Logistics Behind an International Marketing Plan

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Theodore Cacciola: Copyright 2011: Hamilton FinancialsThe Logistics Behind an International Marketing Plan: From tarting an International

B!siness Plan to Capitali"ing on International Marketing #pport!nities:

The Logistics Behind an International Marketing Plan:

From tarting an International B!siness Plan to

Capitali"ing

on International Marketing #pport!nities:

Ted Cacciola

Copyright 2012: Hamilton Financials

Copyright $ 2012 %ritten &y Theodore Cacciola'p!&lished (ia the o!tlet o) Hamilton Financials' Inc*Fair)ield' Connectic!t* +ll ,ights ,eser(ed* -.cept aspermitted !nder the /nited tates Copyright +ct o)1' no part o) this p!&lication may &e reprod!cedor distri&!ted in any )orm or &y any means' or storedin a data&ase or retrie(al system' %itho!t the priorpermission o) the p!&lisher*


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This paper o!tlines the logistics &ehind

a market entry strategy* 9e start o)) %ith a

case st!dy and relate that topic thro!gho!t

the paper* 9e go onto talk a&o!t the logistics

o) a market entry strategy' ho% there are

primary and secondary steps to%ards

&!ilding a market entry strategy* e.t %e

del(e into linkages in international marketing'

a little kno%n' &!t critical aspect to

international marketing* Then %e e.amine

ad(ertising str!ct!res' %e look to a higher

degree the &ase market than in the

secondary markets %hen esta&lishing a

market entry strategy* #nce %e ha(e

esta&lished %hat a market entry strategy is

&ased !pon the prior hypotheses' %e del(e

into ad(ertising str!ct!res %hich promote

gro%th* e.t %e attempt to minimi"e risk and

%eigh the costs %ith the &ene)its o) things

s!ch as o!tso!rcing prod!ction' ser(ices' and


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so on* 9e concl!de %ith an a)ter%ard %hich

s!mmates the papers hypotheses %ithin the

science or trade o) international marketing*

This &ookIt o!tlines the strategies %ithin

di))erent medi!ms )or o&taining and the

seeing o!t o) a pro)ita&le market entry

strategy in international marketing*

9ithin this &ook' %e set o!t to ans%er three

3!estions* The )irst 3!estion %e set o!t to

ans%er is


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This p!&lication is !ni3!e &eca!se it ans%ers

many so!ght a)ter 3!estions* It del(es into a

case st!dy %hich is toted !pon thro!gho!t

the essay as a re)erence* It stri(es to in)orm

the p!&lic o) the logistics o) a market entry

strategy and ho% those logistics are critical in

%eighing the costs %ith the &ene)its*

The literat!re %ithin this te.t helps

strengthen the hypotheses %ithin this te.t*

9e ha(e sco!red se(eral di))erent acclaimed

te.ts to )ind the most critical pieces o)

in)ormation %ithin international marketing

to%ards &!ilding a market entry strategy*

/pon yo!r completion o) this te.t' yo! %ill &e

pro(ided %ith the tools to create yo!r o%n

pla!si&ly s!ccess)!l market entry strategy

%hich %ill promote gro%th in the )orms o)

%ealth and marketing e))iciency*


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Chapter 1: + Case t!dy Based /pon

Footprint trategies:

The )irst 3!ery ind!lged %ithin this te.t

%ill &e the logistics &ehind determining a

target market ? )!rthermore deciding %hich

prod!cts a(aila&le per yo!r reso!rces are

&est )or that target market* 9hat this does is

it segments yo!r market* 6o! m!st

remem&er &e)ore initially planning an

international marketing plan' that c!lt!re

plans a critical role in the assessment o)

target market* This is acc!m!lated as a

market entry strategy* 9hen determining a

market entry strategy yo! m!st determine

cons!mer market cap le(els' )or e.ample


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accompanied &y hea(y promotion= Lasc!'

