Strategic Marketing Report: NEXT CONSULTING's Dubai Expansion Plan

This report provides a strategic marketing analysis for NEXT CONSULTING's business expansion into the Dubai market. It begins with an executive summary and an introduction outlining the objectives. A PESTLE analysis examines the political, economic, social, technological, environmental, and legal factors influencing the business environment in Dubai. The report then explores various market entry options, including strategic alliances, foreign direct investment, and mergers and acquisitions, with a recommendation for the most suitable strategy. Market segmentation is discussed, focusing on demographic, psychographic, and geographic segmentation approaches. The report also addresses targeting criteria and emphasizes the importance of market segmentation in the marketing plan. The conclusion summarizes the key findings and recommendations, and the report includes a list of references.

Strategic Marketing

EXECUTIVE SUMMARY
The present report ascertained to gain knowledge regarding expansion of market for
developing results and performances in successful manner. In this context, report assist to frame
structure that determines web services for developing outcomes of NEXT CONSULTING. In
this aspect, report assist frame PESTLE analysis that make effective results in order to ascertain
knowledge regarding market factors that create impact on performances. Furthermore,
demographic segmentation is the best element on which the company can focus to expansion of
market. At last, porter generic strategy is determines which frame to develop results in successful
manner.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION ..........................................................................................................................4
PESTLE analysis.............................................................................................................................4
MARKET ENTRY OPTIONS........................................................................................................6
MARKET SEGMENTATION .......................................................................................................7
PORTER'S GENERIC STRATEGY ..............................................................................................9
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Qualitative decisions can be taken only when strategic planning is performed. Every
function of a company has to be planned and implemented in such a way that aim and objectives
are accomplished (Sok, O’Cass and Sok, 2013). This report on Strategic Marketing aims to
provide an insight regarding the strategic planning of business expansion to Dubai for NEXT
CONSULTING. The depiction of favourable factors and market has been produced through use
of analytical tools like PESTLE and market segmentation. Furthermore, the options suitable as a
mode of marketing will also be depicted with viable Porter's generic strategies.
PESTLE analysis
External environment of a business comprises six basic elements which influence the
decisions and strategies when operating in certain market. The NEXT CONSULTING is
planning a business expansion in London's growing markets. For supporting this strategic
marketing decision, PESTLE analysis has been performed. It includes evaluation of business
functioning as per political, economic, social, technological, environmental and legal factors
(Ramaseshan, Ishak and Rabbanee, 2013).
Political:
The tax and revenues which are levied over the company. In Dubai there are no political
parties, but still it plays an essential role in international politics. NEXT CONSULTING is
hosting web services in Dubai in which it has to follow all the rules and regulations of the
government which includes their tax and duty charges which affects the entire revenue system of
the organisation (Gürbüz, Albayrak and Alaybeyoğlu, 2014). Business environment of the
company is affected by the fiscal policy, trade tariffs etc. As Dubai is oil producing country, its
political factors cannot harm the performance of the organisation. Dubai government has made
flexible policies for local and outer population, it has attracted many companies to give their
services.
Economic:
Economic factor is very essential in evaluating the economy performance of NEXT
CONSULTING organisation. It helps in analysing the inflation rate, foreign exchange rates,
interest rates, economic growth rates etc. of the company which directly influences the
organisation products, price and services. NEXT CONSULTING is the largest hub of IT and

