International Marketing Report: Subway's Global Market Entry

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This report delves into the realm of international marketing, using Subway as a case study for its expansion into the Myanmar market. It begins by defining international marketing and its rationale, discussing various market entry routes like exporting and joint ventures. The report outlines the key criteria for market selection, focusing on economic, social, and political factors, and analyzes the advantages and disadvantages of different market entry strategies. It also examines how the 4 Ps of marketing (Product, Price, Place, Promotion) are adapted in different international contexts. Furthermore, it compares home and international orientation, assessing competitors and their implications. The report highlights the importance of cultural dimensions, organizational factors, and experience in successful international marketing. It concludes by emphasizing the significance of market evaluation, consumer needs, and promotional strategies. The report provides an executive summary, background information on Subway, and an analysis of its market position and expansion plans, offering insights into the complexities and strategies involved in global market entry and expansion.
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International Marketing
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Table of Contents
INTRODUCTION...........................................................................................................................4
Explain the rationale for it to want to market internationally and describe the various routes to
market the organisation can..................................................................................................16
Key criteria and selection process to use when considering which international market to
enter......................................................................................................................................16
Explain, using examples, the different market entry strategies, including the advantages and
disadvantages of each...........................................................................................................17
Analyse how 4 P's approach differs in a variety of international contexts...........................18
Compare home and international orientation and ways to assess competitors, outlining the
implications of each approach..............................................................................................20
CONCLUSION..............................................................................................................................21
REFERENCES..............................................................................................................................22
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INTRODUCTION
International marketing consist of applying principles of marketing to satisfy wants and
needs not only at national level but also at international level for enlarge business opportunities.
In this process, business activities held for more than one nation or parent country which known
as global marketing. It can be possible with the help of designing marketing mix by analysing
organisation's strategy as well as by identified customer's needs and wants at world wide.
Purpose of report
This report is based on scope and concept of international marketing and rationale to go
in international market. Evaluation criteria while entering into international market and their
strategies with their pros and cons. It also elaborates about key arguments about global and local
market with difference in marketing mix strategy in different markets. The main purpose of the
report to get benefits of international expansion and find out factors that affect at time of expand
business opportunities.
Background of organisation.
This report is based on Subway which is an American privately owned fast food restaurant
franchise that initially sells sandwiches of submarine and salads and become one of most fast
growing franchises in whole world and currently it has approximately 42,000 stores in 100
countries and it not deals in large fast food section. It deals in majorly food chain and focus on
giving delight experience to consumers.
Market position:
Subway segment their market by Country operational program, store operational program
and market operational program. The main market of subway is their sandwiches and consumers
are middle and upper class people. The organisation wants to expand their business in Myanmar.
Executive Summary:
International marketing is based on strategic process that created in home country of an
organisation in order expand their business size in different countries. For this organisation
requires to create strategic planning so that they can create their roots on international
boundaries. Subway wants to expand their business in those countries where they can easily
build direct connection with target customers. For this, they can analyse target market and best
entry option through which firm can get maximum competitive advantages as strategic alliances,
joint venture and so on. All these activities will be classified while firm identify effectiveness of
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local and internation business which can be possible through effective debate on such topic. In
this procedure strategic procedure of firm take a place that assist in providing desired results to
firm in effective manner.
Scope of international marketing:
According to Hannah fleishman international marketing focus on providing providing
products and services according to global consumer demand.
According to Arpit srivastava International Marketing is defined as the performance of
business activities created to plan, price, promote, and direct the flow of a company’s goods and
services to consumers or end users in more than one nation for a profit and objective.
Meaning of international marketing:
Marketing is a business activity and process that used to creating, communication,
analysing and distributing business services in target market. International marketing related to
the performance of various business and their activities design to coordinate plan, price and
promotion for direct flow of products and services to end users for more than one nation motive
of earn profit ( Akaka, Vargo and Lusch, 2013 ).
Difference in international and domestic marketing:
Domestic marketing covers an small area on other hand in international market it covers
an large sphere. In domestic market less government influence its works and activities on other
hand in international market it impacts on government works and activities.
