Miniproject: Learn by Doing The purpose of this miniproject is to gain experienc
ID: 347354 • Letter: M
Question
Miniproject: Learn by Doing The purpose of this miniproject is to gain experience in un- derstanding what it takes to move a product that is success- ful in its home market into a global market in which it will continue to be successful. Assume that you are the director of marketing for a firm that produces its own high-end brands of makeup, skin care, and hair care products for both men and women. The products have been endorsed by a number of male and female musicians who are highly popular with young people. The products are sold only in the company's own retail outlets. 2-31. Describe your local competitive advantage and why you believe this competitive advantage will serve you globally. 2-32. Determine which global market(s) is or are most attrac- tive for your products. Will you target a single country or an economic community? Describe your reasoning. 2-33. Decide which market-entry strategy you will pursue. Again, explain your reasoning. 2-34. Describe your marketing mix strategy: How might you need to adapt your product? What other product decisions do you need to make? . . How will you promote your products? . How will you price your products? . What place/distribution decisions must you consider? Prepare a short presentation to share with your class.Explanation / Answer
2-31 -
The local competitive advantage is derived by the brand recognition, product association with the local icons whom the local youngsters identify themselves with, and uniqueness ( it is available in the local stores only) and compete control of marketing, branding and distribution processes of the company. For global advantage the company needs to associate the product attributes with consumers of different regions through necessary modifications in product, promotion and pricing to suit specific needs. It can use high quality and local patronage for creating global value.
2-32
The target customers of the products are spread globally, though their preferences may vary according to the skin color, climate, culture and beliefs, for which the company needs to tweak the products to meet the specific needs. The potential customers will be middle to upper middle class customers 15-45 years of age, typically with college education. The company should start first with countries that are similar in customer preferences,purchase patterns and cultural attributes to the host country and target others later.
2-33
Initially, selling through agents or franchisees will be most viable option, as it will involve least hassle and risks. Once the company gains foothold, it can go for other options also.
2-34
(a) The product wll need to adapt to the needs of different people who may vary according to their skin and hair type,local climate and humidity levels, lifestyle of people and their cultural beliefs towards make up and cosmetics.
(b) Product variations may need to be carried out depending on specific needs. These variations can affect size, color and physical appearance of product.
(c) Local fashion or music icons, celebrities should be roped in to promote the items, particularly those liked by the youngsters. The media for promotions should include those used by the young people, like social media and shopping platforms.
(d) Pricing should be done considering prices of competitive products, spending capacity of locals, cost of sales and size of opportunity.
(e) The majority of initial buyers will be from metropolitan and other urban areas, hence the promotion should start from there only. the distribution should include a master franchisee who will be responsible for procuring the product and selling it through prime outlets across big cities.