Introduction to International Marketing and Market Entry Strategies Sample

Introduction: Introduction to International Marketing and Market Entry Strategies

The international marketing is about the services and products which are outside of the domestic audience of the brand. It is considered as the type of international brand which expands into the foreign territories with the motive to raise brand awareness. There are several modes which can be undertaken by the firm for entering into an international market. This in turn mainly includes the joint venture, licensing, franchising and direct investment in foreign market. The global market aims to satisfy the demand and needs for the global customers. The international marketing offers opportunity in relation to making optimum use of surplus production. The report will highlight the factors which are influential in the context of business internalisation. Further, it will also shed light on the application of the international marketing theories and strategies. Report also provides critical analysis of the international market attractiveness and appropriate market entry. This report will lay emphasis on the marketing strategy to export the produces in the foreign market. 

1. Evaluation of the factors which are influential in the internationalisation of the business. 

In the context of business unit, there are several factors which encourage to operate at global level such as: 

Legal aspects: For doing business on the international level, it has to well- versed with the legal norms and challenges. The most important is legislative framework which includes the consumer laws, law of data security, labour laws. Supportive laws & legislation motivates businesses to offer products or services in overseas market. 

Economic factors: It affects business on the international level, which includes the inflation, cost involved, target market size, exchange and currency rates etc (Tien, et al, 2019). All these factors directly influence the profit of international businesses. However, the entrepreneurs should know about these factors before starting the new business and international trade operations. 

Market Size and Growth: The international expansion can be influenced by the growth rate and market size. The organizations often target the substantial growth and target the market to maximise the rate of profits. The small bases of market may be present the least of opportunities, However, this can be less competitive and they get easy ways to enter. The companies can focus on the green field investment to stay on the top. 

Taxation and Incentives: The profitability of the company can be impacted by the taxation policies of the foreign countries (Doole et al, 2019). To attract the investor on the foreign level, the nation provides the preferential tax rates or tax incentives. The organizations should consider the implications of the tax on the international operations and can take the available advantages. 

Inflation rates: The rates of inflations can vary across the nations and can put impact on the power of customer purchasing and cost of production. The high rates of the inflation can be eroding the margins of the profit; where in the low rates of the inflation can promote the long term planning and economic stability. 

Behavioural factors: The cultural belief of the customers of host country is important (Czinkota et al, 2022). The potential clients can be sensitive for these beliefs. Therefore, the brands on the international level can make a mark on the new market, Knowing about the beliefs is crucial for them. 

Geographical factors: It is one of the main parts of the international businesses which mainly include supply chain needs, logistics, skills and lot more, these factors are linked with the geographic factors. Thus, the research on the bases of the geographical can help to set up the business on the international level and some initial operations. 

Political Risk: The different the political considerations of the involved countries on the global business hinder or facilitate the business. The agreement between the governments of different countries affects the political stability, foreign trade regulation etc. 

Legal system and rule of law: The systems which are legal vary on the global bases, with the different offering for the robust protection of the right and implementation on contract; meanwhile the other can lack the reliability (Lobo et al, 2020). The knowledge about the market place on foreign bases the legal environment is important for the safeguarding the disputes and interest to solve the disputes. 

Government regulations: The government policies and regulation put the impact on the worldwide businesses. Some areas for the spanning like import and export restrictions, taxation, product standards and policies of trade. The Netizen people of the country not believe in the regulations of the government (Morais and Ferreira 2020). Companies need to navigate the regulations to make sure about the legal issues and compliance. 

Cultural diversity: The cultural plays a vital role in the international business; the distinctions can use the multitude of the manners. This variation provides the potential to inspiration to the customer inclinations, methods of communication, protocols of the business and the manner in which the brands and products are apparent. Respecting the differences, this is important for the success of international business. The national culture can be defined as a general values and their beliefs by the nation. The organization can gain the undertaing about the different factors in the culture. 

Language barriers: The language is the crucial part of the main challenges in the international business. The organizations often face the language barriers which can be hampering by the effective communication. To mitigate this, organization can use employ translators, also can provide the training for the language to the employees or can use the multilingual marketing materials. (https://www.startupfino.com/blogs/factors-affecting-international-business/)

Social customs and Etiquette: These two can differ among the cultures, the one can considered as respectful and polite in one culture and other can be different. The understanding about the local customs can be helpful in building relationship on the positive bases and increase the trust of the clients and local partners.

Country specific factors: There are many factors which are related to the each country and their effect on the international businesses. For example, the world economic forum on the global level is important factors. This decreases the economy activities with including the direct foreign investment opportunities. 

Technology environment: The international technology environment offers the aspects related to the machines and latest technology for the good and production. The organizations have control on the external environment on the international level. The success of the organization is depending on the adaptive technology and upgrade version of it. The main aspect of the business environment on the international bases accepts the technology and innovation in the UK. In the last decade it is majorly have seen the technology advancement, organization can use the latest technology and enhance the brand.

