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Introduction In the age of globalization access to global market is one of the important aspects for most of the companies

who want to increase the business growth rapidly. Globalization is a complex phenomenon which has multi face and provides diverse opportunities to politicians, scholars, practitioners, businesses and many other groups in order to achieve development (Johnson and Turner, 2009: 17-18). In order to reach to the goal of having global business it cannot be ignored that the role of international marketing is essential. Onkvisit and Shaw (2009: 5) see international marketing is the multinational process of planning and executing the marketing mix (product, place or distribution, promotion and price) to create exchanges that satisfy individual and organizational objectives. In this paper two companies have been selected to analyze the domestic and international marketing practices. Budgens is one company which operates locally in the UK and does not focus to the international market. This company is basically the food retailer and is well reputed within the UK territory. Tesco Plc. is other one selected for the analysis. Tesco Plc. operates globally and expanding its business very fast in the international market.

Comparing Domestic and International Marketing Principles Domestic marketing principle involves one set of uncontrollables derived from the domestic market. Domestic marketing principles do not need to consider diverse factors and cultural differences beyond the national borders (Onkvisit and Shaw, 2009). Budgens is the local UK food retail company which is typically concerned with the local market and the companys stores are run by independent retailers. Those retailers use the brand of Budegns in their store who proved their sincerity for quality of food. The quality of food and decent presentation of the food items are the two most important aspects of their marketing practices. Budgnes domestic marketing principle does not bother for much scanning of marketing environmental factors (Budgens, 2012). The offer of quality product in cheap price is one of the key principles of marketing by Budgens retailers in domestic market is very much important factor of analyzing the marketing principles on the basis of marketing mix given by Kotler and Armstrong (2010).

Value for money by focusing on price and the quality of product has been significant in the marketing principles of Budegns as the local business operators. Whereas, Tesco plc. is the company which also retails food items in their local and global stores has to rely on the cultural differences in between the countries and regions where they operate as international business organization. It is not only the marketing mix for Tesco Plc. which demands importance from the corporate marketing managers but also many other international factors and aspects of the international market that need careful consideration. According to Onkvisit and Shaw (2009) company with access to international market definitely needs a proper marketing practice formulated on the basis of environmental scanning of both domestic or home and international market. Tesco Plc. has considered the quality service both in the stores and online in their international market. Since Tesco Plc. has gone for the international market it has grabbed either number one or number two in 8 out of 13 international markets. That means their international marketing principle based on quality service delivery has worked quite well (Tesco, 2012). Tesco Plc. has to look after the international politics, cultural differences, economy of the world in making the principles of marketing. These are the things Budgens does not need to look after while marketing in the domestic market. Thus from the analysis it is seen that domestic marketing principles can only based on the marketing mix or 4Ps of marketing rather than determining the international politics, society, culture, economy and legal factors.

Nature of Growing Global Market and its Potential Impact on Tesco Plc. and Budgens In the recent years the international marketing is very much significant because the world has become globalized and tough competition between businesses has also become one of the key features of global market (Czinkota and Ronkainen, 2007). Due to globalization the global market is growing faster because the advancement in communication and technology far reaching regions have come together under one global market or village. Due to the growth of the global market different people from different regions or market are now able to access to the products of other markets where they could not have access even just before 1980s. The shipment of products to the store from the manufacturing countries is now very much easy due to

the rapid communication. Multinational Companies (MNCs) like Tesco Plc. are able to produce in one country and store in different countries which ultimately ensures the global marketing. The growing global market has brought the world economy under significant consideration because it has important impact upon all global business organizations like Tesco plc. The recent economic credit crunch and recession has lead to employment cut in Tesco Plc.s global stores and factories or processing zones. The recent turmoil in the Middle East politics has led the price hike in petroleum goods (CNN, 2011). Energy and fuel price rise is one of the significant factors which negative impact on the business of Tesco Plc. The company had to adjust its product price but due to the difference in the economic condition of different markets like China, India, Singapore the company had sacrifice the revenue growth. The economic, political and legal factors in the globalization process have also impact on the local business like Budgens. But the impact is less severe than that of Tesco Plc. the recent recession faced by the world has made the UK economy weak and to rectify the economy the Blair government in the UK eased the immigration rules (The Financial Express, 2006). That is why huge number of people has come to the UK from Asia and Africa for work and study. This situation definitely positively impacted upon both the companies under analysis in this paper. The local market of Tesco Plc. in the UK and Budgens has increased as the number of people coming in to the UK has increased. According to Czinkota and Ronkainen (2007) the domestic market cannot be separated from the global market environment due to the globalization. This notion has been already seen from the above discussion that companies with local operation also need to consider the global events or the factors of global market.

