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International

m
Marketing

Professor: Carla Pennano


2023
International Marketing Plan  FINAL PROJECT
• Introduction  Brief overview of the company, its main products, target country,
main target markets, and primary entry strategy

• Research Methodology
• Situational Analysis
• Company Analysis
• Organization’s Assets and Skills
• Market Analysis m
• Business Environment analysis
• Political/Legal/Institutional Environments
• Regulatory Environment
• Economic Environment
• Social and Cultural Environment (Factors and Trends)
• Demographic Environment (Data and Identification of Trends)
• Technological Environment (Factors and Trends)
• Natural Environment (Effect of Seasonal or Climatic Factors)
• Physical Environment (Infrastructure Indicators)
• Product Category Stage of Product Life Cycle
International Marketing Plan
• Structure of the Industry
• Porters 5 Forces
• Competitor Analysis (in country of investment)

• SWOT ANALYSIS
• Internal Company Strengths and Weaknesses
• External Market Opportunities and Threats
• Implications of SWOT Analysis
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• OBJECTIVES
• International Objectives
• Market Objectives

• MARKETING STRATEGY (TSP Framework)


• Target Markets Identification and Segmentation Strategy
• Market Positioning
• Market Entry Strategy
International Marketing Plan
• MARKETING MIX STRATEGIES AND TACTICS
• Product/Service and Branding Strategy
• Place (Distribution) Strategy
• Price Strategy Structure
• Promotion Strategy (including Promotional Budget)

• PLANNING BUDGET
• Planning Assumptions
m
• Forecast Sales (and Market Share) and Costs (Capital, Operating, Marketing,
etc.)
• Forecast Profitability (or Break Even Analysis)
• Sensitivity Analysis (incorporating contingency issues)

• IMPLEMENTATION AND CONTROL


• Formal Project Plan for Implementation of Recommendations
• Monitoring of Action Plan
• Formal Contingency Plans
International positioning strategies

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International positioning strategies

• There are different levels of international


positioning.

• There are four levels of brand positioning in the


international market:

• 1. Base brand positioning (product brand


m -
company)

• Any local brand:

• Valle Fertil
• Michelle Belau
• Tarí, etc.

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1. Base brand positioning (product brand - company)

• It corresponds to most of the export of differentiated products or services,


adapted or adjusted to the requirements of the international market that have a
brand.

• It includes nationally successful companies that expand their borders on markets


similar to yours.
m
• Some examples: Topy top, Inca Kola, Kola Real, Banco de Credito, Rosatel, etc.

• Exporting SMEs and MYPEs that send differentiated products with added value
and a brand (examples: alpaca, silver, furniture, software, etc.) are also at this
level of positioning.

• We speak of individual efforts of companies - the intervention of the state is not


important other than as a promoter or manager of order / general economic
stability.
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International positioning
strategies

• There are different levels of international


positioning.

• There are four levels of brand


positioning in the international market:
m
• 2. Sector positioning (sector brand -
via clusters)

• Sector:

• Colombian coffee
• Chilean Apple
• Bananas from Ecuador
• Asparagus from Peru
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2. Sector positioning (sector brand - via clusters)

• It basically works with commodities or little or no differentiated products to which


value is added via the association of articulated companies, from production to
distribution in the international market.

• The articulation tool is commonly called "Cluster" - which is defined as the


process of formation of a productive structure that has a constant interrelation
between the agents that congregate in m a given geographic space.

• A cluster allows production within the international standard of competitive


volumes.

• It allows commodities to acquire value and be identified in the world market


through a sector brand, thereby achieving international recognition.

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2. Sector positioning (sector brand - via clusters)

• Some requirements:
• Ownership of a geographic space and existence
of territorial concentration

• Presence of companies of different sizes around


the exploitation or use of resources
m
• Gradual productive specialization

• Presence of joint action of agents and active


competition to understand a progressively more
sophisticated demand.

• In Peru: the most recent case is the "asparagus


cluster" that has made us the leading exporters
in the world.
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International positioning
strategies
• There are different levels of
international positioning.

• There are four levels of brand


positioning in the international market:
m

• 3. Country positioning (country brand)

• Country brand:

• Italy = fashion
• France = culture
• Japan = technology
• Perú = gastronomy
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3. Country positioning (country brand)
• When one immediately associates
certain products, services or facts to a
certain country or origin.

• Examples:
• Football, samba or carnival = Brazil.
• Culture and gourmet food = France.
m
• Technology, practicality = Japan.
• Tacos, tequila or mariachis =
Mexico.

• We refer to products and services of


exclusive association to a country that
obtains identity thanks to it.

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International positioning
strategies
• There are different levels of
international positioning.

• There are four levels of brand


positioning in the international market:
m

• 4. Global positioning (global brand)

• Global brands:
• Coca Cola
• Nike
• IBM
• McDonalds
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International Segmentation strategy

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What is Segmentation?
• It is the process of dividing a
potential market into different
subsets or consumer segments.

