Developing International Marketing Strategy for Lylies in Bangladesh

This report evaluates the international marketing strategy for Lylies, a sustainable jewelry company, as it considers expanding into Bangladesh. It includes a PESTEL analysis to assess the political, economic, social, technological, environmental, and legal factors influencing the market. The report identifies opportunities such as Bangladesh's improving diplomatic ties, low labor costs, a young population, growing IT sector, and focus on waste management. It also provides an overview of the competitive landscape using Porter's Five Forces, highlighting threats from new entrants, bargaining power of buyers and suppliers, substitute goods, and competitive rivalry. The analysis informs the development of international marketing strategies tailored to the Bangladesh market, considering product modification and promotional activities to establish a strong customer base and brand presence. The report emphasizes the importance of leveraging Bangladesh's natural resources and technological advancements for sustainable production and online sales.

International Marketing
Evaluation & Strategy

Table of Contents
INTRODUCTION...........................................................................................................................3
Main Body.......................................................................................................................................3
Justifying the opportunity in the country for the product/service you will develop..............3
Overview of competitive landscape.......................................................................................6
International marketing strategies..........................................................................................8
CONCLUSION .............................................................................................................................11
REFERENCE.................................................................................................................................11

INTRODUCTION
International marketing is one of the most important aspect of a company to promote
their brand at international level. Here, companies analyse evaluation of different countries and
expand their business in those country which help them to gain more profit (Katsikeas, Leonidou
and Zeriti, 2019). PESTEL analysis is a marketing model which is done to analyse external
environment factors and how they impact upon a business. It is essential for a company to
analyse their PESTEL analysis of the country before expanding their business. Lylies is a
sustainable jewellery company which was founded in 1876. This company served sustainable
jewellery which means they made jewellery with their waste material and ecological which will
beneficial for their current generation as well as for their future generation. The following report
covers opportunity in the country for the product, overview of competitive landscape,
international marketing strategies and product modification and PESTEL analysis.
Main Body
Justifying the opportunity in the country for the product/service you will develop
It is very essential for a company to find a good marketing opportunities for their
business to grow well. In context of Lylies, they are planning to expand their business in
Bangladesh where they must grab effective opportunities for the growth of their business.
PESTEL analysis of Bangladesh-
Political factors-
Bangladesh is working on improving its diplomatic ties- Bangladesh become
independent nation in the year 1971 but they underwent a military takeover that lasted for almost
15 years. In the year 1990, military regime was refused by the nation and government took
charge for controling the nation. Hence, they took must time to declare their country as an
democratic country. This is the reason they grew with slow speed (Samiee and Chirapanda,
2019). Due to this, the companies establish in Bangladesh did not find any appropriate
opportunity for growth.
Trade with neighbouring countries- They are trying to build a good relationship with
their neighbouring countries so that they will expand their trading activities with these countries.

This will help their countries to expand their business by selling their products to other countries.
This is one of the biggest opportunity for Lylies company to manufacture their sustainable
jewellery and sell them to other countries to gain more profit. Hence, the good relationship of
Bangladesh with their neighbouring countries will help them to increase their sales and
production.
Economical factor-
GDP and impact of covid pandemic on economy- It was measured that Bangladesh is
growing their economical condition well by developing their GDP at appropriate speed every
year but due to covid pandemic they are seen in declining of their economy with 2% which
impact bad upon various businesses. Their government plan a budget for them to recover the loss
and boost their economy by various ways.
Employment rate and cost- Bangladesh is the nation where the cost of labour is low and
companies can hire appropriate skilled labours and employees at affordable cost for their
production activities (Hult and et. al., 2018). This is another best opportunity for Lylies company
to hire skilled and talented workforce for various kind of activities like marketing activities,
production activities and many others at low cost. This will further help them to manufacture
effective and qualitative jewellery which will liked by their targeted customers.
Social factors-
Facts about the Population- Bangladesh is having 2.11% of world's population and
39.4% are living in urban areas whereas rest of the population prefer to live in rural areas.
Secondly, their average age of population is 27 year old which means they are having good
amount of youth population. This will further help them to enhance their innovative activities
and actions to satisfy this group. The population also focuses to develop their customer
purchasing power and try to purchase those products which will help them to develop their
quality of life. This is opportunity for Lylies company to manufacture modern and attractive
jewellery for their youngsters and easy to make them understand the design and loyalty look.
Language and culture- The population of Bangladesh is able to communicate in various
languages like Urdu, Bangla, Hindi and English. This will help companies to attract more
customers on the basis of their diversity of language (Leonidou and et. al., 2018). Majority of
population in Bangladesh are Muslims hence, they follow all cultural and festivals of Muslims
and their beliefs and behaviour toward their older ones are respectful. This is also one of the best

