International Marketing (Research Paper Sample)

International Marketing Student’s Name Institutional Affiliation Market Entry Modes and Selected Mode In intercontinental marketing, the very difficulty of dealing with the diverse array of factors that should be measured makes the marketing plan. The process of planning is the method that Abercrombie and Fitch management will use to define in details how the company will achieve the present and future objectives and aims. Expansion of Abercrombie and Fitch into the overseas markets can be accomplished through the subsequent four modes: licensing, exporting, direct investment, or joint venture (Senthil-Kumar, 2012). Exporting involves directly selling and marketing domestically-produced products in the target country. Since there will be no goods produced in Brazil, there will be no investment required for the production facilities in Brazil. Licensing permits the company to use the licensor’s intangible properties, such as the patents, trademarks, or production techniques in Brazil (Books Lard Bucket, 2012). Joint venture is where the company will unite with another firm to create a novel business body that is lawfully discrete and separate from the parent companies (Senthil-Kumar, 2012). Foreign direct investment involves the company directly owning the target market facilities (Senthil-Kumar, 2012). The selected mode of entry for Abercrombie and Fitch Company will be direct investment in Brazil. The company will transfer its resources including technology, personnel, and capital to Brazil (Senthil-Kumar, 2012). Target Market Aims and Objectives The goals and aims are the ends that Abercrombie and Fitch Company seek to accomplish in the target market. Abercrombie aims at expanding worldwide attract new customers, as well as remove rival competitors with the motto of order and Progress. The steps the company will take to help realize its aims make the organization’s objectives. Abercrombie’s goals include increasing the customer caring service skills for the workers and guarantee customer satisfaction (Abercrombie and Fitch, 2012). This client satisfaction will lead to the customers being happy and then buying more products and revisiting the store. The company will also provide high-quality after-sales services to give the business a highly regarded reputation plus customer favorite (Abercrombie and Fitch, 2012). Target Market (Competitive) Strategy The company’s marketing strategy will include all the essential plus long-run activities that will serve to fill the market gap and attain the marketing intentions. The company’s marketing strategies have been built as multilayer plans that will allow Abercrombie to outperform its rivals (Doole, & Lowe, 2008). The competitive strategies that Abercrombie will use include cost leadership tactic in which the company will offer goods at the least prices in the industry (Jeannet, 2001). The company will utilize differentiation strategy to provide a range of clothes with brand-specific special finishes to the customers that the competitors do not yet offer or are incapable of offering. In addition, Abercrombie will make use of the innovation strategy by leapfrogging other market players through introducing entirely novel, notably better quality products (Hans et al. 2006). The Brazilian customers want innovative or exclusive products; therefore, the brand will focus on product quality. Running effectiveness as a tactic will help the company carry out its internal business activities superior to the competitors (Abercrombie and Fitch, 2012). Marketing Mix Decisions Selling mix choices comprise of four options that the company needs to take prior to the launching the new fashion of clothes. These four variables, also called the four P’s of marketing help the company to make strategic decisions needed for the business to run smoothly. These variables include goods, advertising, place, and value (About Marketing91, 2014). There are only two types of the marketing blend, namely: the product marketing mix and service marketing mix. The stock blend constitutes of the goods, position, promotions, and the value. The service selling mix consists of characters, the method, and a substantial proof. Product The product makes the first marketing mix variable. The decisions regarding the product are the initial decisions a company needs to take prior to creating any marketing plan. Abercrombie company will sell designs of casual clothes (t- shirts, polos, jeans...), of higher quality in a vintage style in Brazil (Abercrombie and Fitch, 2012). Most of its clothes will be very easily identifiable because the logo or brand name will be affixed on each clothes. The clothes would be recognized easily with a logo or brand-specific special finishes (Bureau UBIFRANCE de SAO PAULO, 2013). The brand will focus on product quality fashion. Exclusivity is also a motor of purchase, and the name will emphasize the rarity of the products. Finally, the name will be seen and recognized. The decision to launch the highest quality clothing in Brazil affects the pricing, placing and promotions which must also be adjusted accordingly (Bureau UBIFRANCE de SAO PAULO, 2013). Pricing The product’s pricing depends upon many different variables and for this reason, it is constantly updated. In addition, the level of the price will demand based, and it will be a premium price without sales or discount compared to the competitors. The product cost is the major thoughtfulness during the pricing decisions, in addition to the advertising, marketing expenses, distribution costs, plus any market price fluctuations. The pricing must be in such a way that it tolerates the impact of the changes for a particular period (About Marketing91, 2014). The product prices will range from $15 to $ 45 depending on the type of the design. Place Place is the channel of distribution through which the product will follow. Since the clothes are premium consumer products, the clothes have to be accessible only in the chosen stores throughout Brazil (Bastien, 2012). Consequently, the place where the materials will be distributed will depend on the merchandise as well as the cost judgments and any STP choices taken by the firm (About Marketing91, 2014). The product’s distribution has a significant impact on the product’s profitability. The customers will look for the clothes in the stores all over Brazil (Vinod, 2007). The company will utilize specialist boutiques and online catalogs types of the stores to sell the clothes (Bastien, 2012). In addition, the company will use sales agents, make online submissions and attend to trade fairs to access the correct channel of distribution. The company will utilize indirect export of the branded clothes product delivery options in addition to establishing its distinct distributions means in the target country (About Marketing91, 2014). Moreover, the company will employ multiple channels of distribution and identify the potential agents and distributors based upon the selected product distribution option. Promotions Development as a marketing mix variable includes the whole incorporated marketing communications which include below the line and above the line advertising and sales advertisings (About Marketing91, 2014). Promotions largely depend upon the pricing plus product decisions. Since the clothes are completely novel to the Brazilian markets, the product will need brand awareness promotions (Vinod, 2007). Promotions as well choose the product positioning as well as the segmentation targeting. The company will reach the targeted audience through advertising on the Televisions, radios, press and billboards as the advertising Medias (Abercrombie and Fitch, 2012). Additionally, Abercrombie and Fitch will use direct marketing mailshots, internet and via point-of-sale promotions as the types of developments to its product. Moreover, Abercrombie and Fitch will use the social media platforms, for example, Facebook, Twitter, and YouTube to promote the products in the targeted market (Alain & Jean-Marc, 2010). The branding will take the family versus individual mode, and the advertising message plus media strategy will be changed in the newly targeted country (Bureau UBIFRANCE de SAO PAULO, 2013). The correct type of promotion will affect the three other marketing mix variables, the price, product, and place. Effective promotions will lead to the company increasing the points of distribution, as well as increase the product prices (Alain & Jean-Marc, 2010). The increase in price and distribution points is because the growing product brand equity plus profitability might support the company to launch even more products (Alain & Jean-Marc, 2010). IM Management- Monitoring Progress, Organization Motivation/Control Information management involves understanding the business context information and how to organize and control such information effectively such that it might be used to create the company’s knowledge and business communication. Information management regards how the company will manage its information and how people in the company find, organize, use and convey such information most efficiently (Behn, 2003). Monitoring the progress is the basis of business success. Following the execution of the company plan, the progress must regularly be monitored. Monitoring will help Abercrombie to measure the company activities against the outcomes seen and if the business is meeting its objectives (Behn, 2003). In essence, monitoring information can help to understand how better the strategy is functioning. In other words, progress monitoring can assist in pinpointing where the business plan activities are not generating the desired outcomes (Behn, 2003). Employee motivation derives from the effectual management practices. The Abercrombie and Fitch administrator will treat the workers as individuals, empower them a...