Assess The Implications Of International Marketing For Organ

Assess the implications of international marketing for organizations and develop an international marketing strategy

Athe Ltd 2017 13022017 Version 10please Note That This Sample Assi

Athe Ltd 2017 13022017 Version 10please Note That This Sample Assi

© ATHE LTD Version 1.0 Please note that this sample assignment is for our new suite of level 7 qualifications in strategic management which became available on October 1st 2016. Unit J/615/2696 International Marketing Level 7 15 Credits Related Qualifications ATHE Level 7 Diploma in Management 603/0629/4 ATHE Level 7 Extended Diploma in Management 603/0630/0 Sample Assignment You have recently joined the marketing team at Kickerco, a company which has been trading nationally for many years. The company would like to start to trade internationally. The company has recruited you because you have worked for organisations which have traded internationally and they want to use your experience and expertise to assist in the development of this area of work.

Task 1 – Formal brief The senior management team have asked you to brief them on the implications of international marketing for organisations in general. Write a formal briefing paper for the senior management team to read. In the briefing paper you must: ï‚· assess the market research requirements for international marketing ï‚· analyse how the business case for international marketing can be justified ï‚· assess the risks which must be considered for international marketing. Extension activities: To gain a merit grade you must also: evaluate different methods of international marketing. To gain a distinction grade you must also: analyse the way in which financial and pricing issues may affect international operations.

LO1, ACs 1.1, 1.2, 1.3, 1M1, 1D1

Task 2 – Report The senior management team would now like you to use your knowledge and experience of operating in international markets to help them to understand how to develop an international marketing strategy. Write a report for the senior management team. In the report you must: ï‚· analyse the features of international markets ï‚· evaluate the operational considerations that should be taken into account when developing an international marketing strategy © ATHE LTD Version 1.0 ï‚· analyse the characteristics of an international marketing strategy. Extension activities: To gain a merit grade you must also: evaluate the legal implications associated with developing and implementing an international marketing strategy. To gain a distinction grade you must also: choose an organisation you know well or one where you have access to detailed information. Evaluate the chosen organisation’s international marketing strategy. LO2, ACs 2.1, 2.2, 2.3, 2M1, 2D1

Task 3 – Presentation The senior management team would now like to understand the requirements of international marketing communications. Develop a presentation with an accompanying handout for the senior management team. You do not need to actually deliver the presentation. In the presentation you must: ï‚· evaluate the way in which local customs, culture, language and ethical considerations may affect marketing communications ï‚· assess the role of technology in international marketing communications ï‚· assess the implications and requirements of different sales and marketing communications strategies. Extension activities: To gain a distinction grade you must also: Analyse the concept of “glocalization†and review its impact on communications. LO3, ACs 3.1, 3.2, 3.3, 3D1 © ATHE LTD Version 1.0

Sample Paper For Above instruction

Developing an effective international marketing strategy requires a comprehensive understanding of the implications of operating across diverse markets, cultural nuances, and legal environments. This paper provides a detailed analysis of the key considerations necessary for organizations aiming to expand their operations globally, using Kickerco's planned international venture as a contextual reference point.

Market Research Requirements for International Marketing

Successful international marketing begins with thorough market research to understand consumer behaviors, preferences, and cultural differences across targeted regions. Unlike domestic markets, international markets involve complex layers of socio-economic, political, and cultural factors that influence consumer demand and brand perception (Czinkota et al., 2014). Organizations must identify local needs, competences, and gaps through qualitative and quantitative research methods like surveys, focus groups, and secondary data analysis. For example, Kickerco can leverage studies on regional preferences for athletic apparel, understanding variations in style, sizing, and pricing expectations. Additionally, legal regulations regarding advertising standards, product safety, and consumer rights differ significantly across countries, necessitating localized research to ensure compliance (Meyer & Skidmore, 2014).

Justifying the Business Case for International Marketing

Justifying international expansion involves a detailed analysis of potential benefits such as increased revenue streams, diversification of market risk, and leveraging economies of scale. A solid business case requires projecting sales volumes, estimating costs, and assessing competitive advantage in the new markets (Cavusgil et al., 2014). Organizations can use tools like SWOT analysis to evaluate internal strengths and weaknesses against external opportunities and threats. For Kickerco, entering international markets could offer access to a broader customer base and increased brand recognition, but must be justified against risks like currency fluctuation, political instability, and cultural misalignment. The strategic fit should be validated through financial modeling, scenario analysis, and alignment with long-term corporate objectives (Hollensen, 2015).

Risks in International Marketing

International marketing involves multiple risks ranging from economic fluctuations, exchange rate volatility, political instability, to cultural misunderstandings. Legal risks include non-compliance with foreign regulations, intellectual property infringement, and differing standards for labeling, packaging, and advertising (Lu & Beamish, 2014). There is also operational risk related to supply chain disruptions, logistical complexities, and tariffs. For example, political upheavals in certain regions can lead to customs delays or import restrictions affecting delivery timelines. Cultural risks, such as misinterpreting symbols or language in marketing communications, can damage brand reputation. Therefore, risk assessment matrices and scenario planning are crucial components of international marketing strategy (Tretyak & Sacuk, 2018).

Methods of International Marketing

Organizations can adopt various approaches to international marketing, including standardization, adaptation, or a hybrid of both. Standardization involves offering uniform products and marketing strategies across markets, reducing costs but risking cultural disconnects (Levitt, 1983). Conversely, adaptation tailors products and marketing messages to local customs, languages, and preferences, which can enhance market acceptance but increase costs. A hybrid approach attempts to balance the benefits of both strategies. For instance, Kickerco might standardize core product features but adapt advertising messages to reflect local language and cultural cues. The choice depends on factors like product nature, market homogeneity, and company resources (Vrontis & Papasolomou, 2007).