opportunity for Lylies company because here they can promote their product in different
language which is used by their targeted customers. In case of packaging and labelling, they are
required to label in Bangla and other languages which are used by their customers to gain their
attention.
Technological factors-
South Asia’s IT Hub- Bangladesh is known as IT hub for the South Asia. They are
investing more on adopting those technology which will help their companies to manufacture
quality products (Kumar and et. al., 2021). Their one of the most popular company Data Soft is
currently operating in many countries including Finland, USA. England and many others. This
will help Lylies company to manufacture their jewellery designs with the help of advance
machines and tools. These machines and tools will help them to provide appropriate share of
their jewellery.
Greater use of Internet sources- Bangladesh is focusing more upon using the internet
sources and developing the habit of customers to prefer online shopping more. Their universities
and higher schooling focuses to develop a learning habit with more practical knowledge by using
good technological devices and tools. Their most of the IT employees are serving their skills at
worldwide level by working in multinational companies. Due to this they are adopting innovative
and new ideas for the growth of their country (Ferraris and et. al., 2019). This is another
opportunity for Lylies to expand their business because here they can sell their product through
online and make a large and strong customer base. They can also sale their jewellery to those
customers who are unable to travel long distance to reach at their stores and purchase their
products.
Legal factors-
Employment law at Bangladesh- According to this law every worker in Bangladesh
must work for 5 hours per shift and have minimum 30 minute break time. Employees can work
for 48 hours per week. In case of night shift, employees are must provided 24 hour break
between two shifts. It is also essential for every employer to pay the wages on time and must
focus on minimum wage pay which means they are not allowed to pay less than minimum wage
pay which is set by their law. This law will help Lylies company to maintain discipline in their
organisation and satisfy their employees more by focusing on their rights and a satisfied

employee will always perform well in the company to help it increasing their productivity and
profitability.
Child labour- According to Bangladesh law, no child below the age of 14 is allowed to
work at any factory (Tanasiichuk and et. al., 2019). In case above the age group of 14, children
are allowed to work as trainee and if they found medically fit for the work then only they are
allowed to work.
Environmental factor-
Waste management- This is one of the most important aspect of environmental factor in
Bangladesh where companies are focusing more on their waste management and try to reuse
their waste in such a way which will help them to gain profit. The main aim of Lylies company is
to produce sustainable jewellery. Hence, this factor will help them to achieve their aim by
managing waste in their organisation and make jewellery.
Natural resources- Bangladesh is the country which is known by their greener forests
and natural resources available. They are also rich in Flora and Fauna. Hence, companies are
having benefit to use their natural resources in their production process. This is another
opportunity for Lylies because they can gain those resources from Bangladesh only which will
help them to produce their products (McCalla, 2019). They are not required to import it with
other countries. On the other hand, the low cost of natural resources of Bangladesh will help
Lylies company to spend less on raw material and earn more.
Overview of competitive landscape
It is essential for every company to analyse their toughest competitors and their impact
upon a business for its growth. Competitors are having those strategies which attract more
customers toward their brand and products and one of the most effective strategy is reducing
prices of existing product as compared to their competitors. This will influence customers to
switch to that company which will provide them products in lower prices.
Porter five forces model is used to analyse available competition in market and what all
strategies will help a company to defend against their competitors. Porter five forces for Lylies
company are explained below-
Threat of new entrants- It consist of having threats by new companies on existing
company which enter in the market (Venaik and Midgley, 2019). In context of Lylies company
which is selling their sustainable jewellery to their targeted customers are having high risk from

