Strategic Marketing Report: Jones Bootmaker's Australian Expansion

This report provides a comprehensive strategic marketing analysis for Jones Bootmaker, focusing on its potential expansion into the Australian market. The executive summary highlights the importance of effective marketing processes. The introduction emphasizes the significance of assessing marketing operations for business success. The report includes a PESTLE analysis of Australia, evaluating political, economic, social, technological, environmental, and legal factors to determine the country's suitability for investment. It explores various market entry options, such as finding partners and agents, indirect export, licensing, franchising, contracting, and manufacturing abroad. The report also discusses market segmentation using the STP approach to enhance the quality of products and services and improve the organization's performance. The analysis incorporates Porter's Five Forces model, which is not explicitly detailed in the provided content but is mentioned as being taken into consideration. Overall, the report aims to provide a strategic framework for Jones Bootmaker's market entry and expansion in Australia.

STRATEGIC MARKETING

Executive summary
The proper and effective placing of the business operations and activities is based on the
effective marketing process. Thus, the marketing or promotional activities operations are
required to be taken in consideration by the firm. The pestel, porter 5 force and market
segmentation approaches will prove out to be beneficial and effective for the proper management
of business actives in a suitable way.

INTRODUCTION
The proper assessment of the marketing operations is very important and thus requires to be
taken in consideration by an organisation that will help the business enterprise to carry out
the business activities in much suitable way. The placing of the high quality marketing or
promotional activities will help the firm to enhance the quality of products and services and
thus will improve the quality of business activities and operations in much effective way.
For the current report, Jones Bootmaker is chosen. It is a UK based footwear firm.
The report will cover the importance of marketing environment with the proper Pestel
analysis. Also, the market entry and segmentation process is been evaluated that will impact
the operations and action plans of market penetration is been carried out in much effective
and much effective and significant manner. Apart from this, the porter 5 force model is
taken in the consideration by the selected footwear enterprise.
Conducting PESTLE Analysis of Australia as a country to expand Jones Bootmaker
Political (P)-
Australia would be the suitable country for Jones Bootmaker to invest and expand its
business because of the following reasons:
1. Corruption levels of Australia are least as compared to other countries including UK, US,
Canada and other regional countries because of its perfect system of checks and balances,
prominent judicial and law enforcement system.
2. The skilled and well-educated workforce, a stable political and business environment is
most suitable for the Jones Bootmaker company which will provide it a sophisticated
market and the strong environment that will drive innovation and technology to lead and
expand its operations effectively (Islam, Al Mamun and Amanullah, 2017).
3. The company will also benefit from Australia’s transparent and effective government
system to grow progressively. The government is highly responsive and vigilant in
responding to the economic challenges and policy direction.
Economical (E)-
The company will benefit from the Australia’s capital growth in a far better way as the
investment opportunity here multiplies over the period. The company will receive many
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excellent returns on the invested property or land. The company can purchase the property with
minimum money-down payment and selling it prior to completion will generate good profits.
The firm can benefit from Australia’s currency exchange as rates against euros, dollars
and sterling are very appreciative which can earn vast amounts of money in the exchange
transactions against the Australian dollar.
The cost of living and quality of life is very suitable in cities of Australia like Melbourne,
Adelaide, Brisbane and Perth which will benefit the firm in turn (Edmunds, Donovan and
Reynolds, 2018).
Australia has a high level of economic stability and the company will benefit from its low
inflation rate, rising employment level, strong GDP growth, consistent interest rates, favorable
exchanges rates, etc.
The organization can avail repayment mortgages to purchase property in Australia for a period of
between 5 and 30 years. Interest only mortgages are also on an offer for 5 or 10 year periods.
Social (S)-
The changes in social trends have a great impact on the demand for a company’s product or
service. There are many factors and symbols that judge the people from different class and
castes.
1. Class and Castes: The upper class can be acknowledged by expensive clothes, luxurious
motor vehicles and exclusive homes (Fisher, 2018). Middle class people may hide their
identity by fashion, choice or participation in certain events of culture. Few other factors
to judge their class are their type of speech, consumption patterns, dressing styles,
participation in certain sports, etc.
2. Higher Education: People here are more interested in providing their children higher
education. Tertiary education is more prevalent and is undertaken in two forms i.e
universities and institutions of technical and further education (TAFE).
Hence, the company can accordingly target the people of different class and castes and
with specific educated people to sell their products and services that will suit those best
which will eventually be the strongest points for the market growth.
Technological (T)-
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Australia has an infrastructure that is powerful and ready for business that will benefit the
firm on a larger scale.
 Nearly 93 percent of the businesses in Australia have access to the internet which is a
strong point for the organization.
 The National Broadband Network (NBL) project in Australia is one of the largest
broadband networks in the world.
 The leading technology of Australia will increase the opportunities for innovation and
design; improve the already existing establishments of the firm, which will effectively
increase the quality of goods and services.
 Australia will be a leading market for the organization in terms of importing and
exporting goods because of its excellence in the field of technology growth.
