International Marketing - Essay Example

International Marketing Case International Marketing Research at Mayo Clinic Mayo clinic is going to introduce three new centers like, the Regenerative medicine centre, individual medicine centre and science of healthcare delivery centre. Worldwide approximately 22 hospitals with 3700 physician will operate in next 5 years. It is estimated that revenue of 8 billion $ will be increased in next five years. It would be a massive financial performance by the company. The company already has taken challenge in research and education sector. The clinic is introducing advanced medicine along with a brand new medicine school. In upcoming five years Mayo clinic will do the investment for innovative practice, research and education sector. Moreover it is estimated that the company will spend 700 million $ per year in next five years in capital projects in order to attain huge brand awareness and customer base. Case 2: Swifter Higher Stronger Dearer Answer 1 The IOC’s asking prices for the different countries would be as follows: For Japan, and Australia would be 0.50 billion $ and for china and European country it will be little higher that of 1 billion $ because in this regions there are huge number of viewers of Olympic and in these place always have a hype for Olympics. For broadcasting in Brazil IOC should ask for 1.5 billion $ is the Olympics will be taken place in Brazil. Therefore there should be a huge demand for live broadcasting of games. Answer 2 NBC sports coverage has been selected for the live coverage of 2016 Olympics. It is estimated that NBC will be under a contract with IOC in an amount of 4.5 billion $. Moreover in order to balance the broadcast right cost NBC will implement the satellite and cable services for the purpose of additional coverage. They will collaborate with Triplecast and cablevision which will help NBC to telecast the live coverage. Case 3: Easy cars Answer 1 Car rental is very unpreserved service. Service design of car rental industry can be classified in 3 types such as Employee’s behavior, physical facilities and procedures & process, employee’s professional judgment. Answer 2 They are targeting the price conscious segment whose need is low price products. The customers of EasyCar believe quality on the basis of fundamental functionality. Answer 4 `It is the competitor of buses and taxis as it create the flexibility by giving the cars as rental in hour basis. Moreover the company offers the flexibility in terms of price. EasyCar should expand their market in many cities in order to achieve the competitive advantages. Answer 7 According to the expansion strategy of EasyCar, company need to hire and train the employees of several locations. They need to get trained efficiently as it is a service designed organization. Case 4: McDonalds Great Brittan- The Turnaround Answer 1 The problems confronting by McDonalds UK can be explained as follows: Health Issues and lack of quality Fast food is a junk food that is unhealthy for children. British government has restricted the promotional activities of junk food due to reduce childhood obesity. The target customers’ in UK were the school goers. Moreover the lack of quality of food and customer service has failed to encourage and satisfy the customers. Negative Impression from Press and Media The report and the exposes of news journals and media activities regarding lack of health in fast food have decreased the brand awareness of McDonald’s. The media was trying to expose the negative side of consumption of fast food that created a negative perception about the fast food products of McDonalds in Customers’ mind. Answer 2 The following issues are being addressed which are affecting the performance of McDonalds in UK: Quality of Food The major issue of McDonalds is Customers’ perception about the fast food. They think fast food is unhygienic food item which may affect the health of children. Customer service Inadequate customer service has affected the performance of McDonalds. Customers’ negative perception towards McDonald’s customer service is the important issue. The company management needs to train their employees on how efficiently treat their customers. Culture McDonald’s have plenty of outlets globally. It is difficult for McDonalds to maintain the same procedure in every outlet. Therefore they have to introduce food products according to the local cultural background in every region. This strategy can attract the customers’ attention as the company can get closer to the culture of the particular areas. Answer 3 The problems are still being facing by McDonalds can be identified as follows: Quality of Service In McDonalds still the quality of service is a major issue. The people of Great Britain do not give respects the employees of McDonalds because of poor services provided by McDonalds. Moreover, the brand image of McDonalds decreased in the customer’s mind due to the inadequate customer service of McDonalds. Food quality McDonalds run their business franchise basis. It is difficult for them to keeping the same quality of foods in every outlet. Moreover, the food comes in every outlet in frozen basis. So it is the biggest limitation of McDonalds that they cannot provide fresh foods to the customers. It is necessary for them to provide healthy menus to customers in order to turnaround the unhygienic reputation very quickly (Guinness, 2011, p.161). Negative brand image To the customers fast food is a junk food which is bad for health. It changes the perception of customers towards McDonalds. So introducing Salads and Hygienic food item in menus can change the perceptions of customers. Case 5: Tambrands Answer 1 It is a wise decision that Tambrands became the part of P&G. Tambrands is the company of single product and it was very difficult for the company to compete globally. Therefore by this decision benefited both P&G and Tambrands like P&G got the customer base of Tambrands and in other hand Tambrands got the brand name of P&G which helped them to operate globally. Answer 2 Tambrands goal of global advertisement plan was to do the marketing in three clusters. In cluster number 1 the women feel that they should know about the product. In cluster number 2, it has been seen that 50% of lady