this threat because when a new company enters the market then they will enter with effective
strategy like lower pricing strategy, guaranteed quality strategy and many others. Hence, it is
suggested to Lylies company to make strong strategies against these new entrants threat like
promoting their brand effectively and make strong customers base which are loyal toward the
company.
Bargaining power of buyers- It consist of analysing how customers behave toward
offered products and services by a company. In context of Lylies company, they are having good
number of customers. Secondly,they can gain more customers by reducing the prices of their
jewellery as compared to their competitors and provide them better services. Having good
customer relationship will also help company to attract more customers. Hence, for Lylies
company they can maintain good relationship with their customers by providing them effective
after services such as repairing services of their jewellery after sale. They are also suggested to
focus on the designs of their jewellery because most attractive factor of a jewellery company is
their designs, purity and prices.
Bargaining power of suppliers- It consist of behaviour of suppliers and their power
within the industry (Hagen, Zucchella and Ghauri, 2019). In context of Lylies company, they are
making jewellery by sustainable waste and using those material which did not produce harmful
gases in environment while it's processing. Hence, it is important for them to find effective
suppliers who will provide them good quality of raw material at low prices.
Threat of substitute goods- Substitute goods are those goods which are used in place of
each other. Hence, a company in market is having threat from another company who is their
competitors because they will sale similar products and services at low prices. Hence, it is
suggested to Lylies company that they will focus on their promotional activities and promote
their products more to aware their customers about their brand and quality they sale. Secondly,
they can also mention the difference between their brand products and their substitute products.
They must design a well developed logo for their Jewellery and make it copyright and trademark
so that no other company will copy it. This will help them to aware their customers about the
actual quality of their brand. Hence, this is how they can protect them self from their substitutes.
Competitive rivalry- This factor helps company to analyse their main competitors and
their strategies to compete in market (D’Souza and et. al., 2019). In context of Lylies company,
their competitors in Bangladesh are Amin Jewellers for Gold & Diamond, Diamond World,

Apan Jewellers and many others. These competitors of Lylies company is having specific
competitive strategies like they focus on their quality, shine of jewellery, prices and many others.
This can be defended by Lylies company by making good awareness to their customers that they
are having better procedure of making jewellery which are considered as effective for
environment. They are suggest to highlight that they are making sustainable jewellery of good
and attractive designs. Then they are required to promote their product well in market. They
must analyse their targeting market and set the prices according to their affordability.
International marketing strategies
It is essential for every company to focus on their international marketing strategies
which will help them to expand their business well. In context of Lylies company, they can
modify their product and make some changes in their product marketing strategies which are
mentioned below-
Product and modification to enter in new market- It is suggested that Lylies company
must focus on those traditional designs which are more popular in Bangladesh and which help to
attract more Bangladeshi like Shonar Mukut - The Crown, Tikli and Tiara, Kaan Bala and many
others. These are the most popular jewellery types in Bangladesh. Hence, in case Lylies
company will make these Jewellery by their sustainable procedure then they will gain more
customer attention and this will also help them to gain more customers. Hence, it is clear that the
company is required to invest more in their research and development department and conduct
marketing research that which jewellery is more preferred by Bangladesh population.
Pricing decisions- It is essential for every company to fix those pricing to their product
which help them to attract more customers (Takahashi and et. al., 2017). Fixing prices is depend
on covering all fixed and variable cost and all include profit margin for company. Hence, Lylies
company must analyse the value of their currency. Secondly, it is also essential for them to fix
prices according to their legal laws. Hence, in case they are found to enter Bangladesh for fraud
and illegal business then they will be punished by their government.
Managing source of funds- It is also essential for a company which is expanding to
other country to analyse the need of funds in their operations and manage them effectively. In
context of Lylies company, they can use the banking facilities of Bangladesh and use their loan
facilities.