 The country also ranks the highest in terms of the research and development field which
attracts most of the organizations to invest and excel their market growth rate.
Environmental (E)-
The environmental factors like weather and climate change also play a major role in the
benefit of a firm. The industries like farming, tourism and insurance are majorly affected by the
changes in temperature (Islam and Mamun, 2017). The major climate change which occurs due
to global warming and the ways to be aware of the environmental changes are some of the
factors and issues that a firm needs to consider.
The need to protect the environment is being diverted to make use of various
environmental friendly products and processes that is causing a change in the demand patterns of
products and services. The strongest point out of using environmental friendly practices is that it
is creating good opportunities for the firm to invest in Australia.
Water is a scarce resource in Australia and is a major concern for the firm to invest also.
The water concern is increased due to the salinity in the Murray Valley, caused by diverting
water for irrigation and rise in saline water tables because of excessive land clearing for dry-land
farming. The other concern is soil erosion which should also be undertaken by the Jones
Bootmaker company to avoid future problems before investing.
Legal (L)-
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The recent laws that will affect the firm’s environment are age discrimination, disability
discrimination legislation, minimum wage requirement and the need for the firm to recycle.
There are no contractual issues in Australia. The company need not have any formal document in
writing and signed to be legally bound (Darabpour and et.al., 2018). Few of the requirements for
a contract are offer and acceptance, consideration, purpose of legal relations and certainty of
terms. A contract can be analyzed via emails or discussed verbally, etc. There are strict
regulations for terrorist activities which includes a law that governs criminal offence to hold
assets that are owned by terrorist organizations, or make assets available to them and are
punishable by up to five years of imprisonment.
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Market Entry Option
Market entry option is the long term goal and more challenging performance in order to
beet the organization result. It affect the long term growth in order to meet out the business
expansion strategies (Cain, Moore and Haran, 2015). Johns Bookmaker needs to adopt one of the
market entry strategy in order to develop their market into new country or place to make the best
outcome results and new marketing functional activities.
Findings Partners and Agents
New to market business must address issues of sales channels, distribution in order to
meet out the goals and new developing target market channel. This is the first market entry
option that, affect the new developing goals. Finding partners and agents is the method in which
company make partner or find agent who can help Johnes Boot maker to easily sell their product
or services into the new country. In this kind of strategy, the chosen business can relate their
functions and develop more effective advantages at workplace. As a result, it assists to work with
different people in the business environment (Zhao, Zuo and Zillante, 2016). Finding partners
and agents can be ascertained to focus on the goals and objectives that can be accomplish in
positive manner.
Indirect Export
It is the another function to develop the new managing and new developing growth.
Indirect sell is the best option to develop the new marketing performance in order to meet out the
best company output results (De Villa and Lawton, 2015). Indirect export for the chosen business
will be successfully established to focus on the business development. It assists to focus on
maintain creativity which would be successfully establish relationship with several people.
Licensing
Another less risky entry modes is licensing. Here, the license. is the another option to
develop the company market into the new country. Here the license will grant an organization in
the foreign market a license to produce the product which they use the brand name etc. With the
help of licensing strategy that can be establish to attain overall goals and objectives in effective
manner. With this regard, the chosen business need to take license to operate in new areas so that
they will able to communicate several benefits at workplace easily (Lewis, 2017).
Franchising
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Franchising is the another option to expand the business into new market with great lead.
This is the option where the organization puts together a package of the successful ingredients
that made them a success in their home market and then franchise this package to overseas
investors (Toro-Jarrín, Ponce-Jaramillo and Güemes-Castorena, 2016).
Contracting
it is the another method to enter into the new market, which is the again very important
and necessary to make the best efforts towards the new goals. This become the new developing
ares. Contracting is the process to develop market overseas which involves the exchange of idea
is contracting. In this process company will contract out the production of the product to another
company to produce and services on their behalf. This method helps to protecting or saves the
organization exporting to the other market (Zhao, Zuo and Zillante, 2016).
Manufacturing Abroad
The ultimate decision to sell abroad is the decision to establish a manufacturing unit into
the another country. This option taking high cost and price to establish the long lasting effects in
order to meet out the goals and new managing successful growth (Toro-Jarrín, Ponce-Jaramillo
and Güemes-Castorena, 2016).
All these measures that are been taken in the consideration by the firm, will help the proper
and effective and growth of the organisation in much effective and significant manner. Besides
this it will help in the proper revenue generation by the firm, improving its market performance
to a greater level and meeting the customer demand of the organisation.
Market Segmentation
The effective market segmentation process is been carried out within the organisation that
will improve the quality of products and services and thus will support a good rise in the overall
productivity of the organisation (De Mooij, 2018.). The meeting of the target operations and
placing of the proper strategical operations within the firm will help in enhancing the
performance of the organisation in much suitable way. In order to have a good market
segmentation or partition, the STP approach is been followed that will assist the selected
enterprise to improve their performance within a market. The STP approach can be further
classified as follows:
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 Market Segmentation: the segmentation process will involve the effective classification
of the business enterprise marketing operations on the basis of the environmental
conditions that are been taken in the consideration by an organisation and thus will
improve the quality of products and services that are been chosen the firm. Also, it will
help the selected business entity to develop the marketing or promotional strategies
according to the market segment and develop high quality products to cater their buyers
needs and demands in much suitable and precise way.