There are various activities that associated with business such as development,
marketing and production in context of high tech goods to interact consumers from all over
world. With help of consumer interaction in national market they can easily interact from
consumers of other countries because they have distinctive brand image in national market by
recreation and commercialisation. It has wide scope that can be illustrated with the help of
following attributes (Baack, Harris and Baack, 2012).
Importance in global arena:
World peace:
The one of important factor that influence to international marketing that it helps in build
an healthy relationship with other countries while deal with them and builds an strong
relationship with them.
Global markets reduce risk and open opportunities:
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Scope of international marketing assist to open gate of global market to do business and
enlarge business opportunities. When an organisation produce products and services at national
level can be much cost effective and that nation become hub of export activities. If an
organisation going global their significant portion of their revenues from outside of parent
nation.
Major types of businesses:
The major types of businesses consist in which
Service Business.
Service business are recognised subset of an economic services and share their
characteristics. In service industry includes intangible products and services.
Merchandising Business
merchandising business consist from which an individual interact daily. It is an business
in which products and services should be finalised and sells to an ultimate consumer.
Hybrid Business:
In hybrid business consist of in which they use traditional methods of distribution but
also use modern techniques to expand their marketplace.
Cultural dimension:
Culture is an important attribute in which consist of norms, values and ethics which vary
from organisation to organisation and gives an definite path so that objectives should be achieve.
Rationale for international marketing:
Imports:
It is one of easiest form of international marketing that helps firm to go in global market
when firm only operates in domestic marketplace. It can be only possible when products of firm
in national market is in demand and then they can import these goods in global market. For
example, Subway basically deals in fast food industry as the requirement of such services are
very high in each market so that firm can import their business services indifferent market.
Organisational:
organisation factors helps to make its importance in market majorly. With the help of it
organisation can grab attention of large no. of consumers.
Factors that influence international marketing:
Organisational:
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Organisational factor are very important factor that helps in expand business
opportunities in case of if organisation is flexible enough then it can easily adapt changes.
Domestic:
Domestic taste and preferences are also very important factor that helps in build products
and services according to needs and wants of consumers.
At global level some factors that are uncontrollable in which consist of product, price,
place, promotion, people, physical evidence and process consist in it. It is one of important factor
that an organisation have to consider before building international marketing strategies.
factors that influence internationalisation:
Global also uncontrollable:
There are 7 ps of marketing that are product, price, place, promotion, people, physical
evidence and process.
Factors that influence internationalisation:
Experience (Domestic and International):
Experience is one of important factor which owner have, that support and enables them to
beat in adverse situations and comply with challenges in positive manner.
Capability (HR):
capable staff and their contribution is one of important factor that helps in behave in
positive manner and give their best while deal in international market.
Networks ambition:
Network is an important attribute that helps while expand in international market, with
help of network an organisation can easily expand its market in international market.
Learning:
Learning is an important attribute that helps while expand in international marketplace,
past experience and learning give experience to deal in adverse situations.
Role of marketing:
Marketing in international spheres helps to grab attention of large no. of consumer base
by examining their needs and wants in proper way. Marketing is an important tool that helps to
reach at large consumer base by accessing their emerging needs and wants and enlarge business
opportunities.
Entry routes:
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Joint venture:
joint venture is an partnership agreements in which two companies invest money for self
interest of each other to gain profit and enlarge business opportunities.
The main advantage that brand loyalty of both the organisations increase in that case but due to
some hazardous effects it impacts on profitability of both the organisation.
Exporting:
Exporting is one of important entry strategy in which an organisation export products and
service in another country in another market.
It is very advantages for an organisation to enlarge business opportunities in different countries
and expand business share. But some due to cultural diversity it fails to give best attribute in
organisational development and enhancement.
Evaluation criteria based on economic condition with political stability of an another country
with strategies that use by an organisation are major factors.
In their main strategies consist of differentiation in which they lead with new products and
services in internation market.
Key success factor of international marketing:
Market should be evaluated in proper manner by political, economic and social factors.
Products and services should be frame according to consumer needs and wants.
Strategies should be differ from localised market and from their strategies so that differ
products and services should be offer to them.
Different kinds of promotional tools and techniques should be adopted that helps in reach
at large consumer base.
Proper segmentation.
Criteria and selection or international markets selection criteria.
Before selecting right kind of market firm have to check its viability in proper manner
such as its economic, social, political working conditions that are major attributes that helps in
taking important decisions.