212* This statement di(ersely s!mmates'

%ithin the &o!nds o) logic' a market entry

strategyDs )ootprint*

o' &ased on that statement' %hat can

&e determined is the a))l!ence o) a

comm!nity' or more )initely a cons!mer

&ase' &ased on gi(en )ig!res per EP and

a(erage ho!sehold income' to%ards

determining the le(el o) in(ol(ement to %hich

the international marketing strategy

s!mmates* Per say' yo! determine that yo!

ha(e de(eloped a crop distri&!tion

agric!lt!rally proportioned man!)act!rer* 6o!

then e3!ate' &ased !pon yo!r gi(en prod!ct'

it is &est to Internationally allocate a

marketing strategy to%ards prod!ction and

distri&!tion per yo!r prod!ct &ased !pon the


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cons!mer tastes paralleled %ith the

cons!mer market cap' %holly incl!ding the

le(el o) agric!lt!re inside yo!r co!ntry* It

may in )act &e &est' in %isdom' to determine

a c!lt!re prior to determining a speci)ic

co!ntry* Per say' yo! are interested in

marketing yo!r prod!ct internationally and

ha(e (ied the co!ntries o) +!stralia and

Ereat Britain* 6o!r prod!ct' gi(en' is a crop

distri&!tion mechanism* 6o! determine that it

is &etter' tho!' to pertain marketing e))orts

to%ards +!stralia (ia its higher' altho!gh not

ideal' &!t marginally higher per the e.ample'

agric!lt!ral society' gi(en that Ereat Britain

is a lo% agric!lt!ral society %hich imports

m!ch o) its crop' and determine that crop

distri&!tion is prospecti(ely higher in

+!stralia &ased !pon the )act that yo! ha(e

determined that' say the crop %hich yo!r

prod!ct distri&!tes is %heat' yo! ha(e no%


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determined that it is &etter to proportion

a(aila&le income per yo!r marketing

campaign to +!stralia (ia the logic in the

e3!ation that m!ch o) Ereat BritainDs crop is

prod!ced internationally %hile %heat crop in

+!stralia is prod!ced domestically*

Based !pon the hypotheses

a)orementioned in the prior paragraph' it is

gi(en that yo! ha(e already determined that

the c!lt!res o) &oth Ereat Britain and

+!stralia ha(e cons!mer pre)erences'

c!lt!ral ideals' and income le(els all

coinciding %ith each other' yo!r ne.t decision

is to internationally e.port yo!r crop

distri&!tion mechanism to +!stralia' &ased

!pon itDs )ootprint o) domestic &ase' and then

e.porting yo!r prod!ct' a secondary

mechanism %ithin yo!r market entry


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strategy' (ia marketing to c!lt!res %hich

parallel in distinction %ith +!stralia' yo! ha(e

already determined Ereat Britain to &e a

logical latter aspect o) yo!r market entry

strategy' to also e.port yo!r %heat crop

assimilated per yo!r crop distri&!tion

mechanism to e% Gealand and o!th +)rica'

seeing this secondary step in the c!lt!ral

norms creates an alliance o) c!lt!res &ased

!pon roots' yo! also determine that it is

pro)ita&le to distri&!te yo!r crop to India and

apan' &!t p!ll )!nds )rom those marketDs

international marketing strategies' &ased

!pon di))erential c!lt!ral norms' this decision

is &ased !pon ind!striali"ation le(els aligned

%ith income le(els' a decision &ased !pon

costo)trade*


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Part I: J!estion 1: 9hat are the logistics

&ehind a market entry strategyK


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Chapter 2: The Logistics Behind +)ore ,ole #)

Marketing tep 1: +naly"ing Primary ?

econdary +spects:

o yo! ha(e read o!r elementary case

st!dy* eeing there &eing secondary and

primary steps to%ard an international

marketing campaign* These are o!r t%o &asic


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steps to%ards determining an market entry

strategy' determining %hich is the domestic

market to &ase !pon yo!r prod!ct' a)ore' a

crop distri&!tion channel' as in %here to

allocate yo!r prod!ction reso!rce' and

second' %here to allocate yo!r e.port

reso!rces' ha(ing assessed all the parallel

&iases per gi(en domestic and international

cons!mer trends*

o %hat are these' as i) to say'


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entry chapter is dismissed %ithin this case*