Hiring employees- It is also essential for Lylies company to hire those employees who
are more familiar to Bangladesh environment and who knows the Bangla language which is their
local language. This will help them to maintain good relationship with their customers and help
them to communicate in their own language. Economic factor of Bangladesh will help them to
hire skilled and talented employees at low cost for their company (Turner and Lecoeuvre, 2017).
Employment rate of Bangladesh is high which help them to hire skilled and talented employees
which will help them to promote their brand and communicate with their customers in local
language well to make them understand about their products.
Hiring advance tools and machines- Here, technological factor of Bangladesh will help
them to manage effective and modern technology for the production of their goods. Bangladesh
is having good technology especially their IT sector is effective to solve any technological
problem as soon as possible. In context of Lylies company, they can adopt those technology
which will help them to produce qualitative jewellery and it also minimize the waste of raw
material. On the other hand, the youth of Bangladesh is shifting from traditional shopping toward
online shopping due to the increase in the use of internet. Hence, they can opt online procedure
of selling their products to their customers.
Managing raw material for designing jewellery- Raw material is one of the most
important requirement for a business to manage their production. In context of Lylies company,
they are benefited by the environmental factor of their nation where they can find any
requirement of natural resources easily (Eid, Abdelmoety and Agag, 2019). On the other hand,
Bangladesh is more focusing on sustainable procedure of producing product to conserve their
natural environment for present as well as for future use. Hence, the concept of Lylies company
of making jewellery with sustainable procedure will be understood by their government well and
their customers will also attracted toward such products.
Working environment of organisation- It is essential for every company to focus on the
safe and effective working environment of their organisation and provide safe and health kit to
their employees like gloves, helmet and many others to those workers who are working in
manufacturing department. On the other hand, the company can also provide health insurance to
their employees and follow all legal laws and regulations of their nation effectively.
Effective promotional efforts- It is also essential for every business to focus on their
promotional activities and promote their product as much as possible. They can gain profit in

case they adopt social media marketing for the promotion because it is depicted from social
factor of Bangladesh that their population is using social media platforms such as Instagram,
Facebook and few others to collect any information. Hence, they can share the images and
pictures of their Jewellery on social media to gain more attention of their customers. Secondly,
they are having 27 years of average age of their population which means they are having
youngsters. Hence, using catchy content and using more qualitative images by using graphic
designing will help the company to gain more attention of customers and aware more customers
in Bangladesh. They can also compare the effective quality of their product with their
competitor's product to analyse that they are serving better quality of product at affordable
prices.
Distribution choices- It is important for the company to decide that which distribution
channel is more effective for their company which will help them to increase their sales (Kumar
and et. al., 2020). They can have their own stores of Jewellery and they can also opt online
delivery of their products by selling their products especially through their official websites and
their mobile applications. They are suggested to focus on maintaining the quality of their
products while delivering their products online to their customer's doorstep. They can opt those
transportable facilities which will not damage the design and looks of their jewellery while
delivering it to their customers on online delivery.
Key challenges to global expansion for the SME-
High investment- It is essential for the company to invest high when they plan to expand
their business. In context of Lylies company, they are required to invest high when they plan and
execute to expand their business in Bangladesh. They need to spend upon research and
development department, they need to hire employees, establish new stores and many others. On
the other hand, SME are not having enough funds to manage all international activities
effectively. Hence, they are required to manage the source of funds appropriately.
Hiring new manpower- It is another biggest challenge for a company in international
marketing where they are required to find new manpower for their business which are having
appropriate skills and talents to manage their business effectively (Abosag and Brennan, 2017).
In context of Lylies company, they will hire new employees in case they expand their business in
Bangladesh. Hence, they are going to spend lot of time and efforts to hire their new employees
and train them well.