finance services. The company has faced the major downturn as a result of property bubble
which was caused due to financial crises. The company is also affected by foreign direct
investment rate of other companies (Schleimer, Coote and Riege, 2014).
Social:
Social factor are very essential in analysing the social environment of the market. It
analyses population analytic, cultural trends and demographics. This factor influence culture and
societal of an organisation. The control of a firm based on attitude of people, religion. Hospitality
help for society according their culture (Wirtz, Tuzovic and G. Kuppelwieser, 2014). NEXT
CONSULTING is successful due to effective utilisation of socio-cultural environmental factors.
Technological:
These factors involve innovation in technology which may affect the soft running
operations of NEXT CONSULTING. These factors include the technological awareness,
automation, R & D department of the company. As the company is hosting web services
therefore, it has to include new and latest technologies for better conduction of web services. The
technology and IT software of the company has showed the tremendous expansion of their
revenue. The technological awareness and equipments has made the work easy for the employees
as well as for the organisation (Sok, O’Cass and Sok, 2013).
Environmental:
Environmental factors includes all the factors which directly impact the surrounding
environment. NEXT CONSULTING has to take care the environmental factors like climate,
weather, pollution, availability of non-renewable resources so that all the services must be given
properly to the customers. These factors also includes health of customers, availability of energy
and climate change (Ramaseshan, Ishak and Rabbanee, 2013). The company has to take care of
all these environmental factors while expanding its business in Dubai.
Legal:
Legal factor include certain laws which influences the business environment. NEXT
CONSULTING has to follow all the laws and rules of the government for diversifying its
business in Dubai. As Dubai does not have political parties but it has made some rules and
regulation which every organisation has to follow in order to smooth functioning of their
business (Gürbüz, Albayrak and Alaybeyoğlu, 2014). There are federal laws which the company
has to follow so that it can increase its productivity in the market.

MARKET ENTRY OPTIONS
There are variety of market entry modes through business can easily enter in new market
of Dubai. In international market, these strategies assist to set up venture in successful manner.
Further, there are several factors also impacted to these entry modes such as choice, tariff rates
and degree of adoption, etc. that is required to make product and services (Wirtz, Tuzovic and G.
Kuppelwieser, 2014). Following strategies can be used as the main entry options through NEXT
CONSULTING offers web hosting services in Dubai:
Strategic alliances: Direct exporting is the method in which NEXT CONSULTING
demonstrate their services in Dubai market with using own resources. When the business
establish their own sales program, they have to turn into further market with the help of agents.
Agents and distributors are very closely that represent interest regarding selling and providing
services in market (Schleimer, Coote and Riege, 2014). They are face to the chosen business that
is very important to choice of agents and distributors to handle business outcomes and results. In
addition to this, strategic alliances determines previously that in which area and market, the firm
should carry their operations and functions in successful manner. With adopting entry mode such
as established enterprise in Dubai, different types of costs need to be ascertained that includes
transport costs, trade barriers, political risks, economic risks and competencies, etc. In attractive
market of Dubai, time need to set to enter in new place (Wirtz, Tuzovic and G. Kuppelwieser,
2014). This strategy has several advantages such as ability to pre-empt rivals and assess the
demand through established strong name. It also determines switching cost that assist to tie with
customers regarding products and services that are difficult to maintain results.
Foreign direct investment (FDI): FDI is the relatively arrangement of market entry
mode through NEXT CONSULTING can make investment in right way to enhance their
businesses in new areas. It is very useful strategy in which purchaser has the large market share
to implemented new services. It is the useful strategy that assist to purchaser to make choice with
enhance productivity for effective results in the enterprise (Gürbüz, Albayrak and Alaybeyoğlu,
2014). This can be determines for marketing that is related to web services in organisation. With
the help of this method, in Dubai web services can be implemented in successful manner. In this
strategy, firm has advantages to deal with control degree of risk that is present in commitment of
resources which requires create return on investment. In this way, there are two types of entry
modes has been determines such as equity and non equity modes (Ramaseshan, Ishak and

