Exploring International Marketing Approaches for Boma Garden Centre

Desklib provides past papers and solved assignments; this report analyzes Boma Garden Centre's international marketing strategies.

International Marketing
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Table of Contents
Introduction................................................................................................................. 3
LO1............................................................................................................................. 3
LO2............................................................................................................................. 5
LO3............................................................................................................................. 9
LO4........................................................................................................................... 10
Conclusion................................................................................................................ 15
Reference List...........................................................................................................16
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Introduction
This study is based on the international marketing and its effects on the business
process. Basically, the international marketing is the process which can help the
companies to expand their business in the international market. Therefore, the
overall business development of the international companies can be based on the
international marketing process as the awareness of the business can be easily
developed with the help of the international marketing process. In terms of
conducting this study The Boma Garden Centre has been selected, which is a family
owned gardening business that offers gardening maintenance services, various
types of plants and other environmental friendly products. The company is very
successful and they have been running their business effectively in the international
market. However, annual revenue of Boma Garden Centre can be identified as
£80,000. Thus, it can be seen that the company has impactful business strategies
that help them to grow their business in the competitive market in an effective way.
The main purpose of this study is to analyze the overall marketing strategies of
Boma Garden Centre and their effects on their business process.
LO1 Demonstrate an understanding of how marketing contributes to business
strategies in an international context
P1 Analyse the scope and key concepts of international marketing
The international marketing can be identified as an effective part of the business
process. With the help of international marketing the company can expand their
business in the international market properly. Mainly the international marketing can
be identified as the process which helps the company to develop their business in
the external locations (Theoharakis, Batsakis & Angelis, 2019). International
marketing is totally different from the local marketing process as the needs and
demands of people of different locations are different. Thus, the marketing strategies
of the international companies need to be different in different places. The
differences between the local as well as international marketing have been analyzed
below
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Local marketing International marketing
In the case of local marketing it can be seen
that the companies keep focus on their local
market as well as the local customers.
In terms of the international marketing it can
be seen that the company can keep focus on
the international market and the people of
other countries as well.
The local marketing does not provide
effective scope for growth of the business
process.
In the international marketing the companies
can get proper scope of growth.
The companies also do not need much
investment in order to conduct the local
marketing.
On the other hand, in the case of
international market proper investment is
important.
The risk is also very less. Here the risk is very high as the business is
big.
In terms of managing the business process of Boma Garden Centre the company
needs of keep focus on the international market (Paul & Rosado-Serrano, 2019). On
the other hand, to manage the international marketing the company needs to be
aware of several key and core concepts such as
Internationalization –In this case the company can invest proper money and
develop proper plans which can help them to compete with the international rivals.
Like this they can grow their business positively.
Global Business Trends – The company needs to aware regarding the
international trend. In this case they can develop their idea about the trends of the
countries like America, Europe, Asia, and so on. Like this they can develop proper
business plan to deal with international environment.
International Marketing Task – The company also needs to develop their products
in a proper way (Stepchenkova & Shichkova, 2019). On the other hand, they can
manage their quality of the products along with the prices. This is how the
international customers can easily get attracted towards the business and the
company can gain profits.
P2 Explain the rationale for it to want to market internationally and describe
the various routes to market the organisation can
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The company Boma Garden Centre can have several reasons which influence them
to expand their business in the international market. Thus, the rationale for the
expansion of the business in the international market have been given below
Opportunity– In the international market, the company has a lot of scope of
development. In this case the company can experiment various products as well as
services which can attract the customers towards them. The company also develop
their product line as well.
Geographic market development – In the case of the international marketing
process the company can have the opportunities of develop their business in
multiple locations at the same time. This is how several customers can easily buy the
products of the organization and this can enhance the ability of the business as well.
Along with this it can be seen that there are many internal as well as external
reasons which can also influence the business for international marketing.
Internal
 Resources – Boma Garden Centre has low cost of their products and the
expertise of the company in comparison to other companies effective as they
do not take much time to produce services. Thus, it is an opportunity for the
company to expand their business.
 Benefits and risk – It has already discussed earlier that there are several
benefits of the international business. Along with the benefits there are some
risks as well but the management can handle the risks with different
approaches (Martin & Javalgi, 2019).
External
 Barriers for expansion– Boma Garden Centre needs to manage the factors
like international taxes as well as tariffs. By proper management they can
develop their opportunity of expansion.
 Collaboration – Proper collaboration can be helpful for the business to
manage their business expand in the international market. In this case the
mergers as well as joint ventures can be impactful for the company.