The importance of choosing the right international market:
choosing right kind of marketplace helps to organisation in expand and enlarge business
opportunities and give delighted experience to consumers. It also helps in expand market share in
domestic marketplace so that helps in becoming a leader.
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The international market entry selection process:
The international marketing entry evaluation process is an five tier process and the main
purpose is to collect or gauge foreign market to grab large opportunities of product and services
to get success (Felzensztein and et.al ., 2014). In five steps consist of country identification,
preliminary screening, in depth screening and final selection and at last direct experience.
Country identification:
The first and foremost aspect before enter into foreign market place that is choose best
country in which all conditions should be favourable enough. In that case might be simple match
is necessary to grab opportunities such as two countries share same or similar heritage. As
Subway is going to expand their business in Myanmar market so it need to study about taste and
preference of their consumers.
There are various considerations which international market to enter into new business
should be kept in mind which are as follows:
Subway is planning to expand their food chain business in Myanmar because it is
emerging market with significant potential. Due to government reforms, it has improve their
business climate and provided with favourable conditions for entering into new foreign market.
Myanmar is considered as party to ASEAN- Australia-New Zealand Free Trade Agreement
(AANZFTA) that delivers benefits to Australia businesses in tariff reduction and elimination,
cooperation and economic engagement and supply chain opportunities. Currently, Myanmar has
52.65 million population with 7.1% GDP, income level per capita is US$5,540 (Doing Business
in Myanmar, 2019). It has free and open policy for new business so it is great chance to increase
their market share and profits. The people of Myanmar are very food and like to taste new dishes
which is great chance for increasing profits.
In Myanmar there are 27,000 above food and beverage companies and only 24,000 are
registered. Out of those, 5% has functioning waste water treatment system. It is very important
for Subway to consider these factors while operating their business in Myanmar for protecting
environment and system. The main motto of Myanmar is to make their place clean, green and
save from pollutions. This can provide positive impact to the organisation and their working
style. Before entering into any market, enterprise should keep in mind regarding their GDP, per
capita income then only it should enter into foreign market. If Subway can analyse such factors
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before coming to Myanmar market then it can easily survive, increase profit, growth and
revenues.
Opportunities and Challenges:
There are both opportunities and challenges while expand in international market that
organisation have to bring product in international market by considering ethical values and
norms that are important for an organisation to give best attributes.
On other hand when an organisation fail to build products in ethical manner it impacts negative
on its brand image.
In legally organisation have to follow rules and regulations of international marketplace that are
sometime hazardous for them. On other hand following legal considerations helps them to take
government support.
Risk Management and Contingency Planning in relation to volatile markets:
Risk management and contingency planning is an important attribute in case of volatile
marketplace because planning helps in taking action before any adverse condition arise in
context of an organisation. Risk management is an important factor to determine factor that
reduce risk and eliminate it at maximum level.
Market entry strategies:
Direct exporting:
Direct exporting is one of most important method to expand or enlarge business to select
directly in market to break and capture new marketplace (Demangeot, Broderick and Craig,
2015). For example as Subway aimed to expand in international market In Myanmar then
organisation have to get product and services into Myanmar market and observe their reaction or
response so that an organisation can assume positive outcome out of them.
Advantages:
It helps in expand large market share by evaluation of market possibilities.
Disadvantage:
There are high risk in that entry strategy and affect on organisational profitability.
Partnering up:
The another method or tool to going global that is partnering with some another same
field organisation in foreign market that helps in marketing of products and services. In this case
Subway can get a partner that just invest money. In that scenario organisation have to check out
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viability of co partner that it can actually can contribute in economic and market expansion of
Myanmar. Evaluation of best partner to gear up business and enlarge business opportunities.
That organisation uses partnering with other organisation to enlarge business opportunities.
Advantages:
It is one of best strategy to expand in market because through it an organisation can
expand in international market too.
Disadvantage:
It is not suitable in context that sometimes other organisation mistakes have to face to
another organisation too.
Success factors in international marketing:
There are some factor that are major that are as follows:
Intercultural competence
Unique products and services
Market intelligence drives quality of services.
Structured market development process and many more.
Customer taste and preference observation.