 Market Targeting: A proper and effective targeting of the market will support the
proper engagement of the business activities and improving the core compatibility of the
marketing of promotional department of the organisation in much suitable way. The
proper targeting approach for selecting the appropriate customer base by the organisation
will enhance and evolve its market share and thus will aid in proper management of
business operations of selected firm (Sargeant and MACQUILLIN, 2016). The selection
of targeted customer base will assist the enterprise to draft a proper strategy and thus will
improve the quality of goods and products manufactured by the business entity.
For the present market expansion approach, the selected entity has selected young
females and kids are been selected that will help the firm to improve their overall performance
and thus will also increase the quality of business operations which are taken in consideration by
the selected footwear firm to meet the operational requirements of the business entity. As this
potential customer base which is been selected is the largest buyer of the footwear's, this will
help the organisation to enhance the quality of their product portfolio and develop a good and
effective market promotional and entry strategy.
Porter five force strategy
In this kind of strategy, competitive results can be successfully analysed that assists to
accomplish desired level of results at workplace. With this consideration, it can be stated that
Jones Boot Maker competing with several businesses that consider in retail, boots, body-care,
etc. In this consideration, it can be stated that in the large supermarket there are several activities
has been successfully developed to considered health and beauty retailer (Mathooko and Ogutu,
2015). Therefore, following elements can be included in porter five forces strategy that assists to
accomplish more desired level of results:
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Threat of new entrants (High): Threat of new entrants in UK consider is high because
there are several businesses continuously work in this industry so that it reduce chosen business
effectiveness as well. In order to operate in the chosen sector less amount and barriers occurs so
that it intended and current members have little power to react for it. Jones Boot Maker not
consider their operations on low cost so that it create negative impact on threat of new entrants.
With limited power of new entrants, there is wide threat to the chosen business to do their
functions (Toro-Jarrín, Ponce-Jaramillo and Güemes-Castorena, 2016).
Bargaining power of supplier (Low): Bargaining power of suppliers is very low because
in the nation there are different suppliers exists that can supply raw material to focus on the
desire results and outcomes. In this consideration, it can be stated that well establish relationship
and exclusive deals can rise steeply so that there is no high power to supplier which can create
impact on Jones Boot Maker. Perhaps it is one of the bigger barrier to the market so that it is
quite expensive and difficult to acquire a good location especially when location is popular at
retail park (Indiatsy, Mwangi and George, 2014).
Bargaining power of customers (High): In the market, there is high bargaining power
because customers have several options to buy products and services. As a result, it creates
impact on the functions and operations to develop effective results at workplace. With this
regard, it can be stated that there is low or no switching cost so that Jones Boot Maker need to
implement certain new and innovative functions so that they can easily develop effective
functions. In a retail industry, the chosen business deals with end customer which consider
integration. On the basis of customer bargaining power, it can be stated that the chosen business
need to focus on the relevant work which need to focus on the no integration activity (Yunna and
Yisheng, 2014).
Threat of substitute (High): Threat of substitute to the industry is very high. There are
lots of substitutes available such as large supermarket. This is because, different kinds of larger
supermarket which can be easily provides enough to offer to target customers. There are full
range of products featured in Jones Boot Maker so that they can easily switch towards the new
market. Furthermore, customers again practically applied their functions and operations in
particular situation due to the buying power of large supermarket. It can be successfully consider
in particular situation which need to focus on the target market and development (Zhao, Zuo and
Zillante, 2016).
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Competitive rivalry (High): There are different kinds of competitive rivalry in the market
so that Jones Boot Maker get affected. In the industry leader cost advantages fairly balanced
which need to be focused with consideration of low differentiation of offering and low switching
costs results in rivals having to try to compete in other ways such as price. The chosen industry
also look to take more market share which would be beneficial to grow and competing with
different businesses (Cain, Moore and Haran, 2015). Furthermore, it must be noted that there are
several barriers to exit in the industry so that old and established companies such as Jones Boot
Maker is unlikely and unwanted action to compete with other organisation.
CONCLUSION
From the above report, it can be concluded that strategic management consider important
role in success of every business because it includes several advantages and effectiveness to
develop more creativity at workplace. With this regard, more functioning also successfully
develop that need to be perform with market analysis. The industry is also looking to take more
market share from each other. Therefore, it can be noted that unwanted actions need to compete
with different businesses. Furthermore, it summarised about PESTLE analysis that consider
impact of different elements that can be consider to focus on maintaining effective information at
workplace. With the help of PESTLE analysis, impact of different factors can be successfully
applied that assists to increase market share and profitability. At last, Porter generic strategy has
been explained which assists to show competitive advantages at workplace in appropriate
manner. Therefore, it can be lead to focus on innovative functions that can establish relationship
to perform functions.
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