Figure 1Factors influencing a firm's internationalization process

2. Application of the international marketing theories and strategies 

The triple bottom is highly associated with the success of business and involve the contribution organization well-being socially, economy and environmental health. The theory referred to the three categories namely people, planet and prosperity. It refers to the new idea of the firm and make sure about the performance will not be assessed in the terms of three dimensions such as economic, social and environmental (Triple Bottom Line, 2023). The triple bottom line helps in improving the reputation of the brand as now the clients are increasing the discriminating about the brands which are being used by them. Thus, this theory can make sure about the impact on the environment. This can improve the attraction and retention of the talent which can be getting in the use of the organization. The theory can offer the international market to improve the opportunities of the investment. The main concept behind the triple bottom line, which the companies ought to focus on the environmental and social issues, this theory can offer the profits to the organizations. The theory aims to international marketing on numerous elements such as social, environmental and financial performance of the organization. 

The Hofstede cultural dimensions theory is developed by the Geert Hofstede, this framework can be used on the international businesses to understand about the differences in the cultures and countries. This provides the complexity of the whole which can include the morals, customs, art, belief, other habit and capabilities which can be acquired by the member of society. The dimension of the Hofstede model can expresses the degree of the power which can be accepted by the international bases (Hofstede Cultural Dimensions Theory, 2023). On the international businesses this can be circumscribed the export of the activities. This can be analysis by proposes of the international approach. 

The scenario is the business is on the international level and offering the products related to the beauty and care, name of the brand is Sephora. The business strategies are based on the cosmetic brand marketing mix. Which help the brand to succeed in the market place on the international level.

Marketing Mix: 

For attaining success in the global market firm needs to draft competent marketing mix. This helps in targeting and attracting customers towards the products or services offered more effectually. 

Product: Within international market settings, product is of the main element which assists firm in gaining and sustaining competitive edge. Thus, for getting success firm is required to come up or enter with innovative offerings.

Price: In the competitive business arena, price is one of the main factors which have significant impact on the customer decision making. Thus, in the international market, at the time price setting business unit should keep in mind prices charged by the competitors for the similar kind of products. For instance: the brand is offering the competitive pricing via the low overhead of the price due to the operational efficiencies (Eduardsen and Marinova 2020). This can lower the cost of operations boost the tactics of the marketing.

Place: In this, firm takes decision whether it wants to sell products through self-owned stores which are designed innovatively or via online stores. The products can be found in the supermarket. 

Promotion: The unique style of the selling through online platform included ‘Pinterest’ where the clients can use the pin feature to choose the favourite products and colour and share this wall with other ones. These can be viewed and get attracted by the numerous of customers. Hence, these can be a unique kind of combination which reach the online platform and word of the moth of this luxury brand. The brand is following the push strategy for the promotion and marketing. Through the unique tactics are providing the experience for the guides and tutorials. Thus, by giving advertisements on social sites firm would become able to entice decision making of large number of customers. 

Figure 2International Market Entry Strategies: Relational, Digital, and Hybrid Approaches

3. Critical evaluation of the attractiveness of international markets

On the basis of given case scenario, Green Gold wants to raise market share by 3% in UK market. In this regard, there are numerous factors which encouraged firm to explore more operation over here such as: 

Size and growth of the market: The one of the major important factor is about the size of the target market and investment. The size and growth of the market is vast for the Green Gold. The popularity of the green juices in the UK market is high and it has highest demand in the market place. Statistical assessment shows that, in the upcoming 4 years, revenue of energy drink market will be increased by 0.33 billion GBP (Energy drinks market in the UK - statistics & facts, 2023). 

Economic growth and level of the disposable income: The main indicator of the strengths which is underlying the international market. This includes the emerging economies and developed the economy. This creates the growing “middle class” with the growth of the disposable incomes. This can be fuelled the demand of the services and products for the domestic and international businesses. Forecasted results clearly exhibit that GDP is increased by 0.5% and 0.7% in the year of 2023 & 2024 (GDP – International Comparisons: Key Economic Indicators, 2024). 

Exchange rate: The result of the trading in the international market is about the exposure of businesses fluctuation in the exchange rate. For the instance, the profit can be earned by the international market but exchange rate vitality can’t reduce the profits. 

Competitive Environment: The size, number and quality of the firms can be main target of the market which composes the factors of the ability of the company and success of the international expansion (Steinhäuser et.al, 2021). The country levels of the demographic and economic data are available for the number of the regions in the overall world. The 

More growth: The main motive of the international business is about getting the more growth and more profits. The international market place offers the diversity in the market place which offers more growth to the business. Due to the health focus demographic this can have more growth in the market place. 