Rabbanee, 2013). Non equity modes category includes to develop export and contractual
agreements for joint venture and wholly owned subsidiaries, etc. This strategy determines direct
ownership of facilities with the target country. It includes transfer of resources that includes
capital, technology and personnel. Direct investment may be determines in term of acquisitions
for an existing entity with establishment of new business (Sok, O’Cass and Sok, 2013).
Merger and acquisitions: This strategy is known as the expansion of strategy. In this
aspect, powerful driver is drawn on globalization. In foreign, there are many businesses prefer
this strategy to develop their functions and operations in successful manner. This strategy is
useful for NEXT CONSULTING to enhance their market power, acquisitions of technology,
optimum utilization of resources and minimization of risk elements (Wirtz, Tuzovic and G.
Kuppelwieser, 2014). The chosen enterprise selects foreign consultant company which is exists
in Dubai and merge themselves with them to enter in market. Alternative option is determines
with purchase of foreign company that is acquired ownership and control in effective manner. It
assists to provide immediate access to international web services facilities to create a network.
Main advantage of this strategy is less time consumer and quickly execute for gain high market
share, therefore, competition could be reduce that assist to enhance goodwill of the company in
market (Ramaseshan, Ishak and Rabbanee, 2013).
From the above entry modes, NEXT CONSULTING can use merger and acquisitions
strategy. This is because, it is very effective strategy which assist to grow outcomes and results
with less risk. Hence, the chosen enterprise has advantages to enhance their productivity with
undertake this option in successful manner. Hence, high market share could be gain that assist to
make right competition at workplace (Gürbüz, Albayrak and Alaybeyoğlu, 2014).
MARKET SEGMENTATION
Market segmentation is the oldest form in which consultant firms can determines their
functions and operations with taking customer population and their preferences (Schleimer,
Coote and Riege, 2014). It makes more wide competitive options that are available within the
market to create segmentation which is become critical in marketing plan of NEXT
CONSULTING. With the help of three ways, customer wants could be classified. It creates
segmentation first which assist to prefer services that are needed in market (Definition of
'Segmentation, 2017). According to customers requirement, segmentation could be ascertained
that decide to make products and services in market. Web services are design in the business to

covers several aspects that make positive impact on unique features (Miles, Verreynne and Luke,
2014).
Segmentation
Demographic segmentation: In the segmentation of market, there is geographic type is
determines to use for classifying market in different areas. Marketer can be develops similar
strategies for each individual that are living at different places. This strategy highly influence to
the customers to demonstrate offers prices and promotion in different perspective of market. In
order to make significant results, better understanding need to be develops that support to
marketers in accomplishment of marketing objectives (Martin and Isozaki, 2013). Segmentation
assist to make strange with creating interest for influences marketing with engagement of
practices. In order to target the people, NEXT CONSULTING needed to evaluate potential and
commercial attractiveness for each segmentation.
Psycho graphic segmentation: This segmentation is based on lifestyle of particular
individual. Attitude, interest, values and many other activities assist to classify the people in
various categories (Sok, O’Cass and Sok, 2013). In this aspect, small groups has been created as
per the basis of above elements that assist to grow performances in successful manner.
Geographic segmentation: This segmentation is determines as the classification of market
in different geographical areas. Marketers determines similar strategies for each individual that
ascertain at different workplaces (Hastings and Domegan, 2013).
Targeting
It includes criteria size in which market must be drown in large enough that assist to
justify segmenting. When the market is small, target would be develops in successful aspect.
There are differences also measures that exist in two different segmentations. Money is another
crucial aspect which shows anticipated profits that must be exceed with cost of additional
marketing plans and many other changes. Accessible also need to be gain for segment the whole
team to receives marketing messages. Web services of the chosen company determines for
creating several benefits. Hence, it is beneficial to attain growth and objectives in the business
environment (Ramaseshan, Ishak and Rabbanee, 2013).
Targeting is the most useful element that assist to make profitable results with covers
more segments. Choice of NEXT CONSULTING is depends on serving outcomes of the
business that is difficult to understand customer demand. Thus, large segmentation is determines

as per the expectations that is growing to attract competition (Wirtz, Tuzovic and G.
Kuppelwieser, 2014).
Positioning maps assist to create effective STP process for NEXT CONSULTING. In this
aspect, web services could be provided on low cost so that it would be beneficial to attain overall
growth in successful manner (Miles and et.al., 2016). Hence, the organisation could develop their
performances as per the business requirement. The selected business is the largest way to
measure their performances and outcomes. Hence, profitability could be determines with
developing results. It creates different range of messages for various group that assist to make
effective results. There are varied of customers group ascertained at workplace that provides
several services to compete with different customers (Gürbüz, Albayrak and Alaybeyoğlu, 2014).
Market segmentation is determines as the process for dividing the market of potential
customers into several groups as per same characteristics. Segment is mainly created with
composed of consumers response through determines marketing strategies to share traits with
similar interest, needs and location. On the basis of income group, market is divide for
consumers into the smaller segmentations. In this aspect, high income group, mid income group
and low income group is developing in NEXT CONSULTING. In the organisation, there is high
income group is determining that provides different range of web services and strategies that
assist to compare target the lower income group of people (Mazzarol, 2015).
PORTER'S GENERIC STRATEGY
The key strategic challenges for most of the organization to find a way in order to take
competitive advantages in the present market. The generic strategy is based on taking
advantages of market by adopting strategics that helps to make business more better. Under this
model there are two types of competitive strategics with scope of activities for which a firm
seeks to achieve them. There are mainly three types of generic strategics which includes cost
leadership, differentiation and focus strategy. In this way, the company could also attain
competitive advantages that are combined with developing scope of different activities in which
firm can seeks. It is also leads to make average performances that ascertain high growth of
business in three different strategies (Czinkota and Ronkainen, 2013).
For the NEXT CONSULTING, it helps to make selection of the correct strategies for the
company. Following are the porter's generic strategy.
Cost leadership