• These consumer segments


have needs, characteristics or
behaviors that are m
homogeneous among
themselves but heterogeneous
between segments.

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What is Segmentation?

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Requirements for effective segmentation
• Measurable  You can measure the size and purchasing power of
segments, and create profiles of them. Certain segmentation variables
are difficult to measure.

• Accessible  Market segments can be effectively reached and served.

• Substantial  Market segments are m


large or profitable enough to serve.
A segment should be the largest possible homogeneous group worth
targeting with a tailored MKT program.

• Differentiable  Segments are conceptually distinguishable and


respond differently to different mix elements and MKT programs.

• Likely to be prosecuted  Effective programs can be designed to


attract and serve segments. 17
What are the objectives of market segmentation?
• Standardize the offer of products and services

• Maximize customer satisfaction

• Reduce costs

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Benefits of Market Segmentation
• Allows the identification of customer needs within a submarket (micro-
segmentation process) and the most effective design of the marketing mix.

• Companies can grow faster if they gain a strong foothold in niche segments of
the market.

• The company creates a more refinedm product or service offer and sets the
appropriate price for the target audience.

• Facilitate the selection or improvement of the efficiency of distribution and


communication channels.

• The company faces fewer competitors in a specific segment.

• New growth opportunities are created and the company gains a significant
competitive advantage.
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International Segmentation strategy
• The objective of international segmentation is to discover, in different
countries or regions, groups of buyers whose similar expectations
regarding products transcend national and cultural particularisms.

• Companies have the possibility of using international segmentation using


a variable or a combination of variables, the segments can be by
geographic location; that is, by regions.
m

• Countries can be segmented by political and legal factors, such as type


and stability of government, responsiveness to foreign companies,
monetary regulation, etc.

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International Segmentation strategy
• Homogeneous country groups  They are divided based on the fact
that an international MKT strategy can be valid in different countries
based on economic or cultural similarities.

• Universal segments  It is where the groups of consumers who have


the same consumption expectations in each selected country are found,
applying a standardized MKT program.
m

• Diverse segments between countries  They are different groups of


consumers in each country to whom the same product can be sold by
changing some elements of the MKT strategy.

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International Segmentation methods
• Divide a market into homogeneous groups based on selection criteria to
apply an appropriate marketing strategy

• Advantages:
• Select the markets that best fit the strengths of the company
• Develop a commercial strategy more appropriate to the needs of the
segment m
• Develop greater loyalty and loyalty to the brand

• Disadvantages:
• Increased manufacturing and distribution costs
• Heterogeneous behavior of the components of each segment

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The International Segmentation Process
• 3 possible international segmentation strategies:

• 1) Groups of homogeneous countries:


• Countries are divided into homogeneous groups based on the fact that an
International Marketing strategy can be valid in different countries based on
economic or cultural similarities (geographical grouping, segment
configuration) m

• 2) Universal segments:
• Consumer groups that have the same consumption expectations in each
selected country => STANDARDIZED MARKETING PROGRAM

• 3) Diverse segments between countries:


• Different groups of consumers in each country to whom you can sell the
same product by changing some elements of the marketing strategy
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The International Segmentation Process
• 1) Groups of homogeneous countries:
• Countries are divided into homogeneous groups based on the fact that an
International Marketing strategy can be valid in different countries based on
economic or cultural similarities (geographical grouping, segment
configuration)

• PQL Index: m
• An index comprising:
• Economic aspects (GDP, per capita income)
• Consumption indicators
• Aspects that measure quality of life/infant mortality, familiarization

• Example: European Union  group of homogeneous countries

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The International Segmentation Process
• 2) Universal segments:

• Consumer groups that have the same consumption expectations in each


selected country => STANDARDIZED MARKETING PROGRAM

• Homogeneous segments with respect to:


• Needs (lack of something) m
• Desire (way to satisfy the need)
• Expectation (hope)
• Product (remains unchanged)
• Strategy (can be homogeneous)

• Example: Generation Z in all industrialized/developed countries behave


similarly.

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The International Segmentation Process
• 3) Diverse segments between countries:

• Different groups of consumers in each country to whom you can sell the
same product by changing some elements of the marketing strategy

• Segments: various / different


• Product: remains unchanged m
• Strategy: different (for each country)

• Example: Nestlé sells the same products in different markets and only
adapts some elements of the marketing mix such as packaging and
labels.

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m

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Groupwork
• Determine the international
positioning and segmentations
strategies for the brand you´re
analyzing.

• MAP your brand and other


competing brands from the same m
industry in the international
positioning and segmentation
strategy grid presented before.

• You have 30 mins.

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International
m
Marketing

Professor: Carla Pennano


2023

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