9e look at a larger perspecti(e %ithin these

&o!nds ascertaining that &et%een e(ery

c!lt!re are c!lt!ral di))erences' religio!s'

political' c!lt!ral' and so on*

o %e )irst %ill look to c!lt!ral

di))erences* C!lt!ral di))erences e.ist not

only &et%een co!nties' &!t %ithin them as

%ell %hich creates market entry strategy

&o!nds %hich m!st &e o(erstepped' altho!gh

not %ithin the conte.t o) the saying


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this tho!ght %hich co!ld at least &e

deciphered as one o) cr!cial importance7 an

encompassment o) highly encompassed

%isdom %hich %e %ill )!rthermore e.plain to

e.plore these c!lt!ral di))erences*

C"inkota descri&es these strategyDs as a

&asis )or e.change o) %hat he calls


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Part II: 9hy are linkages important in

international marketingK


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Chapter 8: -.ploring the +)orementioned


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o %hat are some e.amples o)


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10* In one e.ample C"inkota %rites'


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&ook in that there is an o!t )l!. or spreading

o!t o) ad(erse scenarios )rom one co!ntry to

another*

Part 2: 9hy are linkages important in

international marketingK


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Chapter ;: -.amining +d(ertising tr!ct!res:

9hen e.amining the e.tent to %hich

ad(ertising sho!ld interact %ithin a

companyDs promotional campaign' %e m!st

look to a higher degree the &ase market than

in the secondary markets %hen esta&lishing a

market entry strategy*

Looking &ack to o!r case st!dy' o!r

&ase market here is +!stralia ha(ing


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secondary markets in -ngland' e% Gealand'

o!th +)rica' and ha(ing o!r limited

marketing e))orts in India and apan* 9hen

e.amining o!r ad(ertising campaigns %e

m!st e.amine the' %hat is called'


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+)rican co!ntry' that is &eca!se the o&5ect o)


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promotional mi. %ithin international

marketing o) sales )orce management* 6o!

may %ish to say' promote yo!r %heat crop in

+)rica (ia a sales )orce comprised o) nati(e

+)ricanDs %ho speak each speci)ic lang!age

spoken in a co!ntry and create p!&licity o)

yo!r %heat prod!ct e.ported )rom +!stralia'

per say' altho!gh in most cases yo! sho!ld

diminish all e))orts in e.porting a crop )rom

+!stralia to +)rica &eca!se 3!ite o&(io!sly'

there are domestically prod!ced crops %hich

yo! co!ld not &eat on price point' ne(er mind

on margin*

+ltho!gh &ased on a)orementioned

statements' yo! may %ish to e.port yo!r

crop distri&!tion prod!cer to a neigh&oring

co!ntry o) +)rica to lo%er yo!r transportation

costs' all &eing said' it is &est to e.cl!de


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most +)rican co!ntries )rom marketing

strategies in general' there are too many

&arriers to the implementation o) yo!r

prod!ct or ser(ice' many companies' e(en

s!ch as CocaCola' do not e.port prod!ct to

some +)rican co!ntries' in laymanDs terms the

cost is not %orth the &ene)it*

B!t ho% sho!ld yo! &!dget yo!r

ad(ertising e))ortsK I) yo! are pertaining to a

market entry strategy it is &est to &ase yo!r

)!nd allocation to%ards ad(ertising

e.pendit!res &ased !pon %hat are called


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yo!r target market and ask to see i) yo! can

e.amine di))erent companies &!dgetDs on

past e.pendit!res* F!rthermore' yo! may

%ish to e.amine se(eral aligning companies

past marketing &!dgetDs to e.pand the scope

o) yo!r research*


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Part III: 9hat are the secondary steps

to%ards &!ilding a s!ccess)!l market entry

strategyK


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Chapter >: Prod!ct i(ersi)ication to Minimi"e