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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
In terms of managing the selection process the company Boma Garden Centre
needs to follow the criteria which have been analyze below
Competition– There are several effective companies such as International
Landscape as well as Botanic Gardens Conservation that can provide high
competition to the business of Boma Garden Centre which need to be analyzed in a
proper way (Martin & Javalgi, 2019).
Market Demand – In the time of expanding the business in the international market
for the gardening products like outdoor equipments the company needs to analyze
the market demands in a proper way. This can give them effective ideas of develop
their business strategy.
Trade Barriers – There are some impactful trade barriers such as changes in import
as well as export rate for the products. The company also needs to invest much in
the international market as well.
Political risk – The company needs to manage their business as per the rules and
regulations of the government. Some big political events such as Brexit can provide
some effects on the business of Boma Garden Centre. Thus, in the time of
expanding the business the company needs to analyze the market and political
regulation effectively.
Cultural difference – The people of different places can have different culture which
can provide some effects on the business (Michaud‐Létourneau, Gayard & Pelletier,
2019). Thus, during the time of expanding their business the company needs to
follow the culture of the people.
P4 Explain, using examples, the different market entry strategies, including the
advantages and disadvantages of each
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The company can use different kinds of strategies which can be helpful for them to
enter in the international market. However, the strategies can have some
advantages as well as some disadvantages. Thus, the company needs to analyze
the strategies properly.
Exporting – In this method the company can effectively provide their products in the
international market as well as in the several locations. In this case the company
needs to give several taxes to the government of other nations and this is why the
cost of the final product can be increased (Thorpe & Roper, 2019).
Advantages – The company can enhance their sales as they can sale the products
in many locations or nations.
Disadvantages – This process is costly.
Licensing – This method is a way through which the concerned company lets its
products and services be available to other companies. Licensing is performed for a
particular period and particular fee. This enables the company that is giving the
licensing to earn passive income.
Sources: Jeong, Lee & Kim, (2019)
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Advantages – It can develop the relation of the organization with other companies.
Disadvantages – It can decrease the profit margin of the company as the process
licensing can need a good amount of money (Xie, 2019, January).
Joint Venture – This is an effective part of the business and in this strategy, the
company can merge their business with other company. Like this the joint forces of
the businesses can develop the activities and sales more.
Advantages – The company can gain high profit in the business with this strategy.
Disadvantages – There is the chance chaos between the companies and this can
provide negative effects on the business process.
Franchising – In this case the company can sales their products with the help of the
local companies. This can provide different benefits to the companies and their
business process.
Advantages – It can enhance the ability of the company as well as their chances of
profits as well.
Disadvantages – The company must invest high amount of money and this is the
limitation of this strategy.
After analyzing the above strategies I can be seen that Boma Garden Centre might
can be helpful with the help of the franchising strategy. With the help of this process
the company can easily sale their products and outlets to the different locations with
the collaboration of local people (Fyall et al. 2019). However, the company can
expand their business in India and they can get proper chances of business
development in this nation. In India, there is large amount of population that makes
ideal for the company, as there would be more consumers. Thus, the company can
effectively expand their business by targeting several different kinds of people. On
the other hand, in this nation the organization can get the chance of developing their
business in various locations such as Kolkata, Mumbai, and Bangalore and so on.
In this case it can be seen that, in terms of expanding the business it is important for
the company to recruit skilled employees who can be helpful for them to manage
their overall activities in relation to marketing, manufacturing, operating, supply and
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so on. In India the company can get the opportunity to get diversified staffs with
different qualification (Zavattaro & Fay, 2019). This is how they can easily implement
new business plans to manage their activities properly. Like this they can effectively
enhance their ability as well as sales also.
LO3 Investigate how elements of the marketing plan can be adapted or
standardised across international markets
P5 Present an overview of the key arguments in the global versus local debate
Every company needs to understand the difference between the global market and
the local market and it is necessary for them to understand this for expanding their
business successfully in this competitive market. This section will helps the company
to identify more about the local market as well as global market easily.
Arguments in Global Market
In the modern market of globalization all the companies want to expand their
business in different countries for earning more profits easily and this also helps
them to enhance their brand image successfully as well (Yang, Liu & Li, 2019).
However it is very important for the companies to identify challenges and issues
associated with the global market before expanding their business successfully in
the foreign market. The company can also increase their profits while expanding
their business successfully in the foreign market and they also develop good
relations with the customers by fulfilling their need and demand effectively. This also
helps them to increase their customers in an effective way. Apart from this the
company can use cheap labour in the market and this also helps them to reduce
their operational cost effectively. The Boma Garden Centre should expand their
business on the international level for earning more profits easily.