customers use tampons. The 3rd cluster is important because here Tambrands literate the women customers how to use tampon comfortably. Answer 3 The product called tampons has a bad image in the mind of Brazil’s women. On the other hand in Venezuela and Mexico has got the success by impleme3nting the same marketing strategy for the particular product. P&G should adopt typical approaches according to the cultural background of every location in order to overcome problems. Answer 5 P&G cannot adopt the Mexican model to implement in Brazilian market due to the difference in culture, values, environment and interest of people. Company should implement the marketing strategies according to the social background. Case 6: Iberia Airlines Answer 1 For a long time when Iberia bought Boeing aircraft, Dupuy took the initiative to bring Boeing executives for the bidding contest. Leahy had failed to introduce a confidentially agreement for the purpose of final price. Bright had done a good job on the creativity dimension. He gave guaranty on engine maintenance. Answer 2 The Boeing engineers were struggling to provide solution of lithium battery problems which led the grounding the 787 Dreamliners of near about 50 which represents the future transportation. At the same time Airbus planned to assemble about 10% of its own A320s. The two companies have done enough strategic framework but both of them have not given focus 100% to the strategies. Sales of Airbus dropped 50% in 2006. On the other hand Boeing’s production reduced due to postponing of the deliveries of Jet. Answer 3 The European firm had the strong political and personal relationships between the high executives which successfully clinched the deal. This is a perfect example of relationship building. Answer 5 The price cutting strategies and strong competition in terms of capital intensive took place on the other levels. In near future negotiations with Iberia should be proposed to the bidding list price. Bright should consider the aspects of the policy introduced by Airbus. Lack of Effective consideration may result serious financial consequences for airline operator and manufacturer. Case 7: Aids Answer 1 Brazilian government trying to aware people about AIDS by targeting the middle aged housewives by introducing and promoting female condoms, because in brazil most of the time this disease comes through middle aged women. In India people have the problem of hesitating while buying of a condom. So government organizes awareness camps to literate about using condoms. Moreover the barber shop is one of the source of this disease, because while cutting hair they do not give importance to change blades. The virus can come through used blades and can mix with different people’s blood. The Indian government is trying to aware all the areas. Answer 2 The US government is trying to motivate people to use condoms to reduce spread of HIV virus. Moreover the government is looking to aware people about birth control in order to reduce this disease. Answer 3 Like Brazilian strategies targeting the housewives would not be appropriate in terms of US, because in US this disease mostly identified in homosexual people. In India people hesitates to buy condoms from the public outlets, so the mostly government organizes the campaign to literate about the condom usage. This strategy will not work in US because the American are already have awareness about condoms and they do not hesitate to buy this product. Answer 4 The London international group should expand the market globally. Moreover they should introduce quality products in low price which may create a large customer base like Durex Avanti. Answer 5 If companies like Coke and Pepsi do the campaigning of social awareness about AIDS would be fruitful for society as well as the company. Case 8: Marketing Socially Responsible and Ethical Marketing Answer 1 It is the decision tree model in order to incorporate social and ethical responsibility issues. The model pointed that in spite of profit maximization whether the company is creating some values for the benefit of society, individual and the economy or not. Answer 2 Tobacco companies should apply the social marketing activities. Moreover the promotional activities of tobacco should be restricted by government. The company should understand their responsibility about society. Answer 3 There is estimation that by consuming tobacco ten million people will die by 2030. US government has supported the tobacco companies to operate in abroad. The leading company Philip Morris has expanded their market globally. They have more international sales than in US. Taking socially responsible and ethical marketing into consideration government should increase the sales tax of tobacco product in order to save people. Answer 4 Products like cigarette’s marketing should to be stopped forcefully in an indirect way such as increasing the promotional tax and in order to reduce the consumption of Cigarettes. Case 9: Marketing to the bottom of the Pyramid Answer 1 Globally the competitive market is so much saturated that new companies are trying to target the people of bottom of pyramid in order to capture the market share. This segment is potential for business. If company has decided to do global business by targeting BOP then they have to keep in mind few things such as: Whether the distribution channel is effective or not? Whether the market benefits of health or not? Whether the product is of reasonable price and god quality or not? Whether the required packaging is affordable or not? Answer 2 (A) Now-a-days targeting the people of low disposable income is a potential market area. Companies should consider the ethical factors in order to target this segment. If companies can target this segment with low price level of various necessity products then it is not the exploitation in terms of the companies who sell soaps, shampoos, ice cream. (B) It is not justified for making loans for the consumer durable product with the higher interest rate. It will misbalance the economic equilibrium of a country. People will lose the purchasing power for the consumption of daily needs goods. References Guinness, P., 2011, Geography for the IB Diploma Global Interactions. Cambridge: Cambridge Printing House. Read More