,isk:

o in o!r small elementary case st!dy

%e determined the marketing strategy )or a

single prod!ct' that &eing said' it is &est )or

that company' and any company )or that

matter' to di(ersi)y its prod!ction e))orts to

minimi"e risk*

9ithin )inance' the &iggest intellect o)

all time on the theory o) di(ersi)ication %as a

%riter named Ben5amin Eraham' this

e.ample o) %hat di(ersi)ication is can speak

)or itsel)' Eraham %rites7 1A* He goes onto say that

the more n!m&ers that the man &ets on the


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smaller his chance o) ending %ith a pro)it'

and says


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else%here* Point in case' i) the company

prod!cing the crop distri&!tion mechanism

%ere to di(ersi)y (ia increasing their margin

o) sa)ety' they co!ld minimi"e their risk*

o ho% %o!ld they di(ersi)y (ia their

margin o) sa)etyK Most importantly' they

%o!ld &e &est o)) to o!t)it higher end models

%ith the a&ility to prod!ce di))erent crops* For

e.ample' say +!stralia also has a high

capacity )or corn prod!ction' i) they o!t)itted

the mechanism to distri&!te corn in

con5!nction %ith %heat they %o!ld increase

their margin o) sa)ety and di(ersi)y %hich

%o!ld minimi"e their risk*


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Chapter : Ho% to Minimi"e ,isk Pertaining to

a Market -ntry trategy:

9hen determining yo!r prod!ct' yo!

may &e a&le to achie(e high(ol!me markets

o!tside yo!r home market' that &eing said'

those markets are less attracti(e* That &eing

said' yo! m!st create a market entry

strategy %hich minimi"es capital risk* +ll

things e3!al' yo!r risk is essentially

pertaining to yo!r capital*


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Hans M!hl&acher %rites on minimi"ing

capital risk %ithin an e.ample7


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+)ter%ord:

There are many managerial implications

regarding a market entry strategy* First o))'

!&hash ain %rote7


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determine %hether the res!lting per)ormance

o!tcomes' positi(e or negati(e' stem )rom

the inappropriates o) strategy or the %rong

implementation o) other%ise appropriate

strategies@ not only ca!sing management to

e.perience poor per)ormance &!t also

hindering attempts to !nderstand the

reasons &ehind it= ain' 20* ain goes onto

%rite o) a good strategy*

#n the other hand' good e.ec!tion may

mitigate poor strategy' gi(ing managers time

to remedy the pro&lem &e)ore it ca!ses

per)ormance to deteriorate= ain' 210* The

a)orementioned te.t o!tlines good

managerial strategies and poor ones %hich

s!mmate into a positi(ely elastic market

entry strategy* + positi(e market entry

strategy is determined' in laymanDs terms'

prior to its implementation' as %ell as &eing


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constantly monitored to remedy pro&lems

&e)ore they ca!se per)ormance to

deteriorate* + market entry strategy incl!des

an in(isi&le marketing mi. o) determining

)oolproo) entry strategies prior to their

implementation along %ith constant

monitoring o) that )oolproo) market entry

strategy &y management*

Managers can !se this market entry

strategy to maintain market share' and

)!rthermore &!ild market share* The

manager allocates necessary additional

reso!rces to


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statements' marketing campaigns' and so on'

it is the marketing managers 5o& to take the

proposed market entry strategy and t!rn it

into reality*

9orks Cited:

C"inkota' Michael7 International Marketing:

Copyright 200 Thomson o!th9estern


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Eraham' Ben5amin: The Intelligent In(estor:

Copyright 200 HarperB!siness -ssentials

M!hl&acher' Hans: International Marketing: +

Elo&al Perspecti(e: Copyright 200 Thomson

Learning

Lasc!' anaicoleta: International

Marketing: Copyright 200A: Cengage

Learning

ain' !&hash7 a(id Eri))ith: Hand&ook o)

,esearch in International Marketing:

Copyright 2011 -d%ard -lgar P!&lishing

Limited


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%ayne' Linda: trategic Management:

Copyright 200 Black%ell P!&lishing

+&o!t the +!thor:

Theodore Cacciola st!died Finance and

B!siness +dministration at -astern

Connectic!t tate /ni(ersity %ith honors' a

eanDs list st!dent* He is the head +nalyst

and o%ner o) Hamilton Financials %here he

pro(ides Financial e%s and +d(ice

Nisclaimer )or +d(ice in a %e&&ased

)inancial ad(isor atmosphere* He seeks to


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Logistics Behind an International Marketing Plan

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