Global Vs local debate in international marketing:
To better understand market and its various considerations an organisation have to
understand various aspects with helps of an organised debate that should be based on different
basis that are as follows:
Key arguments:
While going global by companies they face potential scope and effective retranslation of
web and its content in multiple languages and way by which an organisation can communicate
with local users. In today's globalized world firms always wish to operate at global market to
reach at that level some challenges face by organisation (Kaynak, Wong and Leung, 2013).
Organisation have to follow goal of global operation and also accountable for local differences.
While conduct in foreign market companies have to understand major attributes that influence
choice in local marketing and standardised global marketing. That vary from according to
countries in marketing mix encompassing business strategies. The main dilemma in local and
international marketing concept is that same product could be sold across all boundaries by
implementing accordingly to local marketing strategies. By adopting contingency theory that
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stages about that is no one method is best in all circumstance so for local and foreign there are
distinctive strategies should be adopted to enlarge business opportunities (Majaro, 2013). By
unifying products, services and distribution channels, sales and their promotional strategies
should be unite in standardised form to differentiate in both local and global marketplace. In
local and global market needs and wants of consumers are different accordingly to their culture
so to give delighted experience to them organisation have to build overall homogenization of
needs through out world to commonest justification of marketing strategy. The local does not
provide more profits as compared to foreign market. As Subway already knows their taste and
preference of their local consumer and fulfils their requirement whereas entering into new or
global market requires research that increases cost which is high.
After analysing local and global debate, it can be concluded that Subway need to adopt
global approach that can lead to maximum profits and increase of market share. Apart from this,
firm can know more about other consumers and their requirement.
Pricing in international market:
As per the above mentioned, it has been analysed that Subway is expanding its business
in Myanmar. Before expanding its business company should examine the market and its targeted
customers. If company target young people, who have high per capita income they can fix high
prices. But on the other hand if per capita income is low, they should charge moderate pricing as
it already sell expensive products.
Technologies to support international distribution:
Hardware:
Hardware is an important techniques to record all necessary knowledge and information
to reach at desirable goals and objectives. They use kinds of techniques to enlarge consumer
base. In major hardware include computerised system and telecommunications.
Telecommunication:
Telecommunication is an transmission of signs, symbols and messages with help of
wires, radio and optical and sound information.
Computerised system:
It is an composed computer system and controlled function or process. It composed of all
computer, hardware, system and installed devices.
Software:
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software are very much potential for reach at desirable goals and objectives by managing
all works and activities to enlarge business opportunities.
Mobile computing:
Mobile computing is a variety of devices that allow people to gain data and information
from wherever they want.
cloud computing:
it is on demand availability of computer system resources, data storage and computing
power.
Implications for give organisational context:
All hardware and software are very important for organisation to reach at desirable goals
and objectives. It helps in enlarge business opportunities to use in depth manner by observing
their role in organisation profit.
International marketing approaches.
International Marketing also known as Global Marketing, is a process of implementing
various marketing principles in more than one country. It means promoting a product or services
on an international level. There are two major approaches while marketing or promoting a
product at international level. Implementation of centralised and decentralised marketing strategy
mainly depends upon company and its environmental culture. In context to Subway food
company, marketing manager adopting various marketing approaches while expanding its
business at international level. Two main marketing approaches which will positively influence
the working culture of the company are as follows:
Centralized Approach: Centralized marketing department is control and directed by a
single person or group of executives in order to achieve organisational goals and objectives. In
this process, decisions are made by the top management team of the company and execute them
accordingly. In context to Subway food company, centralised marketing approach is applicable
when company sell same products and services all over the world. This approach has its own
advantages as well as disadvantages.
While adopting Centralised marketing approach management team of Subway food
company gain some advantages such as they create a clear chain of command (KPapadopoulos
and Heslop, 2014). This, as a result will aid each and every employee to whom they need to
approach or report. Also, in order to execute important decision on an urgent basis centralised
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approach will aid the managers of organisation. In addition to this, management team of the
company adopts this approach to improve the quality of work. On the other hand, some major
disadvantages company face while adopting centralised approach of marketing. It is a time
consuming process as all power and authority is given to one person who is head of the company
or department. As a result, company faces delay in projects and task assigned to them (IMajaro,
2013).
