Seminar 2: Marketing Strategies for Primark's Entry into India

This homework assignment examines Primark's strategic considerations for entering the Indian market. It applies marketing theories, such as Porter's generic strategies (cost leadership, differentiation, and focus), to assess Primark's competitive advantage. The assignment analyzes the likely impact of these strategies, the competitive environment, and the cultural dimensions of the Indian market, including the application of Hofstede's model. It identifies key issues for discussion within a seminar context, including regulatory compliance (Competition Act 2002) and the importance of understanding cultural diversity. The student provides a detailed analysis supported by academic and industry references, discussing how Primark can adapt its strategies to succeed in the Indian market, considering factors like employment, cultural sensitivity, and marketing approaches. The assignment emphasizes the need for Primark to adapt its strategies, consider cultural nuances, and navigate the competitive landscape to ensure a successful entry into the Indian market.

SHEET B – PRE-SEMINAR SHEET FOR SEMINAR 2 (TO BE COMPLETED BY
EVERY STUDENT BEFORE EACH SEMINAR). THIS FORM IS AVAILABLE ON
UCB ONLINE.
Your Name: Student ID:
Course :
Title of Topic: ……………………………………………… Date……………
Name of Tutor:…………………………………………………………………………
You are required to answer the following questions BEFORE the Seminar session and submit a copy to the tutor
at the start of the seminar

1. Identify your chosen organisation and host country (10 marks)
The chosen business organisation for discussion is Primark founded in UK that
want to set up in India. Primark is a retailer firm which is indulged in serving market with
high quality clothes. The major objective of company is to provide the best quality of
products at reasonable price. The mentioned company use to import its products from China,
Bangladesh and India. Thus, it creates employment opportunities for people of these
countries. Moreover, the company has its ethics that every customer will be treated equally
either he/she is rich or poor. The services of Primark is spread in various parts of world and
now ii is intending to expand it business in India.
2. Identify at least THREE key issues for discussion within this seminar (indicate
any references as author/year) (30 marks)
Primark is a retail organisation of UK that use to sell clothes of high quality at
reasonable rates in different parts of world. The country use to import its product through
different countries of China, Bangladesh and India (Oh and et.al., 2016). This relation has
given an opportunity to generate employment in these countries. With the plan of expansion
in India, mentioned company will have to concentrate on various conditions that can affect its
market are represented below:
 Company has its business relation with India in the form of importing products. With
the strategy of market development, company intends to expand its business in India
where different business environment exist than UK. India has opened its gate for
FDI, so it becomes easier for the organisation to enter and develop in new marketplace
(Mahmud, 2015).
 The competition factor will be very high for the new firm as different local and
international brands already exist in Indian market which can create various barriers
for Primark. The regulation that mentioned business will have to comply to maintain
fair competition is as follows:
a) Competition act 2002: This act was enacted to restrict any unfair competitive activities
which may affect the business environment in country (Fast, S. and Ling, M., 2011).
So, mentioned organisation has to comply this rule so that its all functions cannot
come under the violation of this act.
 Said business will have to formulate very strong strategies of marketing to create a
good image in the minds of customers (Nordin and et.al., 2011). The strong marketing
plans will assist in attracting large number of customers. For instance, company can
make strategy of giving facility of style experts who can give advices to customers
about dresses that will suit on client.
India is a country known for its cultural diversities. Hence, Primark should be aware
of its cultural dimensions so that it can set up business in well manner. This cultural diversity
can be understood by applying Hofstede's model of cultural dimensions. This model
demonstrate different aspects of culture like masculinity and femininity, individualism,
orientation and so on.
In India, males use to dominate over females which makes a cultural inequality
between both. This difference is seen in female's lifestyle, their dressing sense and on many
other things (Steurer, R. and Hametner, M., 2013). So quoted business should deal products in
India that can maintain culture. Besides this, here views of people are largely affected by their
communities and social groups. This makes their attitude of purchasing different. So in
nutshell, the difference in culture is wide in nation that induces the intent of buying. To be
successful, mentioned company will have to take care of all these cultures so as to maintain
organisation's existence.

3. Identify relevant marketing theories/models which relate to this topic area. (20 marks)
The Porter's model of generic strategies can be applied for setting up the business of
Primark in India (Fast and Ling, 2011). This model will help in making decision related to
achieving a competitive advantage for firm. The elaborated discussion of this model in
context of aforesaid venture is presented beneath:
Cost leadership strategy: Cited firm has always been successful in UK market by the help of
cost leadership strategy as it sell quality goods at most reasonable price (Fukuyama and et.al.,
2012). In India, quoted company can develop this strategy to attain more number of
customers by attracting them with strategy of providing clothes at cheaper rate then rival
firms.
 Differentiation focus: This strategy is applied by introducing any unique feature in the
products or services that makes company distinguishing from others (Bordean and
et.al., 2010). Mentioned organisation can apply this tactic by providing clothes of high
quality at very reasonable rate.
 Focussed strategy: In this plan, a focus is made in one aspect either cost strategy or
differentiation strategy. The aim behind this is to achieve more profits with focus on
smaller niche market to gain more profit. This strategy will help aforesaid business to
make profits by capturing smaller market portion.

4. What is the likely impact of your discussion points on your organization entering the
host market? (20 marks)
The discussion made above will help the organisation in identifying market where it can
perform better and can make more profits (Porter, 2011). It will be easy for company to do the
focus in a strategy that can provide better opportunities for successful establishment. Further,
the company will have a blueprint in the form of this discussion that will assist in making right
decision for firm's growth. Company will be able to spot the place where research should be
done to select a target customer as well (Steurer and Hametner, 2013).
5. Identify at least eight references in full for this topic. At least three of these references
must be from an academic source. (20 marks)
Bordean, O.N. and et.al., 2010. The use of Michael Porter's generic strategies in the Romanian
hotel industry.International Journal of Trade, Economics and Finance. 1(2), p.173.
Fast, S. and Ling, M., 2011. A Retail Expansion in the UK: A qualitative analysis of smaller
Scandinavian fashion companies' expansion options and market potentials in the UK
market.
Fukuyama, Y. and et.al., 2012. Novel vaccine development strategies for inducing mucosal
immunity. Expert review of vaccines. 11(3), pp.367-379.
Mahmud, H., 2015. Competitors analysis and financial analysis.
Nordin, F. and et.al., 2011. The risks of providing services: Differential risk effects of the
service-development strategies of customisation, bundling, and range. Journal of Service
Management. 22(3), pp.390-408.
Oh, S. and et.al., 2016. Development Direction Research Of Korean Lifestyle Brands Through
Analysis For Global Lifestyle Brands-Focused On The Trend Analysis. The International
Business & Economics Research Journal (Online) 15(2), p.41.
Porter, M.E., 2011. Competitive advantage of nations: creating and sustaining superior
performance. Simon and Schuster.
Steurer, R. and Hametner, M., 2013. Objectives and indicators in sustainable development
strategies: similarities and variances across Europe.Sustainable Development. 21(4),
pp.224-241.