Legal factors- it is one of the another issue which is faced by Lylies company when they
expand their business to Bangladesh. Bangladesh is having different legal factors. They are
having different laws and regulations as compared to other countries. Hence, it is an challenge
for company to understand each law and regulations effectively and apply in existing business.
Language and cultural barrier- This is one of the biggest challenge in expanding
business internationally. The company which is expanding business in another country must
know the ways to tackle the issue related to language and their local culture. Hence, in context of
Lylies company, if they start their operations in Bangladesh then they must promote their
product in Bangla language so that their customers will get more attracted. This issue can be
mitigated by hiring local employees who can influence customers easily and communicate in
their local language.
Local competitors- Competitors are the another major issue for international expansion
(Talay and et. al., 2019). In context of Lylies, their competitors are more aware about the market
and existing environment of Bangladesh. Hence, they are having more stronger strategies than
Lylies company which can impact bad upon the growth of Lylies company in Bangladesh. Their
competitors are having better pricing strategies then Lylies, they are having better promotional
strategies and they are having better and long term customer relationship with their targeted
customers. Hence, Lylies can learn from their competitors and can make those strategies which
will help them to defend this challenge.
CONCLUSION
From the above information it is concluded that PESTEL analysis is used to determine external
factors of a business and how these factors can impact upon the working of that organisation.
Secondly, it is also essential for the company to analyse the marketing conditions of that country
where they plan to expand their business so that they will get to know that the conditions are
favourable or unfavourable for them. It is also concluded that hiring local employees who are
well are about the existing market, customers perception and many others will help the company
in their growth.

REFERENCE
Book and journal
Abosag, I. and Brennan, D.R., 2017. Understanding marketing innovativeness in Asia: a research
agenda. Asian business & management, 16(4), pp.212-225.
D’Souza, C. and et. al., 2019. Environmental management systems: an alternative marketing
strategy for sustainability. Journal of Strategic Marketing, 27(5), pp.417-434.
Eid, R., Abdelmoety, Z. and Agag, G., 2019. Antecedents and consequences of social media
marketing use: an empirical study of the UK exporting B2B SMEs. Journal of Business
& Industrial Marketing.
Ferraris, A. and et. al., 2019. Refining the relation between cause-related marketing and
consumers purchase intentions: a cross-country analysis. International Marketing
Review.
Hagen, B., Zucchella, A. and Ghauri, P.N., 2019. From fragile to agile: marketing as a key driver
of entrepreneurial internationalization. International Marketing Review.
Hult, G.T.M. and et. al., 2018. Addressing endogeneity in international marketing applications of
partial least squares structural equation modeling. Journal of International
Marketing, 26(3), pp.1-21.
Katsikeas, C., Leonidou, L. and Zeriti, A., 2019. Revisiting international marketing strategy in a
digital era: Opportunities, challenges, and research directions. International Marketing
Review.
Kumar, P. and et. al., 2020. Cause-related marketing and service innovation in emerging country
healthcare: Role of service flexibility and service climate. International Marketing
Review.
Kumar, S. and et. al., 2021. Past, present and future of bank marketing: a bibliometric analysis of
International Journal of Bank Marketing (1983–2020). International Journal of Bank
Marketing.
Leonidou, L.C. and et. al., 2018. International marketing research: A state-of-the-art review and
the way forward. Advances in global marketing, pp.3-33.
McCalla, A.F., 2019. Strategies in international agricultural marketing: Public vs. private
sector (pp. 209-238). Routledge.
Samiee, S. and Chirapanda, S., 2019. International marketing strategy in emerging-market
exporting firms. Journal of International Marketing, 27(1), pp.20-37.
Takahashi, A.R.W. and et. al., 2017. Dynamic capabilities, marketing capability and
organizational performance. BBR. Brazilian Business Review, 14, pp.466-478.
Talay, M.B. and et. al., 2019. Stock market reactions to new product launches in international
markets: The moderating role of culture. Journal of International Marketing, 27(4),
pp.81-98.
Tanasiichuk, A. and et. al., 2019. Influence of transformational economic processes on
marketing management by an international diversified conglomerate
enterprise. European journal of sustainable development, 8(3), pp.448-448.
Turner, J.R. and Lecoeuvre, L., 2017. Marketing by, for and of the project: project marketing by
three types of organizations. International Journal of Managing Projects in Business.
Venaik, S. and Midgley, D.F., 2019. Archetypes of marketing mix standardization-adaptation in
MNC subsidiaries: Fit and equifinality as complementary explanations of
performance. European Journal of Marketing.