Decentralized Approach: Decentralized marketing approach refers to the operation of a
department, control and directed by each and every individual of the department itself in order to
achieve organisational goals and objectives. In this process, decisions are taken by head of a
particular department. In reference to Subway food company, if manager adopt this approach for
the accomplishment of task various advantages and disadvantages are faced by them.
While adopting Decentralised marketing approach, Subway food company gain some
advantages as it encourage them to perform their work effectively ( Paliwoda and Thomas,
2013). When company use little centralised approach and provide freedom to their employees to
speak and share their ideas. As a result this will motivate them and create innovate and creative
ideas. On the other hand, company face lack of coordination and corporation among their
employees as well as in their department.
As per the above analysis, it has been concluded that if Subway food company should
adopt both marketing approaches as both have their very own advantages and disadvantages.
Home and International Marketing Orientations:
Competitor analysis:
Competitor analysis is an important factor that helps in gain competitive advantage by
accessing their key strength and weaknesses and provide products accordingly.
Organisational structure in international marketing:
Organisational structure are very important factor that helps to reach at desirable goals
and objectives. Organisational structure are vary from organisation to organisation and that helps
in follow an definite path for achieving goals and objectives.
Accessing International marketing competition:
When deals in international marketplace organisation have to access competition level
and also accessed localised competition level and their major deliverables to lead in fierce
competitive marketplace.
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Accessing International marketing performance:
International marketing performance is one of important factor that helps to individual as
well as organisation to measure their own performance with desired level of performance level
so that gap should be eliminated in positive manner and goals should be achieve.
Key concepts of international marketing:
There are some key concepts in international marketing that helps in understand key
areas in which an firm can find possibilities of business expansion.
Domestic marketing:
Market a product in domestic market resembles in international marketing in terms of
tools and techniques (Berthon and et.al ., 2012). Methods and techniques that use in global
market would be similar in domestic marketplace. It would be consider first stage in which it can
reach at global scale to make possible organisation have to collect data and information about
taste and preferences of consumers.
Export marketing:
Export marketing is an result of saturation of domestic market or urge from boundaries of
consumers. Through this an organisation can building an strong brand image in front of
consumers (Cavusgil and et.al. 2014. ). In second stage of internationalisation by focusing on
export of goods and services in outside market relying on assistance on sponsorship.
Multinational and multi domestic marketing:
To enlarge business opportunities in international market, organisation have to interact
with new clients and requires to made relationship strong. From local market it starts up to the
another markets by accessing needs and wants of consumer base in order to enlarge business
opportunities. In that scenario brand struggles to standardize to establish in international market
by making suitable in global marketing and get establish in marketplace.
International trade and practices:
International trade is one of foremost objective of every company to enlarge business
profits and market share. In stage of international trade organisation needs to import and export
their products and services at all branches in foreign market. On the basis of these kind of
practices, an organisation can build their own market in international countries by providing
quality services to their required services users.
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Explain the rationale for it to want to market internationally and describe the various routes to
market the organisation can.
Subway is a well known fast food chain that wants to expand their business on
international boundaries as in Myanmar. Every organisation always want to expand its market at
global level to expand its market share and for enlarge business opportunities. There are various
ways or tools that helps to expand their business in foreign marketplace that are as follows:
Franchising brand:
A Franchises is a business in which owners or franchisors of business can sell their rights
and logo, name and model to other party and retail outlet owned or operated independently
(ICzinkota and Ronkainen, 2013. ). It is one of best method to expand large market share and in
which Subway can give permit to open their branches in other country. In franchise they pay
some amount or fee and sometimes cut profit of per year to keep rest out of them. The best thing
about franchises is that it is one of easiest way to enter or break into new market. With the help
of this business model subway can target their new market of Myanmar and can create new
opportunities for their business.
Joint venture:
Joint venture is an partnership between two companies or people that link up and invest
money on some business projects. In that aspect businesses should equally invest their money in
50/50 ratio. Mostly businesses remains separate but when they enlarge business opportunities
that helps in any particular venture or project.
Franchising is one of most suitable option for Subway while entering into Myanmar
market in order to enhance their business size and structure.
Key criteria and selection process to use when considering which international market to enter.