Diversification: The business expands in the international level diversify the assets, which can protect the bottom line of the company. For instance, the organizations with the international operations can offer the negative impact on the growth on the operations in the other market. The organizations can use the international market which introduces the services, help to maintain the positive revenue. 

Access to talent: The one of the benefit is the opportunity to access the new talent. This can be utilised by the advantages in terms of enhancing the language skills, productivity, and background with the diverse education. 

Foreign investment opportunities: The businesses get the new opportunities of the expansion which is offered by the foreign market. The investment in the foreign market place is always comes up with the more investment opportunities. 

Evolving consumer base: In the current times, UK natives have more focus on the healthy diets. The consumers demand for the more versatile energy drinks this is the main attraction of the international market Green Gold. The demographic also shifting the Gen Z and Gen alpha demanding about the healthy lifestyle by consuming the green juices and stay healthy as well. The international market place has numerous of opportunities to expand the business. 

Fuelling the future: The market place of the UK has immense consumer who are interested in the green drinks and products (Metsola et.al, 2020). The customers are willing to try new tastes with the healthy ingredients. The demand for the green gold is continuing growing and providing the best values and benefits to the market. The success of the green products will hinge on highest growth in the growing market. With the advancement on the green industry is kept on the highest category with the highest sales. 

Numerous opportunities: UK market place offers numerous of the opportunities to the new business. The green gold has numerous opportunities such as stable political climate, favourable condition of economy, health conscious, Advance technology, crucial compliances for food safety. 

Low new entrants: Due to the established market presence the green gold can work in the better with the new opportunities. This can be highest value of the entering in the international market. This can be increase the value of the green gold and can be established on the better way. The economy is also favourable which can increase the benefits of the green gold and increase the sell in the future. 

4. Design of a marketing strategy to export a product to a foreign market 

Business summary: An American drinks which is made up in the America and called Green Gold, Which focuses on the offering drink with the flavoured with avocado. The organization sources the avocado from the Spanish partner and established in the United States, France and Italy. In the recent times it has opened the office which is known for strategic investment to improve the UK market share by 3%. The business is about the healthy green juice which can be helpful for the people to stay healthy and decrease the health issues in the young age people. The business has to make the brand image in the UK market and focusing on the improving the customer bases. 

Business initiatives: The main initiatives are about investing in the Green gold for possibly enter in the UK’ energy drink industry with the new great deals. In the upcoming three years the organization focuses on the sustainable practices. The organization has some choice of the strategies to intend in the long term success in the UK market. These initiatives can increase the growth of the Green Gold and increase the market presence of the brand. The brand has investigated about the environmental factors which is impacting the market place of the UK. By making use of the methodical approaches for the organization to make sure about the decisions are aligned with the goals of the Green gold, so it can promote the growth on the bases of long terms. 

Target Market: The main target of the Green juice industry is parents and young people because they are more concerned about the Market place (Eduardsen and Marinova 2020). The group share the common interest such as income level, geographic location, gender and interests. This group regularly consume the juices and their main focus point is the young age.

Market strategy: The strategy is about to launch the staged approaches. Launch with the taking some new initiatives in the UK market and establish the footprint in US and as well in the UK. The strategy is focused on the distinctive selling of the avocados and collaborates with the local influence to increase the sell and penetrate the market place. By implementing the data driven strategy to guarantee about the optimization and adapt the long term success. By making use of the well-established approaches and offering the special campaigns in the UK. With the adaption of the new tactics can be possible to increase the strategies and mitigate the challenges. The strategy is to increase the loyalty of the brand and gain the position in the current marketplace. The top priority is the UK market place and creating a brand image among the customers. 

Budget:  The budget has been carefully considered with expenses which include the new platform of the collaboration, research instruments, collection of the data and much more devices for the organization. The Budget is well-planned with the different allocation of the funds and money to the resources. The strong budget plan is provide guarantee of the quality of the products. The allocation of the funds for supports the services to the market and necessary data. The budget makes sure about the availability of the resources and procedures. 

Marketing Channels:  By considering the numerous marketing channels available in the market place to promote the Green gold company. This includes the email marketing, social media platforms, collaboration with the influencers, content marketing. The channels are selected as per the reach of the target audience and can align with the main goals of the marketing. By making use the distribution tactics of the coupons and flyers to attract the local customers and neighbourhood. Engage with the local communities and workshops for to know about the benefits of the juice and free tasting of the juice. To increase the local customers and establish the strong relationship to gain customer loyalty. 

Marketing Technology: By utilising the power of social media to connect with the people and promote the product for the target audience. Make use of the platforms such as Tik-Tok, Instagram, Facebook, Twitter and YouTube to promote the brand and engage with the targeted customers. It also can include the customer relation management, web analytics, search engine optimization (SEO) and advertising digitally. The organization focuses on building the website to increase the clientele base and create the content to attract the customers. On the social media platform making use of the hash tags in the posts, the customers can click on that and can see the profile with the other products. This can help to engage the clients and attract the new ones. 

