Strategic Marketing & Sales Development for Irwin Bakery in Brazil

This report delves into Irwin Bakery's marketing and sales development strategy as it expands into the Brazilian market. It includes a business environment audit using PESTLE analysis, examining political, economic, social, technological, legal, and environmental factors impacting the company's new product, Soda bread. The report explores the development of a global marketing strategy, considering the competitive landscape and international market strategies. It justifies strategic decisions based on PESTLE analysis and international market considerations, highlighting opportunities, challenges, and implications for Irwin Bakery's expansion in Brazil, focusing on product development, pricing, and service.

Marketing and sales
development

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Business environment audit........................................................................................................1
Aspects of business environment in context with potential global market.................................2
Development of global marketing strategy.................................................................................6
Overview of competitive landscape for the offering which are being developed in the country
.....................................................................................................................................................6
Development and designing of international marketing strategy...............................................7
Justification of decisions and choices with reference to both pestle analysis and international
market strategy............................................................................................................................8
CONCLUSION................................................................................................................................8
.........................................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Marketing is one of the most important element of a company in terms of both commerce
as well as business management. It is the promotion of goods and services to the target audience.
It is involved with certain activities like market research, setting up distribution channels and so
on. There are various types of marketing like social, direct, service and so on. Marketing is
significant for a business organisation because it allows in maintaining long term relationship
with all consumers. In terms of sales development, it refers to a process that mainly focus on
primary stages of the sales cycle (Khamrakulovna, Khojimamatovich and Nasridinovna, 2021).
It is engaged with customer research, lead qualification and many more. it is an organisation that
sits between both marketing and sales functions of a business . It is mainly considered as a new
way of doing sales and attracting large number of consumers. When a company expands their
product, they need to set up a new global marketing strategy by using different ways like
licensing, acquisition, franchising and so on. The below report is based on Irwin bakery in
Brazil. It is a plant bakery and was founded in the year 1912. The report includes Pestle
analysis, opportunities, implications, development of product and certain challenges that are
faced by an organisation.
MAIN BODY
Business environment audit
Environmental auditing is defined as the reviews of company operations to determine
conformation with environmental regulations. It plays a crucial role in the level of sustainability.
It keeps all organisations accountable by analysing their practices (Rosokhata and et.al, 2021). It
also provides relevant information regarding threats and opportunities which could create an
impact on all strategic decisions like product development, resource allocation and so on.
Aspects of business environment in context with potential global market
In context with Irwins bakery, there are certain factors which affects the small business
organisation in different ways. As per the potential global market, it is important for a company
to identify and determine the factors like business structure, economic conditions and lead to the
development of new products. The Irwins bakery developed a new product which was Soda
breads to do expansion in Brazil. In relation with all the aspects, it is being explained below: -

 Political factors: - It includes several elements like political instability and stability,
policies of government, labour law and so on. It is important for a small business
company to determine all the factors and adjust all kinds of policies. In terms of chosen
company and their development of a new product, the company always focused on the
fair trade practices. In context with these practices, it is mainly designed to help
producers to achieve sustainable relationships (Ali and Anwar, 2021). It creates an
impact on Irwins bakery in the form of training as well as support in order to enhance the
quality to all market trends. As Brazil is a developing country, so it is an effective
strategy to expand the product into a global market and attract new consumers as well as
existing ones. Due to the new policies of government, the stability can also get changed.
So, in context with Irwins bakery, they need to assure that their stability doesn't get
affected. In relation with the foreign policy challenges, there were many issues that
affected Brazil and one of that was corruption. It was the biggest obstacle in their
economic development. Economical factors: - There are two types of economic factors which are macro and
micro factors. In relation with micro economic factors, it refers to how the consumers in
the community spend their income as it creates an influence in the consumer buying
power. There are several types of micro economic factors like individual income, savings
and so on. On the other hand, macro economic factors are related to entire economic
situation . In a country, modifications in the economy can take place at any point of time
and in any situation. As per the case of development of new product which is Soda
breads, it is important for a company to identify all economy policies so that proper
analysation can be done (James, 2021). By the development of a specialised product,
company put up the prices high because Brazil was completely a high standard area and
people used to always take up luxury products. Being a small business organisation ,
believing on similar products and charging same prices would not be advantageous in
doing elaboration in the global market. Besides this, during the time of inflation it
becomes important that prices should be set up in such a way that all customers can
purchase the product. The central bank decreased the risk of currency devaluation but
also controlled inflation. In Brazil, domestic as well as foreign enterprises were treated in
a balanced manner. Besides this, the economy of Brazil has faced several objections like