While entering into international market some factors and attributes playing an important
role to grab attention of large no. of consumer base and enlarge business opportunities that are as
follows:
In key criteria consist of Cultural factors in which language of another country, taste and
preferences, regional values, consumer habits, age/ demographics are important factors. In
economic factors consist of per capita income, class structure of people and supply with demand
factors with financial transactions and banking are important attributes plays major role before
entering into marketplace (Evers, Andersson and Hannibal, 2012). In case of Subway which is
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an large multinational organisation and operates in large food chain market so it establish an
separate chain of people which evaluates each and every factor before enter into new market that
is Myanmar.
Explain, using examples, the different market entry strategies, including the advantages and
disadvantages of each.
In order to enter into new market, it is very much important to choose best way to
enlarge business opportunities. For that, there are various ways and strategies that need to be
considered for expanding business into new market for increasing market share are as follows:
Greenfield investment:
Greenfield investment is an kind of foreign direct investment in which company establish
their operation in foreign country (Gilligan and Hird, 2012). In that kind of investment firm
builds new facilities and infrastructure such as their sales office, manufacturing facilities in cross
border. It is an kind of market entry strategy to acquire or achieve high level of control in foreign
activities. In that aspect potential tax breaks or subsidies should be establish in greenfield
investment and goals is to achieve high level of control in business operations and save
intermediary cost. This can be implemented by Subway through entering into new market.
Currently, it is planning to expand business in Myanmar so it need to build new infrastructure,
office, facilities to provide goods and service to consumers.
Advantages of Greenfield investment:
There are many advantages of greenfield investment that are as follows:
it gives high level of control over business and their operations and manufacturing works with
sales activities regarding products and services (ohanson, 2013). It helps in control over brand
image and staffing and gives economics of scale and scope. In that scenario it bypass trade
restrictions and also gives employment advancements an area in which investments taking place.
Disadvantages of greenfield investment:
It is one of high risk investment in foreign direct investment. It occurs high entry cost
while enter into international marketplace. Government hinders foreign direct investment and
apply various regulations that hinders self interest of organisation. It occurs high fixed cost while
adopting that kind of investment into market.
Franchising:
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It is form of business through which owner of good, service obtains distribution through
dealers. This strategy is based on marketing that can be adopted by organisation for business
expansion. There are two parties for such entry mode into international market. They user should
use brand name, logo, for particular period of time.
Advantages of Franchising :
The main advantages of Franchising are as follows:
While implementing such strategy, failure of business reduces (Kaynak and Jansson, 2012). As
goods and services has already established market share effectively and efficiently. The
organisation can use recognised brand name to sell product in other country. This does not
required market testing. The franchisor provide full support regarding training, helping for set up
and ongoing advice. There is exclusive right in territory as franchisor does not allow to sell in
other franchises in same territory. Through franchising relationship with other suppliers can be
established as it is receiving support from others.
Disadvantage of Franchising:
The cost can be higher than expected as buying franchise leads high management fees.
There are some restrictions that need to be followed while running business. Sometime
franchisor can go out of business. There is sharing of profits with franchisor and bad reputation
can be created by competitors.
Analyse how 4 P's approach differs in a variety of international contexts
When company wants to expand its business operations in a foreign market, company
should adopt a standard marketing mix. This marketing mix strategy includes four elements
which are Product, Promotion, Price and Physical distribution. These factors are discussed
below:
Product: While operating in an international market, various factors such as religions,
belief, cultural background of customers should be analysed. Products or services that fulfil the
basic needs and wants of customers that cannot be changed, should be produced by company. In
context to Subway food company, managers should analyse international market area before
producing their products (Terpstra, Foley and Sarathy, 2012.. ). It is quite difficult for
international business to operate its activity as compared to domestic company. Reason behind
this, company should properly evaluate market trends, taste and preference of customers. In
context to this, subway expand their business in Myanmar and the opt adapted approach with the
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motive of influencing government to adopt some policies which is favourable to them. There are
some positive as well as negative impact of product element in marketing mix. Positive impact of
this element is that company produce their products according to the requirements of customers.
Which as a result, increase their brand image at the marketplace. On the other hand, continues
changing in demands can affect the overall productivity of the company.
