, economic conditions of the area and so on. Analysis and selection- In this stage the market is evaluated and examined for selecting
the international market for the company and undergoes a feasibility study. It will be
examined for recognising the cost benefits for providing to the market. (Xiao, Wang and
Chan-Olmsted, 2018). Test marketing- In this stage the sample offerings are provided by the organisation to all
the people who are around the area to gain the knowledge about reactions of customers ,
the likings and what they expect from the brand.
 Commercial production- This is the last stage which occurs when the results of testing
marketing phase becomes in favour of the company and can start producing and selling

its products in the selected marketplace which is available globally in new and unknown
market.
P4 Explain, using examples, the different market entry strategies, including the advantages and
disadvantages of each.
The business has the ability to choose as many entry routes and strategies as it can handle
and manage effectively. This is possible only because of the various market entry strategies
which are available in a business environment which are adopted by the organisations which are
developed from the resources available by globalisation and modernization in the business
strategies. Hence, Hilton Hotel can use different types of market entry strategies in its specific
profitable market. Some of the strategies are discussed critically below by emphasising on its
advantages and disadvantage. Exporting: Under this market entry strategy, the organisation cannot directly enter the
market but can make the sale of its goods and services into the market place through an
existing established business (Hisrich, 2018). This can be done by selling finished goods
to the companies which is an important party in the International border.
Advantage
The advantage of exporting products into a new market place for Hilton Hotel is that
it helps in leading the company towards more productivity and suitable profit margins. It is
one of the simplest form of entering the international business environment. It also enables
the organisation to have the most significant exposure to the customer base of the
international business.
Disadvantage
The main disadvantage attached to this is that it involves increased cost as higher tax
is being paid for making its availability into the new markets to both the domestic and
international governments. Licensing and Franchising: These mentioned processes are productive and effectual for
Hilton Hotel as it allows the organisation to get in contact with the business owners and
companies of different foreign market to sell their goods and services at a global level in
the international market. These franchises and license agreements allow the businesses to
make use of their intellectual property so that their operations can be done with the brand
name of Hilton Hotel.

Advantage
The major advantage of this franchising and licensing is low cost and capital investment
into the infrastructure and other business related activities. It also helps in attracting larger
customer base with diversed needs and requirements. This will help Hilton Hotel to enter new
market as the company will adopt cost effective procedures and will get higher return from their
investment.
Disadvantage
The disadvantage with the franchising and licensing strategy is an increased level of risk
which is involved with these strategies as there is chances of duplication which will result in
losing the control over the operations. Another disadvantage is the misuse of their intellectual
property in the international form for their personal motives and advantages.
M2 Application of market evaluation criteria and entry strategies, and make necessary
recommendations for your selected company.
Different market entry strategies bring different advantages and disadvantages towards
the operations and effectiveness of the organisation. The market entry strategies include
licensing, franchising and exporting. Out of the above discussed strategies, the most suitable
entry strategy for Hilton Hotel shall be licensing or franchising. These strategies will involve less
cost and capital investment for the company and will help in building the larger customer base
and resources.
Strategies related to market entry for a form that brings advantages as well as
disadvantage in the direction of operations as well as effectiveness of the organisation. The
various marketing strategies that were discussed at the time of entry for hotel Hilton like
exporting, licensing and franchising (MarketingHoyle, 2016). Respective strategies less capital
investment cost towards the organisation and capture the huge customer base & resources. Thus
these strategies are recommended to hotel Hilton to taking entry in the different countries across
the overseas.

TASK 3
P5 Present an overview of the key arguments in the global versus local debate.
Global marketing is significant concept which provide numerous opportunities and
advantages to organisation to increase and growth of their business in along with base of their
customer by attracting maximum customers which leads to enhancing in profitability. In
addition, company is also exposed more distinct infrastructure and practices which is related to
business which enables organisation to make rapid change by progress and development of it.
So, Global marketing is potential and strong concept that served product as globalisation and
also provide various opportunities for business in various countries with their respective
economies and distinct firms related to business which is running in specific market segment.
In addition, business productivity and opportunities provide by global and international
marketing business possibilities with several companies which they believe that marketing in
local segment is a best and effectual strategy as comparing with international marketing. Hilton
is one of biggest retail supermarket chain situated in United Kingdom but these are not dealing in
any other country or internally in any market (Hult and et. al., 2018). So, below is table which
explains the comparison of both strategies at local and global level:
Basis Local marketing Global marketing
Products and
services
Hilton provide more suitable product in
the marketplace as of know the actual
needs and preferences for the guest.
In nation context the marketing
actions and the market approached
is broader. the products and
services occurred will be expand
unfavourable to a larger amount of
consumer base then to a qualify
segment of the country.
Cost and
budget
the budget gets divided according to
the needs of the activities and the
promotional arrangements developed.
As look forward to local marketplace.
Looking forward global marketing
environment is covering broader
area and business enterprises
aspect therefore the price involved
is massive along with budgets are
segregate into two various
regional corporates rather than the

marketing actions.
Promotional
tactics
While taking marketing on basic level
and in domestic market the promotional
activities are easy and bit sophisticated
and less analysable which fit into the
enterprise model of the company.
If Hilton is moving in global
waters to conduct the activities of
corporation, company will be
directing more complex and
captious promotional tactics
which will be including expansion
of their business model and
different adjustments.
P6 Investigate how the product, price, pricing and promotional distribution approach differs in a
variety of international contexts. / M4 Determine and articulate in detail how to adapt the
marketing mix of your client organization in different international markets.
The elements such as product, price, promotion and distribution under marketing mix
plays an important role in making various strategies to build strong market image of an
organisation at global level. For this, the management need to differ marketing mix in local and
global contexts in following way; Product- This is the first aspect of market mix which mainly focuses on enhancing value
of products by improving quality and adding features on it. Hilton hotel offers wide range
of hospitality services and products thus adding services in their offering list such as
transportation facilities for check-in and check-out visitors increases their satisfaction
level (Hüttner, 2018). Price- It is another important aspect which either retain loyal customers with services of
an organisation or drive them to shift to their rivals. Thus, Hilton Hotel is adopting
competitive pricing policy that makes easy to attract customers towards their services by
giving them same services with low prices as compared to the prices of their rivals. Place- It is considered as distribution channel that makes easy for customers to get
company’s services without facing any difficulties. Hilton Hotel is currently located in
various cities in UK thus can easily reach to large number of customers with their quality
hospitality services.