It refers to offer the low cost products to customers in the targeted market. Under this
approach, organization make sure that each type of products must be offer at the low prices. The
firm must be able to making offering low cost products to their customers as compare to their
rivals (Abdul-Talib and Abd-Razak, 2013). In the NEXT CONSULTING, need to make sure that
all types of services which offered by them need to be cost effective. The organization is London
based and moved to business in Dubai. So for that to gain competitive business environment they
need to offers low cost products. This strategy assist to enhance profits and revenue through
reducing cost. It also enhances market share with making changes in lower prices and ascertain
reasonable profits at each sales of product or services in NEXT CONSULTING. Cost leadership
involves cost in which industry could ascertain lower prices producers that are not so good so
that the company can choose the best element. In order to promote web services, high capital is
needed that assist to make effective results within the organisation in successful manner through
bring cost down (Babin and Zikmund, 2015).
Cost focus
The focus strategy is based on the charging prices lower than compare to the rivals.
Under this strategy organization make target to only those products which has few no
competitive advantages or where economics of scale are achievable with higher production
volume. Under this company offers those products which have narrow market segments and
offers product at lower costs. It assists to make successful operations that are based on
developing ideas and concentration to focus on particular areas of the businesses. Hence,
successful outcomes could be ascertained at workplaces (Barnes and Hunt, 2013).
Differentiation focus
It refers to make target to specific products or services at low prices. Under this market
segment organization make focus on develop unique products or services. According to the
generic model. Such type of strategy used organization when they are only few buyer in certain
segments. Under this strategy, organization target to only special area of the segments (Ots and
Nyilasy, 2015). This strategy assist to NEXT CONSULTING to focus on particular market area
so that they can make good understanding with dynamics nature and assess the needs of
customers easily. It also develops unique elements at low cost with well specified products for
the market.
Differentiation leadership

It refers to make offer differentiated goods and services that fulfil customer's needs with
the help of the sustainable competitive advantages. Under this approach organization is offers
different products at the high prices. The major benefits of this strategy is that it fulfil
requirement of customers in the particular market in order to make target to goods and services at
particular segments (Schleimer, Coote and Riege, 2014).
From the above analysis it is considered that, there are different types of generic
strategics which can be followed by NEXT. The company offering web hosting services in UK
and they want to expand their business from London and move to Dubai. For this, the best
strategy is differentiation leadership. For the company this is most suited strategy. Under this
organization offer unique products and services to their customers at the high prices. Dubai is
developed country and belongs to high income (Wirtz, Tuzovic and G. Kuppelwieser, 2014). So
NEXT CONSULTING can use differentiation leadership for generating more profits in their web
hosting services.
CONCLUSION
From the above report, it could be concluded that NEXT CONSULTING has the great
advantages to expand their business in Dubai market. In this aspect, report summarized different
elements that assist to gain knowledge regarding expansion of business in successful manner.
Furthermore, PESTLE analysis has been articulated that assist to identified different elements of
market that could create impact on functions and operations of chosen business, it includes,
political, social, technological, economical, legal and environmental elements. Moreover, it
discussed about market entry modes in which the best option is merger and acquisition that assist
to grow performances of the company for enhance productivity and outcomes. In addition to this,
porter generic strategy has been implemented through differentiation is the best element which
assist to grow effective results in successful manner.

REFERENCES
Books and Journals
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