poor infrastructure, difficult tax system and many more. So, in order to keep the revenue
up, companies might need to decrease their prices. There are certain implications that
takes place while developing a new marketing strategy for doing expansion. Each
consumer has different perspective towards spending their income as some of them spend
it almost each day but on the other hand, there are some people who don't spend their
revenue much (Ilmonen, 2021). On the basis of small business, one of the economic
factors which affects them in both positive and negative way is the level of employment.
If people are indulged into effective jobs then they don't have any problem in purchasing
an expensive product but if unemployment gets increasing at continuous level then it
becomes hard for them to spend their income on buying new goods. In context with
chosen organisation, they formulated Soda breads and decided to spread out it into Brazil.
So, on the basis of this they need to evolve a new marketing strategy and properly
evaluate both macro as well as micro factors. Social factors: - In context with these factors, it includes population, age, career attitudes
and many more. Through these factors, small businesses can ascertain how the level of
population could affect the supply and demand of goods and services. There are many
social challenges that affects Brazil. As billions of children lack effective education and
housing. Due to this, they work on the streets and are very much exposed to crimes. On
the other hand, while focusing on the trends, the people of Brazil are very modern and
loves to buy latest products. Through this, companies can also analyse what kind of
products people would like to purchase. Their are several types of trends that
continuously gets changed like cooperation, growth in emerging markets and many more
(Archison Duku and et.al, (2021). So, it is significant for Irwins bakery to identify all the
trends and according to that develop a new product (Lim, 2021). There were different
goods which business was producing like Potato bread, Buttermilk Muffins and many
more (Lv, Chen and Li, 2021). So, company decided to develop Soda bread because it
was effective for the people who are following yeast free diets. In Brazil, people are
becoming very conscious about health so it was good for the company to develop a
healthy product. The main target was the young generation people who are between the
age of 15-30. In the global market, it is significant for the business to determine all

different social and cultural norms like shared beliefs and values in order to attract
maximum number of customers. Technological factors: - It is in relation with new inventions and innovations which
create new chances in the market. The people of Brazil are great users of social media
and around 50% of them are engaged into online activities (Huang, 2021). They always
prefer to use technology to interact with other people but at the same point of time, there
are many people who are facing the issue of poor internet connectivity. In order to deal
with competitors, it is necessary for enterprises to replace the old technologies with new
ones. The company should evaluate about various ways to produce products and services
and communicating with all target markets. To do promotion of Soda breads, Irwins
bakery should do it on the website so that they can reach to large number of customers
and attract them in a better way. One of the technological factor which created a positive
impact on the company was the adoption of mobile technology as it gave many
opportunities to the company. Irwins bakery got an effective chance to standout from the
competitors and promote the new product through websites and social media platforms. Legal factors: - These elements are in context with health and safety laws, rights of
consumers as well as product safety. It is necessary for every company to have full
cognition about the legal system of the country so that all developments can be done in a
legitimate manner (Hoeft, 2021). Brazil has always encouraged foreign direct investment
but also put up restrictions in different sectors like financial institution, postal services
and so on. These factors can affect the business in both constructive and destructive way.
In context with Irwins bakery, they decided to establish Soda breads as it is a healthy
product for each consumer but before developing it they need to make sure that all legal
perspectives are being followed. There are many laws and regulations which could create
an impact on their expansion like labour regulations. It legitimate collective bargaining
and also labour benefits. In context with this, monthly wages which are being provided
cannot be reduced. There are many other laws also which can affect the business
expansion like foreign investment. As the business must register with Brazilian central
bank and if the investment is done in the form of capital markets, then the registration
should be done with securities commission. While doing expansion, all laws should be
followed so that no consumer feels unsafe in purchasing that specific product (Smith,

2021).In developing a new market strategy, legal factors are relevant because on the basis
of that only proper business mind-set can be formed. In accordance with Brazil, there is
high level security so it becomes very important for a company to have full knowledge
about all the laws and after that only develop a new product. The business expansion can
also be affected by intellectual property rights as it protects all trade secrets and the
trademark of company.
 Environmental factors: - It is in context with contrasting factors like limited natural
resources, waste disposal and certain recycling products also. As per present scenario,
each consumer wants to acquire only environment-friendly products and from the reliable
resources. In Brazil, it faced several challenges like air pollution, oil spills, land
degradation and many more. So, country took an initiative for producing environment
friendly goods only so that they can deal with all the challenges. The new product of
Irwins bakery, which was Soda bread was considered as the most healthiest and
environment friendly product (Leeman, 2021). In Brazil, almost all the consumers prefer
those products which don't create any harm to the environment. In terms of developing a
new market strategy and expanding the product in whole country, the company need to
determine all such factors so that their potential level gets increased (Lara Bartilotti
Picanco, 2018).
Development of global marketing strategy
The main focus of global marketing strategies is always on three elements which are
product, pricing and service. In context with Irwins bakery, the company is planning to expand
its product into their existing country which is Brazil (Lahiri, Dasgupta and Tapasvi, 2021). By
developing global strategies, the business will get different opportunities to do expansion.
Almost all the individuals prefer healthy products so it was a great strategy for Irwins bakery to
develop Soda breads. The global market strategy will also enable small business to do
international expansion.
Overview of competitive landscape for the offering which are being developed in the country
Competitive landscape is described as a business analysis method that help direct as well
as indirect competitors to comprehend their mission, strengths, weaknesses and so on. Through
this, companies can easily analyse who are the main competitors, what kind of products they are