Price: It is a complex task for a company while expanding its business at international
level. Various factors should be keep in mind before fixing a product price. These factors are
cost of transportation, exchange rate, competitors, substitute and many more. In context to
Subway food company, before fixing price of a product, company need to analyse the substitutes
present at market place. To gain competitive advantage, company should fix their products price
lower than other substitutes. Substitutes available at market place are McDonald's, Burger King,
KFC and many more. Along with this, subway in Myanmar focuses on prices as they want to
attract more customers by providing good quality at affordable price. Also they adopt standard
approach to analyse the risk under pricing factor. . Adopting economic strategy can be a positive
impact as with this company can maintain sustainability for long time and gain profit. On the
hand, company can reduces their profit sharing while expanding their business at international
market.
Promotion: Promotion or advertisement is one of the main element of marketing mix. In
this element, company should adopt creative measures to promote their product. Promotion
refers to those tools and techniques by which company communicate their message to their
customers. These techniques includes sales promotion, free sampling, digital advertisement and
many more. In context to Subway food company, social media is adopted as promotional tool
for launching products. In addition to this, subway using various promotional strategies to
promote its product in Myanmar. Along with this, they opt standardised approach to minimising
a risk by using marketing mix as it create awareness in the market which encourage people to
buy it. Social media might create positive impact on the profitability of company as they help in
attracting more and more customers. But on the other hand, sometimes by over promoting brand
might negatively affect the brand image of the company.
Physical Distribution: Physical distribution is a process where company deliver its
products and services to its customers. Physical distribution is a process which is mainly
concerned with movement of goods from manufacturers to the end user of products (Tan and
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Sousa, 2013.). It includes planning, controlling and implementing the flow of goods from origin
to the ultimate users of goods. In context to Subway food company, their main aim to satisfy
the needs and wants of consumers by providing them quality goods. Along with this, when they
expand their business in Myanmar they adopt adapted approach because government help
companies for control or reduce transportation cost. Along with this, they also shift their business
according to the customers interest and taste. By adopting computerised system for distribution,
it creates positive impact as it might easily managed by staff of the company. But on the other
hand, it can negatively affect the company as it can create technical error.
As per the above analysis, it has been concluded that if Subway food company adopt
marketing strategies while expanding their business organisation, it will aid them in gaining
profit and increasing brand image (Samiee and Chabowski, 2012.). Along with this, subway
company provide fresh and good quality of food for increasing the image and goodwill of their
company at market place. Also they set reasonable price of its product as customers can easily
afford it. Along with this, company use various promotional techniques and tools to promote
their business and also provide information to customers for attract them. It also helps in creating
a competition at market level and they opt strategies to make their business different from
competitors. Also the main motive of Subway food company is to fulfil customers need and
requirement in order to accomplish organisational goal and services. Along with this, they
maintaining a position of their company is market for attracting new customers and retaining old
customers for longer period of time. As per the above mentioned report, it has been analysed that
company should adopt local approach. One of the reason is that company might gain long terms
profit, if they launch product after proper market evaluation.
Compare home and international orientation and ways to assess competitors, outlining the
implications of each approach.
Marketing orientation consist of discover and meet hidden needs and wants of consumers
by using product mix. It is an business approach or philosophy that focuses on identifying hidden
needs and wants of consumers by accomplishing goals and objectives (Paliwoda and Thomas,
2013). In international orientation consist of multinational, international and transnational with
global market which emphasis on scope on which market can be spend or enlarge business
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opportunities. In international orientation each term is distinctive in itself and define scope with
degree of interaction in their operations outside of home country.
International orientation is considered as an intensity of global connectedness of business
in context of trade presence, investments and influencing level. Herein, Centralised marketing
approach are used to trade the firm products and services across the world. With the help of this
company can develop a command chain so that essential decision can be made quickly and
effectively. Decentralised marketing approach is utilise so that important decisions are taken
only through head of the main branch and motivate the each and every employees to do their task
effectively and efficiently so that innovative as well as creative ideas regarding products and
services according to global markets. can be developed for the betterment of the company.
