CATHOLIC UNIVERSITY OF SANTIAGO OF GUAYAQUIL

FACULTY OF ECONOMIC AND ADMINISTRATIVE SCIENCES

INTERNATIONAL BUSINESS MANAGEMENT

INTERNATIONAL MARKETING

INTERNATIONALIZATION PROJECT: ECUADORIAN BANANA

TO ICELAND: ECUBANANA

GROUP N° :

CASTRO CINDY
HERNANDEZ GABRIELA
JARAMILLO KIRA
ROMERO ANDREA

UTE
SEMESTRE A – 2019
 INTRODUCTION

The purpose of this paper is to analyze the decisions based on the price,

product, promotion and distribution of the project previously prepared for the

export of bananas to Iceland. All these variables are components of the

Marketing Mix. The Marketing Mix is "the set of tactical tools that the company

combines to produce a desired response in the target market. The marketing

mix includes everything what the company can do to influence the demand of its

product” (Kotler & Armstrong, 1985). The use of these strategies allows the

company to obtain great economic, corporate and product image benefits; and

also meet the client needs.

As a summary of the previous work it was found that Iceland is a country

with an excellent economic situation and in which its citizens have a high

purchasing power. Icelanders focus on product quality and in the case of fruits

in their freshness and good condition.

GENERAL OBJECTIVE:

To analyze the decisions based on the price, product, promotion and

distribution of the project previously prepared for the export of bananas to

Iceland.

SPECIFIC OBJECTIVES:

 Investigate and select the correct decisions for the product that will be

exported.

 Choose pricing strategies that are related to the Icelandic market and

you can get benefits.

 Analyze the promotion and distribution decisions related to our export

product.
  Choose the right market coverage strategy

PRODUCT DECISIONS

Quality Inspection

Verification of ripeness and health of bananas, by the consistency of the pulp of the fruit

as indicator, in addition to eliminating clusters with defects of conformation,

mechanical damage, age over the allowed

Clean the product

It consists of the elimination of materials large and small contaminants, such as spiders,

Insects, bird nests. Applying water under pressure.

Desmane

It is done with a curved knife or cutter semicircular, called a spoon, is performed

making a single clean cut without leaving other cuts no tears. The cut is made as close

possible to the stem leaving enough crown, hands they are carefully placed in the tank

of desmane as it skips away, we proceed to remove the protectors. Use should be

avoided of wood and other materials that do not allow proper cleaning and disinfection.

Washing and weeding

The clusters are transported by a continuous flow of water from one edge of the tub to

the other, where there are the fruit sorters and sorters.

In the tub is placed a product that removes the latex, which operates for as long as the

fruit record the tub On the sides of the tubs there are people who proceed to wash the

segments to remove dust and dirt, remove a cluster of reports or show signs of damage,

scratches, damage caused by insects or others that deteriorate its presentation on more

than the fingers.

Weighing and classification

On a calibrated scale, in a tray specially designed, the number of

required cluster until the requested weight is completed per box, following the pattern of

specific sizes for the packaging requested by the buyer or

exporter.

Fumigation and treatment

We proceed to apply the crown of the segments a solution of aluminum sulfate and

fungicide fungicide for prevent the

development of fungi that give way to

decomposition of the crown during

transport and storage.

Label

Depending on the markets, the distinctive labels of the registered trademark will be

placed on the inner fingers of the cluster.

For the export of cardboard there are some points that must be taken into account to

choose the appropriate packaging for the banana, among the main ones are: Type of

banana, weight and quantity.

We manufacture polyethylene with latex, density and suitable weight that allow the

protection of the fruit from its early stage of development until its release to the final

consumer.

Our designs of foamed polyethylene closed cell, have demonstrated efficiency in

protection of the fruit, its versatility allows us to achieve different applications in terms

of shapes, thicknesses and colors in the growth stage and during the packing of the fruit.
Packing

It is done in corrugated cardboard boxes made according to established specifications

and dimensions according to the weight to be packed, the distance at which the fruit will

be transported and the conditions of the consumer market use of absorbent paper in the

base of the box and separators for a good packing of the fruit either in three rows or four

rows, depending on the size of the fruit, always the clusters, large medium and small.

The Cover

The cardboard cover is placed taking care that the holes bottom and cover vent match.

He you should check that this holes are free ofany object that causes its obstruction

before to cover.
 PRICING DECISIONS

The minimum FOB reference price of 50 lbs. banana box export is $ 9.30.

