Strategic Marketing Report: Bristol Cars' Expansion in Argentina - CW1

This report provides a detailed analysis of Bristol Cars Limited's strategic marketing plan for entering the Argentinian market with driverless cars. The executive summary highlights the importance of strategic marketing in achieving organizational goals, emphasizing the need for effective action plans. The main body of the report includes a PESTLE analysis of Argentina, identifying both opportunities and threats related to political, economic, social, technological, and legal factors. Various market entry modes, such as mergers and acquisitions, are explored to determine the best approach for the company. The report also delves into market segmentation and targeting strategies, as well as the application of Porter's generic strategies to gain a competitive advantage. The report concludes with a discussion of the implications of the analysis and recommendations for Bristol Cars Limited's expansion strategy in Argentina.

Individual
Management Report
CW1

EXECUTIVE SUMMARY
This is the report which mainly provides detail explanation about the meaning and
concept of strategic marketing. Along with this is the report consist of importance of strategic
marketing which leads towards the business operations in an effective manner. It is the
marketing strategy which assist in developing effective action plan which help in attaining
organisational goals and objectives positively. In this report, Bristol Cars Limited is chosen as
the base company which mainly deals in manufacturing in automotive sector. After examining
their current market profitability, company decides to launch “Driverless car” within the market
of Argentina. It is the report categorised into is various parts which includes an analyses of
micro environmental factor so that management team of the company will be able to identify
their threats and opportunities in Argentina. Apart from this, there are various entry options used
by managers of Bristol Cars Limited such as Joint venture, Merger & Acquisition and many
more. There is a section which includes market segmentation and targeting which is used by
Bristol Cars Limited so that they can provide there services and products at the market of
Argentina. At last different marketing strategies are included in this report which assist in
attaining competitive advantage at new marketplace.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION...........................................................................................................................4
MAIN BODY...................................................................................................................................4
PESTLE.......................................................................................................................................4
Market entry mode......................................................................................................................6
Market Segmentation..................................................................................................................7
Porter's generic strategy..............................................................................................................8
CONCLUSION................................................................................................................................9
REFERENCE.................................................................................................................................10

INTRODUCTION
Strategic marketing define as a set of various activities which is performed by
organisation in order to differentiate itself at the marketplace. With the assistance of this
company will be able to create value of the goods and services provided by them to their
customers. Along with this strategic marketing assist in examining the requirements and
demands of their target market so that they can make effective decisions which assist in
enhancing their success rate (Adelino, Schoar and Severino, 2012). In the present report, Bristol
Cars Limited is chosen as the base company which is a United Kingdom based automotive
vehicle company. They perform various business operations which is accompanying with
manufacturing & trading of luxury cars which is hand-built. Management team of Bristol Cars
Limited decides to expand their business functions by introducing “Driverless car” within the
market of Argentina. In this report discussion has been made on an analysis of various threats &
opportunities available at the marketplace of Argentina,. This is done with the help of PESTLE
analyses of the country. Apart from this, various entry modes are going to be examined in this
report which will assist them in different ways.
MAIN BODY
It has been examined that Bristol Cars Limited is a automotive company which is based
in UK and decides to do a business expansion so that they can grab various opportunities
available at the marketplace. For this, managers of the company chose Argentina as it is the
country which have wide range of scope in the sector of automotive. In the present context,
company wants to make business expansion with the help of new and innovative technology
which is Driverless cars. In such types of cars, driver just need to enter the destination and
provide command according to their requirements. In addition to this, it also includes charging
facility where driver need to charge it rather then filling the fuel in it. But it is also required for
the company to examine and analyse the macro environmental elements which highly affects the
business functions in both positive and negative manner. For this, managers of Bristol Cars
Limited use PESTLE framework (Ang, Benischke and Doh, 2015).
PESTLE
It is define as an effective framework which mainly focuses on all the external elements
which affects the business functions of an organisation. With the assistance of this, Bristol Cars