offering and their certain strengths as well as weaknesses. In relation with Irwins bakery, it is
further explained below: -
 In Brazil, there were many small business organisations that were the main rivals of
selected company and it was creating a consequence on their new establishments. Every
business creates some new products in order to expand in active country (Helten and
et.al, 2021). There were different stores of the company like Bella Paulista so on. So, by
establishing Soda breads, company made sure that other business organizations are not
dealing in such product.
 The competitors are providing products like handmade chocolates, cakes and so on. So, it
is advantageous for them to develop a new healthy product because almost all the
consumers in Brazil are becoming health conscious. It is important for a business
organisation to properly ascertain the competitive environment in order to achieve
success.
 There are many strengths and weaknesses of competitors. The main strength of the
challengers of Irwin bakery is that they are offering the top-quality products at an
inexpensive price and were having a dominant position in the allocated country. On the
other hand, the biggest weakness is that they are not offering any unique product (Xu and
Gao, 2021). So, on the basis of this, Irwins bakery decided to implement a new product
which is Soda breads and expanded into Brazil through different marketing strategies.
Development and designing of international marketing strategy
A business organisation uses different international market strategies like licensing,
franchising, exporting and many more. As company decided to expand their product into Brazil ,
they made different pricing decisions, new promotional techniques, distribution choices in order
to develop a strong presence in the marketplace. It is further explained below: - Product: - Irwins bakery formulated a new product which is Soda breads in Brazil. The
main intention behind this evolution was to target those consumers who request for
healthy products only. There were several other bakery goods which were produced by
the company but in order to do enlargement, consumer development was necessary for
the organisation. To increase profitability, it is important for a company to establish
different products.

 Pricing decisions: - In context with the pricing decisions of allocated company, they used
the method of competitive pricing strategy (Ali and Anwar, 2021). The company set up
the cost of their new product on the basis of what competitors are charging and at the
same point of time. Promotional efforts: - To attract consumers, it is effective to use different techniques of
promotion. Irwins bakery decided to modify a new internet site on which entire content
about the product is given. Being a small business organisation, they cannot make much
investment in implementing hoardings. So they decided to use the way of social media as
it is more advantageous for them because maximum number of consumers remain active
on social media sites.
 Product distribution: - The company used the method of intensive distribution because
they wanted to expand their product in entire Brazil. It is an efficient international
marketing strategy for their company because in order to reach large number of
consumers, the product distribution should be at large scale. Besides this, it also creates
brand awareness and lead to enhancement of sales.
 To develop a new product into existing country, small businesses face several challenges.
(Evers and Andersson, 2021). In context with the selected company, it also faced many
challenges and difficulties by doing expansion in the global market. The main challenge
was associated with maintaining quality relationships with all the consumers and at the
same point of time preserving good reputation in the market. In context with developing
Soda breads, the company might face difficulty in maintaining and managing customer
relationships. There are many risks and compliance issues because there is risk in
developing a globally as whether it could built up the reputation of company in a positive
way or not.
Justification of decisions and choices with reference to both pestle analysis and international
market strategy
In context with international market strategy, it is justified that in terms of distributing
products, the strategy of intensive distribution is effective. The reason behind this is that to
attract maximum customers, brand awareness is important and it can be easily done with
intensive strategy (Popović and Avramović, 2021). It is a relevant decision for them because it
not only leads to product awareness but also generates more revenue. On the other hand, in terms

of pestle analysis, producing environment friendly products was a relevant decision because it
improves health of people and also needs low maintenance. It was a beneficial choice as public
health was being preserved.
CONCLUSION
From the above report it has been concluded that there are several factors like political,
social, technological which creates an impact on the business organisation in both positive and
negative way. By analysing political factors, business used the way of fair trade practices as it
help them in developing sustainable relationships. The main economic factor which affected the
company was employment as on the basis of that only the prices were being set up. It is also
determined that the government of Brazil always supported companies by providing them loans
and resources. Besides this, intensive distribution is effective as it help in developing brand
awareness effectively and properly.

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