However it is very important for the company to identify the drawbacks that they
might face while expanding their business on the international market. In the
international market they need to pay high operational costs and the tax structure is
also different. This can create negative impact towards their business process. Apart
from this the company should analyze the macro and micro environment of that
country before expanding their business effectively on that country. All these can
create negative impact towards the business process of the company and this would
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lead to lower profit generation in the market. Therefore the service and product
quality of the company got affected because of this as well.
Arguments in Local Market
The company can sustain easily in the local market compare to the global market
and operating on the local market is considered easier for the company as well. In
the local market companies are getting many benefits from the government and also
they are getting many benefits from the other resources as well. Therefore in the
local market this can definitely help them to increase their productivity and
profitability easily. In the local market the company is getting raw materials and other
resources easily and this helps them to improve their service quality easily. Apart
from this the management team of The Boma Garden Centre is able to decrease
their cost of business in the market and increase their profitability easily ( Gilly &
Graham, 2019). This also helps them to develop their brand image easily in the
competitive environment of London and also helps them to gain customer attraction
easily in this market as well. In the domestic market it becomes very easy for the
company to earn profits and increase their sales easily.
However the company is getting same customer base in the local market and
therefore they unable to increase their profits in the market. This can create negative
impact towards the business process of this company. Therefore the company needs
to expand their business on the global market for increasing their profits in an
effectively and this also helps them to get more customers in a single place easily. In
the global market they can create diversified workforce for improving their service
quality easily and this also helps them to create a user friendly environment for the
employees easily.
P6 Investigate how the product, price, pricing and promotional distribution
approach differs in a variety of international contexts
International market is very difficult for the company to do their business successfully
in compare to domestic market and therefore they need to use different marketing
tools in the international market for earning more profits easily. In the international
market the company needs to use different raw materials in a positive way for
improving their service quality easily. The company provides gardening services to
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their clients and therefore it is very important for the company to analyze each and
every factor of the global market before expanding their business successfully in the
foreign market. The Boma Garden Centre can use marketing mix tools effectively
for improving their service quality successfully in the foreign market.
Product- This organization offers their services to many customers and therefore it is
very important for them to offer quality services to their customers for attracting them
towards the company easily. This also helps them to maintain good relations with the
customers in the international market. The company offers gardening services to
their customers and other competitors are available in the foreign market as well.
Therefore the company needs to improve quality of their services for sustaining and
running their business successfully in the foreign market.
Price- Competition level is very high in the foreign market and therefore the company
needs to adapt different pricing strategies for attracting the customers and gaining
competitive advantages over other competitors easily. The company needs to offer
services in competitive prices for attracting the customers easily and therefore the
price should be as per the market requirements.
Place- The Company should use appropriate pricing strategy to grow in the Indian
market easily and this also helps them to maintain good relations with the customers
in the Indian market. The company can use penetration pricing strategy in the Indian
market for offering services in low cost easily. This can definitely help the company
to attract the customers successfully in the foreign market. This will lead to greater
generation of profit in the market.
Promoting- the company needs to focus more on promoting their services for
attracting the customers easily in the Indian market. They need to identify the need
and demand of the customers for promoting their services effectively in foreign
market. Reaching out to the target population will help them to make use of their
marketing skills, as it helps them to increase their brand awareness in the
operational market. They can use digital marketing strategies for attracting the
customers easily and focusing more on digital marketing strategies can help them to
attracting the customers easily.
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The company needs to analyze the difference between the Tier 1 countries and Tier
countries for developing their business process successfully in the foreign market.
India is a Tier 2 country and therefore Indian market is different compare to the other
countries. Besides this, expanding in Tier 2 countries such as Australia or New
Zealand would be challenging for The Boma Garden Centre. Therefore, the choice
of the country for international expansion is quite apt in this regards.
LO4 Demonstrate an understanding of how to organise and evaluate
international marketing efforts (multinational, global, transnational, meta-
national, etc.).
P7 Explain and analyse the various international marketing approaches your
client organisation can adopt
Expanding the business in the foreign market is very difficult compare to the
domestic market. The company needs to adapt different international marketing
approaches for expanding their business successfully in the international market.
The management of The Boma Garden Centre should make use of appropriate
marketing approach to have a greater impact on their clients in the Indian market
(Liu et al. 2019). Different international marketing approaches that the organization
can adapt are as follows
Multinational Approach
Multinational approach is a very useful approach that can help the company to setup
a certain standard for their business operation. This employees of this organization
needs to follow this standard for enhancing their performance easily and this also
helps them to create user friendly environment for the employees easily. Apart from
this multinational approach also helps the company to set proper pricing strategies
for attracting the customers easily. This definitely helps the company to increase
their profits and expand their business successfully.
Transnational Approach
Transitional approach helps the company allocate their services via different
channels and this also helps the company to promote single service to their clients
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