Limited will be able to identify different threats & opportunities available at the market place of
Argentina. All these factors must be consider while developing business policies and strategies to
perform their business functions. PESTLE analysis is conducted by the management team which
are as follows:
Political factor:- There are various types of variables included in political factor which is
associated with the governmental rules and regulations. Some of these factors includes labour
law, taxation policy, political stability or instability in the overseas market, trade restrictions,
environmental law and many more (Brenes, Montoya and Ciravegna, L., 2014). In context of
Argentina, it has been analysed that it is considered as one of the richest & wealthiest nation
within South America. Reason is that it has large number of mineral & agricultural resources.
Apart from this it has also been said that Government of Mauricio Macri contribute their share in
order to enhance the regulatory framework as well as to facilitate different business organisations
(Argentina. 2018). it is the action which create various types of opportunities for their
entrepreneurs & investors.
Opportunity Threat
Government of the country support new,
innovative as well as creative business
organisation, therefore they will support
Bristol Cars Limited in various ways. This as a
result act as an opportunity for the company as
they financially assist their innovation.
Government of Argentina focuses on
enhancing the regulatory structure so that they
can ensure that governmental intervention is
vary high in context of business creation. This
as a result develop various issues for Bristol
Cars Limited as it is necessary for them to take
permission from the government and for this
they need to hire effective and potential legal
advisor.
Economic factor:- It is the factor which includes economic growth pattern, inflation rate,
foreign exchange rate, interest rate and many more. All these variables have positive impact on
the performance of business functions. It is required for the company to examine their economic
factor before doing business expansions at international marketplace. In the context of present
report, economic system of Argentina is enhancing and improving on a continuous basis
(Brouthers, 2013). Government decides to improve their infrastructure so that they can attract

large number of investors towards their country. Along with this, automotive industry within
Argentina have very strong appearance reason behind this is that government of the country
motivate and encourage international companies to perform their business functions within any
hurdles.
Opportunity Threat
One of the biggest opportunity for Bristol
Cars Limited is that company is getting various
opportunities while they do business expansion
in Argentina. Reason behind this is that
infrastructure of the country is very high which
assist in attracting large number of customers
towards their organisation. Along with this, it
has also been said that company is providing
Driverless cars to their customers which needs
High-Tech technology which is very costly for
the company.
Apart from this, major threat which is
faced by Bristol Cars Limited is that there is
rise in the inflation rate of which is approx
26.9%. In order to overcome this situation,
Bristol Cars Limited use high quality material
which is required for performing their business
functions. It is the country which is rich in
resources assist in doing business operations in
a positive manner.
Social factors:- It includes dispositions and shared convictions of individuals which
incorporate variables like age conveyance, vocation frames of mind and so on. The number of
inhabitants in Argentina is persistently rising which is 43.6 million which results in expanding
joblessness rate that is around 8.467% of absolute work power (D. Banker Mashruwala and
Tripathy, 2014).
Opportunity Threat
One of the serious issue looked by
Argentina is that it have a maturing populace
that demonstrates to be an open door for
Bristol Cars Limited. As matured individuals
may confront issue while driving a vehicle.
Subsequently Driverless vehicle will help them
Significant danger that might be looked
by organization is consistently expanding
joblessness rate which has direct negative
effect upon per capita salary of a people live in
the public eye. As this will considered as risk
for Bristol vehicles and for their new creative