Cross Cultural Implication of Practical Marketing of Tesco Plc. Tesco plc.s practical marketing involves many community activities and community projects where the company looks after the priorities of the community within which it operates (Tesco, 2012). That means giving the importance to the people for whom the products and services are delivered is one of the important aspect of the practical marketing of the company. It also brings the notion of corporate social responsibility into the practice. Thus the corporate social responsibility scheme also works as the marketing agent of Tesco Plc. The company always

abides the rules and regulation of other countries where it manages operation. In the scheme of community project the company looks after values, ethics, morals, believes and symbols of those cultures where the operations are being managed. During the marketing through community projects and corporate social responsibility scheme the company shows due respect to the host countries values and symbols. This kind of activity definitely ensures the positive behavior of people of other countries where the company has potential market. That implies the chance of expansion of business as the practical marketing practice of Tesco Plc. satisfies the people by respecting their values. The favorable market and people is very much important for managing operations abroad. It is always significant to satisfy the people of host countries without hurting their values. Tesco Plc. has been very much successful in doing so as it has gained either number one or number two spot in Japan, India, and Eastern Europe market. In managing with host countries people the company has got it easy to do the business. The employment from the host countries people has kept the cost low as they do not demand much remuneration as like USA or UK.

Current and Future Market trend of Tesco Plc. From the table 1 below it can be seen that how Tesco Plc. has expanded its global market. The current trend of global market of the company shows that it would definitely look for further expansion. The cultural difference between the countries is one of the most important factors for making decisions of expanding in international market. Table 1: International Business of Tesco Plc.
Country China Czech Republic Hungary Republic of Ireland Japan Malaysia Poland Slovakia South Korea Entered 2004 1996 1994 1997 2003 2002 1992 1996 1999 Stores 105 158 205 130 140 44 371 97 354

Country Thailand Turkey

Entered 1998 2003

Stores 782 121 2,715 164 2,671 5,386

United Kingdom (for comparison) 1919 United States Total (not including UK) Total (including UK) 2007

The North American market including USA is the most attractive one for the company as it has already stated that it would go for underserved market in the USA. Tesco Plc. has entered in the Chinese market in 2004 and the current trend of its business in China shows that it would go for expansion by opening many stores in different regions of China rather than metro cities like Shanghai. Within China operation would be beneficial for Tesco as the cultural difference is not severe within China. Same kind of culture exists in Japan, Taiwan and Thailand as most of the people follow Buddhism as religion and that is why their culture matches significantly. So the East Asian Region would be one of the significant potential markets for Tesco in upcoming years of its global operations. By referring the present trend of market in the USA Tesco Plc. definitely can go for Canada operations with large investment. The cultural differences between USA and Canada do not differ much. Although in Canada there is a lot of French people leave the experience in operating in France would be handy for the company to handle market with French people. Switzerland would be one of the potential markets as it is a European country and it is expected that the cultural difference would not be that severe comparing to other European countries. In order to open stores in Switzerland Tesco needs to consider the culture and habit of the customers in buying the food products. The failed attempt in France during 1996-1997 has given an experience to the company and on the basis of the experience it can figure out the market penetration both in Canada and Switzerland. In Switzerland the penetration of own-brand products is high and this could be acting as positive sign for Tesco to build potential market in Switzerland. Although bit of cultural differences exist between the UK and Switzerland the wealth of the Swiss people is significant and gives opportunity to penetrate into the Swiss market. Tesco plc. has already gained access to eastern European market but the western European market is still there as potential market for the company. Switzerland is the starting point of Western Europe. That is why the company could try hard to setup business in

Switzerland to penetrate into the whole Western European market. Thus the current trend of market of Tesco Plcs global business shows the business expansion in the Asian and east Asian region. The potential market for the company lies in the Western European and North American market by considering the cultural differences.

Conclusion Budgens as local operator within the UK has well reputation to expand worldwide like Tesco Plc. In this paper it has seen that the global market environment shape both the domestic and global operators and this is because of the globalization and rapid process of coming together for all the countries and regions of the world. Due to the development of fast communication and technology the global business operation has been possible for the companies and the global market has become most important for MNCs like Tesco Plc. to keep the revenue growth up to pleasing level. Thus it can be said that domestic business now has the opportunity to go for global market and the global operators also has the chance to expand it further by recognizing the global market environment and cross cultural differences between countries and communities.

Reference Johnson, D. and Turner, C. (2009) International Business: Themes and Issues in the modern Global Economy, Routledge, UK Kotler, P. and Armstrong, G. (2010) Principles of Marketing, Pearson Education, UK Onkvisit, S. and Shaw, J. J. (2009) International Marketing: Strategy and Theory, 5th edition, Palgrave, UK, accessed on 31st March, 2012, accessed on 31st March, 2012, accessed on 31st March, 2012, accessed on 31st March, 2012, accessed on 31st March, 2012