Because the company is new to the market, two types of pricing methods were chosen:

Cost Oriented pricing and market competition. This will allow the company to earn

profits and make the brand known in the Icelandic market.

For the export and marketing of bananas in Iceland, the following decisions in the sale

price will be considered:

Cost Oriented pricing

As previously mentioned, Icelanders have high purchasing power, which is why they

consider the quality of the products to be fundamental.

To set the price, all costs associated with the presentation and delivery of a quality

product will be taken into account (item costs, capital expenses, and operational costs).

Therefore, the company should focus on the quality and presentation of the introduction

to get the most out of it and a high price. The shipment and presentation of fresh and

excellent quality products, appealing to the view of customers, will be considered. In

addition to this, the brand will focus on positioning itself as a superior and quality

brand.

Competition

An advantage in this variable is that there are no other Ecuadorian companies that

export this fruit to Iceland. However, we have to be in line with the market price so

maximum and minimum price limits will be established according to the situation in

which the market is.

 DISTRIBUTION DECISIONS

The distribution channel is the circuit that the products follow until they reach

the final consumer.

A traditional distribution chain will be used:

 Direct channel: This involves a distribution model in which, after the

production and post-production of the bananas, the end customer will

interact directly with the company without any intermediaries. We

planned to approach our customers by creating added value in the

deliveries which will lead our company to succeed by creating solid

relationships with every single client. 60 % of our distribution operations

will be focused on this type of distribution.

 Indirect channels involve a distribution model in which the manufacturer

and the end customer interact with each other through intermediaries,

such as wholesalers and retailers. Iceland has a good economy, so the

rest of the operations to get to the end consumer, will be based in the

indirect trade, in order to have more movements of our final product

within the supply chain of bananas and appear in supermarkets.

PROMOTION DECISION

Create BTL advertising in the main cities.

BTL advertising (Below the line) is outside the traditional lines used to advertise. It is

very beneficial since it is the least expensive and can be targeted to specific segments,

which makes it effective because they have better contact with future consumers.

Develop a marketing campaign based on their culture using emblematic figures.

In this case, to personalize an advertisement for Iceland, advertising based on the

history of the Vikings would be used, since they are Nordic culture countries.

Seek strategic alliances with foreign companies and government entities

(embassies).

Ecuadorian embassies in these countries must function as spokespersons to promote

trade between the parties. Currently, Iceland has a concurrent ambassador but in

Sweden . Therefore, Ecuadorian exporters could work together with embassies located

in Sweden. In addition to partnering with chambers of those countries that are

responsible for boosting trade between nations.

Organize annual fairs of the agricultural sector showing the emblematic products

of Ecuador to these countries with the help of embassies.

An annual fair called Expo Ecuador farming would be held in which it consists of

welcoming producers (small and medium) of the agricultural sector to boost exports and

achieve product positioning in the market to choose. The fair would be held in the

capital of Island. This event would be held jointly with the different associations of

small and medium Ecuadorian producers and Ecuadorian embassies in Sweden.

Develop different activities at international level in the field of gender equality, to

maintain the image of social responsibility.

Implement the innovative “One Day Banana Pack” packaging.

Within the tactical planning the issue of banana packing is mentioned. In Europe and

the United States, the type of packaging used for Cavendish Banana Class "A" Premium

is the Box Type 22XU (18.14 KG Net up to 19.45 KG Net) 960 or 1080 boxes in

palletized container, the size of which The fingers are a minimum of 18cm with a

minimum caliber of 39 mm and a maximum of 46 mm. The number of fingers per hand

is a minimum of 5 to 12 fingers. As for the external packaging, a lid, bottom, cardboard

and Vacuum Cover or Polypack are used that can go according to the station and the

transit time of the trip.However, other cover options such as TUBOPACK, BANAVAC,

POLYTUBO, SHEETS, among others, can be used in low or high density polyethylene,

in widths up to more than 50 ", in sizes from 0.4 thousandths of an inch, with or without

perforations and rip cord, all, according to the requirements of each client and the

market niches for packaged fruit.

Based on these directions, one of the tactics will be the implementation of an innovative

package that does not fall into the satisfaction of the supplier but of the consumer. The

“One Day Banana Pack” is a new biodegradable packaging format that consists of

packing six bananas in different ripening stages, including two bananas in color phase

4.5, two bananas in color phase 3 and two Bananas in color phase 2.5 , this new model

was presented in August 2018 in Germany and is already known in Asian countries and

is similar to the “weekend package” model already presented in England or the

Netherlands.