in this issue. result of driverless vehicle because of costly in
nature. One of the answer for defeat from the
risk is about thought of such innovations and
apparatuses which results in generally
decrement of operational expense.
Technological factor:- It incorporates elements like mechanical headways, development
of new innovation and so on that influences tasks of firm. With the improvement in economy of
Argentina the vehicle generation and its deal is relied upon to develop (De Villa, Rajwani and
Lawton, 2015). The legislature of Argentina is progressively engaged toward reinforcing the car
area and R&D limit by pulling in financial specialists from remote so as to improve the
foundation and mechanical offices of nation.
Opportunity Threat
The vehicle deal or creation is low from most
recent multi year, Bristol Cars Limited has a
chance to manage over market with its new
Driverless vehicle innovation. Since there is
less challenge present in showcase due in
delayed down of creation.
The possibility of Bristol Cars Limited to bring
"Driverless vehicle" is novel and new to
advertise which may require greater venture all
things considered innovation is absent in
Argentina which make it harder to produce
such vehicle on pre assessed spending plan.
For guaranteeing its legitimate execution of
undertaking Bristol Cars Limited can take its
specialized specialists with them to Argentina
which may define plan according to the
condition present before organization. Aside
from this they can likewise direct its workforce
to work in a way that help in accomplishing the
longing objective.
Legal factor:- These are those factors which impacts upon the working of an
organisation due to some special rules and regulations made by the government for some specific

business or industry impacting negatively or positively on the performance of an organisation.
The possibility of favourable and non favourable impacts, both are possible (Malshe, 2013).
Opportunity Threat
As government is supporting financial
specialists and representatives to bring their
assets or contribute their cash toward the
improvement of nation it is an open door for
Bristol Cars Limited. As they don't need to
pursue severe or extensive lawful systems for
setting up business which is simpler to deal
with their activities and it additionally brought
about less cost.
One of the biggest threat for the company is
that there is different types of legal regulations
within the country which as a result create lot
of mistake within the organisation. In order to
reduce such complicity within Bristol Cars
Limited, company need to hire legal advisor
within their organisation.
Market entry mode
It is define as a decision which is taken by organisations into to enter into international
market area with new products and services. In context of Bristol Cars Limited, managers
decides to expand their business functions at the market of Argentina with the help of Driverless
Cars (PANDEY, 2017). It is one of the most unique and creative technology therefore company
have wide range of scope. There are some specific types of modes which is used by organisation
are as follows:
 Merger & acquisition:- Merger refers to the process of combining or joining two or
more business entities, mainly working within similar level. But on the other hand,
acquisition is define as the process where a business organisation completely take over
the other firm. One of the biggest advantage for Bristol Cars Limited is that company will
create more profitability and value at the marketplace. This is because, two or more
companies work together which will assist in gathering resources, funds and skilled staff
to beat the competition at the marketplace.
On the other hand, main disadvantage of selecting Merger & Acquisition is that
sometimes it create negative image of the company as other company might not have
positive image at the marketplace. For example, if Bristol car limited merger which other

company who have not skilled workforce might affect the business operations in a
negative manner (Srdjevic, Bajcetic and Srdjevic, 2012).
 Joint Venture:- It is define as one of the most crucial factor where an agreement
between two or more companies take place and decides to pool various resources in order
to commence new project. In case, if Bristol Cars Limited use this strategy as a entry
mode it will provide various benefits to the companies. This as a result provide various
opportunities to the companies at the competitive marketplace.
Along with the advantages, there are some disadvantage of using this mode as it
requires acceptance and approval from their partners before taking any kind of action
which is associated with business organisation. This as a result create conflicts and
disputes among partners which is time consuming and confusing (Tansey, Spillane and
Meng, 2014).
Therefore, it has been concluded that Bristol Cars Limited need to adopt joint venture
mode as it will assist them in order to grab various resources and use them in an effective
manner. Along with this, it will help in enhancing the goodwill as well as performance of the
company.
Market Segmentation
Market Segmentation define as an effective marketing concept which assist in
categorising the market area into various small subsets on different basis. These basis includes
taste, culture, preference, demand and requirements of customers. With the assistance of
segmentation, organisations will be able to reach their customers who have similar kind of needs
and elements. In the present context of Bristol Cars Limited, managers of the company decides
to made business expansion in the market area of Argentina. Therefore, it is required to examine
the needs of market, customers and then segment it accordingly. Company decides to launch new
and innovative products which is Driverless Cars where there target customers are those
individuals who have high income level (Ülengin and et. al., 2014). Therefore, Bristol Cars
Limited segmented their customers on the basis of demography.
Demographic Segmentation is done by companies so that they can attract right type of
people in order to sell their products. Along with this, market is divided on the basis of gender,
age, religion, income, nationality, size of family and many more. This is the type of segmentation
used by managers of Bristol Cars Limited so that they can divide their customers according to