Financial and Pricing Issues in International Operations

Financial considerations include managing currency risks through hedging, setting appropriate pricing strategies, and ensuring profitability amidst varying economic conditions. Exchange rate volatility can erode profit margins if not managed properly (Ghemawat & Altman, 2016). Pricing strategies must account for local purchasing power, competitor pricing, and perceived value. Differential pricing, discounts, and promotional offers should be calibrated to regional sensitivities. Additionally, costs related to logistics, tariffs, taxes, and compliance influence overall financial planning. A clear pricing policy aligned with strategic objectives and market conditions is essential for sustainable international operations (Hollensen, 2015).

Features of International Markets

International markets are characterized by diversity in customer preferences, regulatory environments, competitive landscapes, and cultural norms. These markets differ significantly from domestic settings, requiring tailored marketing strategies. For example, consumers’ brand perceptions can vary based on cultural backgrounds, and their responsiveness to advertising messages may depend on language and local customs (Czinkota et al., 2014). Market entry modes also vary, including joint ventures, franchising, direct investment, and licensing, each with its specific risks and benefits. Understanding these features helps organizations devise suitable market entry strategies that align with local dynamics and corporate goals.

Operational Considerations in Developing International Marketing Strategies

Developing an international marketing strategy entails addressing operational intricacies such as supply chain logistics, distribution channels, local partnerships, and staffing. Efficient logistics ensure timely delivery and quality control, especially when dealing with multiple regions. Building relationships with local distributors or agents can facilitate market entry and compliance with local standards. Organizations must also consider staffing, including cultural training for international teams and expatriate management. Technology investments in digital marketing, data analytics, and customer relationship management (CRM) systems are vital for coordinating activities across diverse markets (Hollensen, 2015). Operational flexibility and cultural competence are key to adapting strategies effectively.

Characteristics of an International Marketing Strategy

An international marketing strategy is characterized by its scope, targeting, positioning, and resource allocation across multiple markets. It incorporates elements such as market segmentation, branding consistency, and communication channels tailored to regional nuances. Strategies may focus on penetration, product differentiation, or market development depending on organizational objectives. For instance, Kickerco’s strategy might emphasize building brand awareness in emerging markets through localized promotional campaigns while maintaining a consistent core message globally. Success requires integrating marketing mix elements—product, price, place, and promotion—in a manner aligned with each country's regulations and cultural expectations (Arteaga & Moreno, 2017).

Legal Implications of International Marketing Strategies

Legal considerations are critical when developing international marketing strategies. These include compliance with local advertising laws, intellectual property rights, consumer protection laws, and trade regulations. Failure to adhere to these legal frameworks can result in fines, legal disputes, and damage to brand reputation (Meyer & Skidmore, 2014). International contracts, licensing agreements, and joint ventures must also be scrutinized for legal risks. For example, advertising standards differ significantly—what is permissible in one country might be illegal in another. Therefore, organizations should engage local legal experts to navigate complexities and ensure compliance, reducing exposure to legal and financial risks (Lu & Beamish, 2014).

Evaluation of an Organization’s International Marketing Strategy

Evaluating an organization's international marketing strategy involves analyzing its effectiveness in achieving global market penetration, brand positioning, and profitability. Factors such as market share growth, customer feedback, and sales performance indicate strategic success. For a detailed evaluation, consider a company like Nike, which utilizes a mix of standardization and adaptation to cater to diverse markets. Nike’s global branding maintains a consistent image, while product offerings are customized for regional tastes. Its strategic alliances, digital campaigns, and localized storefronts exemplify effective international marketing. However, challenges such as cultural missteps or regulatory barriers can hinder performance, emphasizing the need for continuous strategy review and adaptation (Subramanian & Srivastava, 2016).

Conclusion

Expanding into international markets presents significant opportunities and challenges for organizations. A strategic approach grounded in detailed market research, risk assessment, and operational planning is essential for success. Tailoring marketing strategies to respect cultural differences, legal frameworks, and economic conditions enables organizations to build strong global brands. For Kickerco, effective international marketing will require balancing standardization with adaptation, managing financial risks, and ensuring compliance with local laws. Continuous evaluation and adaptation of strategies will be necessary to sustain competitive advantage in the dynamic international marketplace.

References

• Arteaga, J., & Moreno, A. (2017). International marketing strategies: A comparative approach. Journal of Global Marketing, 30(2), 103-118.
• Cavusgil, S. T., Knight, G., Riesenberger, J. R., Rammal, H. G., & Rose, E. L. (2014). International Business. Pearson.
• Czinkota, M. R., Ronkainen, I. A., & Moffett, M. H. (2014). International Marketing. Cengage Learning.
• Ghemawat, P., & Altman, S. (2016). Redefining global strategy: A new perspective on global markets. Harvard Business Review, 94(4), 28-37.
• Hollensen, S. (2015). Marketing Management: A Relationship Approach. Pearson.
• Levitt, T. (1983). The globalization of markets. Harvard Business Review, 61(3), 92-102.
• Lu, J. W., & Beamish, P. W. (2014). Privately owned foreign subsidiaries in the emerging markets of China and India. Journal of International Business Studies, 45(4), 453-473.
• Meyer, K. E., & Skidmore, D. (2014). International business: Strategy, management, and the new realities. Routledge.
• Subramanian, N., & Srivastava, R. (2016). Strategic international marketing. Journal of Business Strategy, 37(4), 54-63.
• Tretyak, V., & Sacuk, M. (2018). Risk management in international marketing: A comprehensive review. Journal of International Marketing, 26(2), 1-19.