In home orientation, centralised marketing approach are utilise to build a clear chain of
command so that company can concentrate towards improving in house marketing abilities as
well as scalable methods (Ipapadopoulos and Heslop, 2014). It also assure them to have control
over sales and marketing cycle. Herein, decentralised marketing approach is inspire as well as
support home or local marketing employees. Through this close working relationship can be
maintained and created with home country. In local country it perform best at the time when the
respective products are in to a great extent regulated industries and also its products required to
be importantly localised for selling them into another markets.
CONCLUSION
From the above report it has been summarised that expansion in global market helps to
enlarge business opportunities and proved beneficial in giving delighted experience to consumer
base. While entering into new market keen observation on different aspects are very important
and cultural,social and political conditions are very important to be consider to reach at desirable
goals and objectives. Before going global different kinds of strategies and tactics plays major
role to get desirable objectives in order to attain large consumer base and build brand image.
When an organisation attain possible outcomes in sufficient manner after that they can aimed to
reach at international marketplace.
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REFERENCES
Books and Journals
Akaka, M.A., Vargo, S.L. and Lusch, R.F., 2013. The complexity of context: A service
ecosystems approach for international marketing. Journal of International
Marketing. 21(4). pp.1-20.
Baack, D.W., Harris, E.G. and Baack, D., 2012. International marketing (Vol. 3). Sage.
Berthon, P.R.,and et.al ., 2012. Marketing meets Web 2.0, social media, and creative consumers:
Implications for international marketing strategy. Business horizons. 55(3). pp.261-271.
Cavusgil, S.T., and et.al. 2014. International business. Pearson Australia.
Czinkota, M.R. and Ronkainen, I.A., 2013. International marketing. Cengage Learning.
Demangeot, C., Broderick, A.J. and Craig, C.S., 2015. Multicultural marketplaces: New territory
for international marketing and consumer research. International Marketing Review.
32(2). pp.118-140.
Evers, N., Andersson, S. and Hannibal, M., 2012. Stakeholders and marketing capabilities in
international new ventures: Evidence from Ireland, Sweden, and Denmark. Journal of
International Marketing. 20(4). pp.46-71.
Felzensztein, C., Stringer, C., Benson-Rea, M. and Freeman, S., 2014. International marketing
strategies in industrial clusters: Insights from the Southern Hemisphere. Journal of
Business Research. 67(5). pp.837-846.
Fletcher, R. and Crawford, H., 2013. International marketing: an Asia-Pacific perspective.
Pearson Higher Education AU.
Ford, I.D. and Leonidou, L.C., 2013. Research developments in international marketing. New
Perspectives on International Market-ing, edited by SJ Paliwoda, pp.3-32.
Gilligan, C. and Hird, M., 2012. International marketing: strategy and management (Vol. 17).
Routledge.
Johanson, J., 2013. International Marketing and Internationalization Processes—A Network
Approach Jan Johanson and Lars Gunnar—Mattsson University of Uppsala and
Stockholm School of Economics. Research in International Marketing (RLE
International Business), 234.
Kaynak, E. and Jansson, H., 2012. Industrial products: A guide to the international marketing
economics model. Routledge.
Kaynak, E., Wong, Y.H. and Leung, T., 2013. Guanxi: Relationship marketing in a Chinese
context. Routledge.
Majaro, S., 2013. International Marketing (RLE International Business): A Strategic Approach
to World Markets. Routledge.
Paliwoda, S. and Thomas, M., 2013. International marketing. Routledge.
Papadopoulos, N. and Heslop, L.A., 2014. Product-country images: Impact and role in
international marketing. Routledge.
Samiee, S. and Chabowski, B.R., 2012. Knowledge structure in international marketing: a multi-
method bibliometric analysis. Journal of the Academy of Marketing Science. 40(2).
pp.364-386.
Tan, Q. and Sousa, C.M., 2013. International marketing standardization. Management
international review. 53(5). pp.711-739.
Terpstra, V., Foley, J. and Sarathy, R., 2012. International marketing. Naper Press.
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Online
Doing Business in Myanmar. 2019. [Online]. Available through:
<https://asialinkbusiness.com.au/country/myanmar>.
International Marketing Definition and Examples [Online]. Available through:
<https://marketinglessons.in/international-marketing-definition-examples/>.
13 Businesses With Brilliant Global Marketing Strategies 2019 [Online]. Available through:
<https://blog.hubspot.com/marketing/global-marketing-and-international-business>.
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