their income level. For launching new cars at the marketplace of Argentina, it is required to
identify individuals who have high level of income and have buying power of customers.
Target Market:
It has been said that target market define as a group of individuals, people and customers
to which products as well as services is aimed. It refers to the market area where organisation
wants to sell their goods and services to the customers. In order to launch new car which is
Driverless Car, managers target high income level of customer so that they can gain positive
response from customers. Capable and potential customer for the chosen company is high class
people who can afford such type of luxury driverless car (Wedel and Kamakura, 2012).
Porter's generic strategy
In order to establish and to achieve sustainability in an effective manner at the new
marketplace it is quite important for Bristol Cars Limited to develop effective strategies.
Therefore, to attain the sustainability as well as competitive advantage it is required by the
management team to adopt Porter's generic strategy. In context of Bristol Cars Limited, this
model is going to be discussed as follows:
Cost leadership:- According to this strategy, it is suggested to the management team of
the company that whether they offer low price products and to ensure broad market share within
average price that is high demand of products. This as a result assist in maintaining the price of
product low. For example, if managers of Bristol Cars Limited use this strategy it will assist in
attracting large number of customers towards their product which is “Driverless car” at
affordable price (Wilkinson, 2013). And for this, managers need to focus and control their
internal process. With the assistance of this, company will be able to reduce their production cost
and beat the competition available at the marketplace. But it has also been said that it is new and
upgraded technology which requires expensive manufacturing process. Therefore, managers will
not be able to provide low cost products to their customers.
Differentiation leadership:- It refers to the strategy which suggest a business
organisation to target large number of market share in order to gain competitive advantage by
differentiating themselves within the industry. This means developing new and unique goods and
services at the marketplace. With the assistance of this, Bristol Cars Limited sell their Driverless
Cars at high and premium cost as it is having unique features in it.

Focus Strategy:- According to this strategy, managers need to target niche market as
well as within this segmentation they must try to attain differentiation or cost advantage. In the
context of cost advantage managers must target narrow market and segment and then provide
goods and services within low cost. But in context of differentiation, managers must focuses in
order to offer products with unique elements and feature and having no competition available.
But it is required in differentiation focus that there must be strong brand image and loyalty
within customers. It is necessary for an organization to make sure that the goods offer by them
remain unique so that they can beat the competition. For instance, managers of Bristol Cars
Limited might apply this type of strategy so that they can fulfil differential requirement of
consumer in Argentina (Wilson and Gilligan, 2012). This will assist hem in order to attain trust
within the market which as a result provide competitive advantage to them. But on the other
hand Bristol Car Limited, try to focus on each and every market and they attract high income
people for this. Therefore, it is considered as one of the best strategy for the company.
With the help of above mentioned model it has been concluded that all these strategies
plays very essential role. All the above mentioned strategies assist in attaining competitive
advantages at the marketplace. In case of Bristol Cars Limited, one of the most effective and
appropriate strategy is Differentiation leadership. This will assist them in order to introduce new
and innovative car which is Driverless car within the marketplace of Argentina. With the
assistance of this strategy, organisation will cover its cost by selling their new products
(Zalengera and et. al., 2014).
CONCLUSION
As per the above stated report, it has been analysed that strategic marketing is one of the
most essential and crucial factor within a business organisation. With the help of this an effective
strategic plan is going to be developed by the management team of the company which assist in
attaining organisational goals and objectives. Along with this, PESTLE analysis assist in
identifying various opportunities as well as threats available at the current market area. Apart
from all this, Porter's generic strategy help in entering new marketplace with the assistance of an
effective strategy.

REFERENCE
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