By utilising the strategies and marketing tactics the organization can gain the customers and increase the brand image in the Uk market. The marketing models can help the brand to boot on the international bases. The marketing tactics with the technology can be helpful in. advertising the juices and their benefits 

CONCLUSION 

By concluding the report it delves into the factors which are influence on the internationalisation of the business. On the international level there are numerous of advantages and disadvantages, legal challenges can be faced by the organization about the legal challenges which are related to the laws and data security laws. The economic factors which affects the business with few aspects the cost, inflation and target market. The market size and growth provide the rate of profits and present the opportunities. The report emphasise on the international marketing theories and strategies which are triple bottom line, Hofstede culture dimensions. 

The report provides the evaluation of the attractiveness of the international market place. The main point is about the Size and growth of the market and economic growth for the international market. It also offers exchange rate, growth, diversification, opportunity for the foreign investment. The report emphasise on the marketing strategy to export the products of the green gold in the foreign market. The business initiatives about the investment and opportunities for the growth can be helpful in boosting the business. The budget is managed with the expenses and well planned for the future growth. Some marketing channels and technology is helpful to advertise about the prodcust and increase the customer base of the Green Gold juices. 

REFRENCES 

Books and Journals 

• Czinkota, M.R., Ronkainen, I.A. and Cui, A., 2022. International marketing. Cengage Learning.
• Doole, I., Lowe, R. and Kenyon, A., 2019. International marketing strategy: analysis, development and implementation. Cengage Learning.
• Eduardsen, J. and Marinova, S., 2020. Internationalisation and risk: Literature review, integrative framework and research agenda. International Business Review, 29(3), p.101688.
• Eduardsen, J. and Marinova, S., 2020. Internationalisation and risk: Literature review, integrative framework and research agenda. International Business Review, 29(3), p.101688.
• Jafari-Sadeghi, V., Dutta, D.K., Ferraris, A. and Del Giudice, M., 2020. Internationalisation business processes in an under-supported policy contexts: evidence from Italian SMEs. Business Process Management Journal, 26(5), pp.1055-1074.
• Lobo, C.A., Fernandes, C.I., Ferreira, J.J. and Peris-Ortiz, M., 2020. Factors affecting SMEs' strategic decisions to approach international markets. European Journal of International Management, 14(4), pp.617-639.
• Metsola, J., Leppäaho, T., Paavilainen-Mäntymäki, E. and Plakoyiannaki, E., 2020. Process in family business internationalisation: The state of the art and ways forward. International Business Review, 29(2), p.101665.
• Morais, F. and Ferreira, J.J., 2020. SME internationalisation process: Key issues and contributions, existing gaps and the future research agenda. European Management Journal, 38(1), pp.62-77.
• Steinhäuser, V.P.S., Paula, F.D.O. and de Macedo-Soares, T.D.L.V.A., 2021. Internationalization of SMEs: a systematic review of 20 years of research. Journal of International Entrepreneurship, 19(2), pp.164-195.
• Tien, N.H., Phu, P.P. and Chi, D.T.P., 2019. The role of international marketing in international business strategy. International journal of research in marketing management and sales, 1(2), pp.134-138.

Online 

• Energy drinks market in the UK - statistics & facts. 2023. Online. Available through: < https://www.statista.com/topics/11676/energy-drinks-in-the-united-kingdom/#:~:text=Retail%20sales,by%200.33%20billion%20British%20pounds.>.
• Factors influencing a firm's internationalization process. 2023. Online. Available through <https://www.researchgate.net/figure/Factors-influencing-a-firms-internationalization-process_fig1_262971346>
• GDP – International Comparisons: Key Economic Indicators. 2024. Online. Available through: < https://commonslibrary.parliament.uk/research-briefings/sn02784/#:~:text=The%20OECD%20said%20that%20global,2024%20(down%20from%200.8%25). >.
• Hofstede Cultural Dimensions Theory. 2023. Online. Available through <https://corporatefinanceinstitute.com/resources/management/hofstedes-cultural-dimensions-theory/>
• International Market Entry Strategies: Relational, Digital, and Hybrid Approaches. 2023. Online. Available through https://www.semanticscholar.org/paper/International-Market-Entry-Strategies%3A-Relational%2C-Watson Weaven/35e808d3008b672e08a3143db9866c5c42f5be76
• Triple Bottom Line. 2023. Online. Available through https://www.investopedia.com/terms/t/triple-bottom-line.asp#:~:text=The%20triple%20bottom%20line%20aims,gaining%20long%2Dterm%20operational%20efficiencies.