International Marketing (Project plan-Entry plan for an SME)

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SUBJECT CODE BX3082

SUBJECT TITLE International Marketing in the global vilage

STUDENT FAMILY NAME Student Given Name JCU Student Number

Nazeer Ahamed Siti Nazrana 1 3 6 7 9 6 9 8

ASSESSMENT TITLE Research report

DUE DATE 03.01.2022

LECTURER NAME Dr. Malobi Mukherjee

TUTOR NAME Miss. Pamela Pilapil

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Table of Contents

Executive summary……………………………………………………………………..3

Introduction………………………………………………………………………………3

SME Country Profile……………………………………………………………………..4

Cross-country Analysis…..……………………………………………………………….5

Market Potential Analysis……………………………………………………………….8

Market Entry Strategy…………………………………………………………………...9

Recommendations…………………………………………………………………………9

Appendices……………………………………………………………..……………….10

References…………………………………………………………………..…………. 11

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International Marketing- Research Report

Executive Summary

Finders Keepers, the label is the SME company's name to which I am carrying out this

research. Finders Keepers is a fashion retail chain in Australia that deals with Australian

women’s fashion labels. Finders Keepers has developed to become a key player in selling female

clothes and accessories on the country's high streets. Finding Keepers, the Label has been on a

journey since 2007 and invites customers worldwide to join them. If the brand is only offered in

Australia, it may expand into other European markets like France. On one side, France is a

desirable business location because of its treaties and union trades. Fashion has been a statement

in France for years. It also has a stable government and well-structured legislation.

Covid-19 influenced the economy in the prior two years. However, Australian market

may be worth continue investigating. However, the present government's inconsistency and

recent scandals and corruption charges will generate a climate favorable to new company

growth. So, France seems more appropriate for the Finders Keepers series. To reach the French

market, the company will need to adjust several things; nevertheless, Finders Keepers should

adapt its products and establish the appropriate logistical infrastructure for the greatest results.

But the brand should wait until France has completely recovered from recent setbacks.

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Introduction

International marketing refers to the use of marketing principles in more than one

country, by enterprises operating outside of their own country, or across national borders.

International marketing is based on a company's local marketing strategy, with a focus on

marketing identification, targeting, and decisions on a global scale (Cateora et al.,2020). We

have witnessed the rise of internet and social media use in recent years, which has enabled

national enterprises to break down barriers and expand their operations globally. Companies are

interacting, connecting, collaborating, reaching out, and engaging with both potential and

committed customers using online means. Consumer preferences and the company's market

share and profitability are balanced in a marketing strategy that recognizes, forecasts, and meets

client needs. This change has been aided by new technology and novel modes of communication,

and it has never been easier for firms to function on a global scale. Advances in information and

digitalization transformed the way small and medium-sized businesses (SMEs) conducted their

operations. The Internet and social media have grown in popularity in recent years, allowing

national enterprises to expand their operations globally (Sharma et al., 2020). The Internet

reaches and engages prospective and committed consumers. Businesses communicate, connect,

and collaborate with them. New technologies and innovative communication channels have

assisted this transition, making global trading simpler than ever.

The advancement of information technology and digitalization has significantly impacted

how SMEs operate and do business (Sharma et al., 2020). As a result of the cost savings, they

may now explore new solutions and handle global operations challenges. Due to the Covid-19

virus, firms that were completely externalizing their operations to international markets had to

cease operations, resulting in a loss of total income in 2020 and the following years drastically.

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The virus forced businesses to change their global business practices. Their new goal is to

maintain a decent balance between home and international activity, avoiding international

disturbances.

Finders Keepers Company Profile

Finders Keepers is the firm's name for whom I am doing this investigation. In Australia,

Finders Keepers is a fashion retail business specializing in selling women's fashion brands.

Finders Keepers has grown to become a major participant in selling women's clothing and

accessories on the nation's high streets due to its expansion. Finding Keepers, the Label has been

on an adventure since 2007, and they are encouraging consumers across the globe to join them

on their voyage. From the beach to the bar and everything in between, they feel that elegant party

dresses, enticing hemlines, and one-of-a-kind patterns inspired by exotic destinations will

transport clients. The goal of everything we do is to create clothing and accessories that help you

look and feel good about yourself. When you shop with Finders Keepers, you have the flexibility

to travel everywhere and everywhere while still getting dressed (Finders Keepers, Australian

Women's Fashion Label, 2021). In Australia, the company has achieved considerable success,

and it is now attempting to expand globally by entering new markets. Specifically, the United

Kingdom is bridging the gap between itself and the rest of the world.

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Cross-country Analysis: Australia and France

France has 63.3 million people with a life expectancy of 78 years for men and 85 years

for women. The country is famed for its gastronomy, clothes, and luxury items that reflect

French savoir-faire and its cultural heritage. France is also noted for its magnificent capital city,

Paris, and its unique French accent. In 2018, it was the world's most popular tourist destination.

Like other nations today, France, the world's most visited country, has environmental difficulties.

Every year, more tourists contribute to more pollution. Italy has 61 million residents, with males

living 81 years and females living 86 years.

Australia has a life expectancy rate of 82 years. It is well known for its natural resources and

wildlife habitats. Approximately 9.3 million tourists visited Australia in the year 2019, whereas

there was a significant drop of 6.3 million due to the current covid pandemic.

Political and Legal Environment

Political environment is led by French President Emmanuel Macron and has a stable

government in France. The country has had a lengthy era of political stability, which has made

doing business easier. It has a government that is very stable and supportive to commercial

operations (Girling,2002). Because the government has liberalised the economy, other companies from around the

world have been able to enter the market. The government has created a number of incentives to stimulate

entrepreneurship in the country, such as reduced taxation or tax grace periods for entrepreneurs.

Australia is proud of its stable political environment, uniform intellectual property laws, and

strategic plans, all of which contribute to the country's continuing economic growth. The stable

political environment in Australia has helped it to become a globally competitive location for

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business and investment development. Because of global financial concerns, a stable political

environment is becoming more crucial to local and international enterprises and industries.

b) Economic Environment

In September 2020, the French government announced the Plan de Relance, a two-year

€100 billion ($ billion) recovery plan in reaction to the pandemic's economic damage.

Emergency measures implemented in March 2020 protected household earnings and fueled the

current increase in consumption. However, long-term economic effects on productive capital and

a decline in personnel skill sets could jeopardies France's growth prospects. France has one of

the top ten economies in the world. LVMH, L'Oréal, Carrefour, and Air France are a few

international corporations headquartered in France. Other business from across the world have

been permitted to enter the market because of the government's economic liberalization. The

government has provided several incentives to encourage entrepreneurship in the country, such

as lower taxes or tax-free periods for entrepreneurs. This country's businesses were hit by an

economic downturn that afflicted many other countries. This had a significant negative impact on

revenue because many buyers would regard some of the products to be non-basic. When a

country's economy is in decline, its purchasing power decreases, reducing the viability of many

enterprises.

To succeed in the Australian market, it's often necessary to develop a local sales

presence. This implies designating an agent or distributor for many American exporters. The

appointment's boundaries are negotiated, and they may encompass only select Australian states,

the entire country, or even New Zealand. Due to the ongoing pandemic over the first half of

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2021, the Australian economy was predicted to drop by roughly 10%, with total hours worked

falling by around 20% and the unemployment rate rising to around 10% in the June quarter.

c) Cultural Environment

France and Australia have a culture free of context. Communicate with precision and

directness. France is a pluralistic country on paper, but it is an assimilationist society in practice.

In terms of social standards, fashions, and etiquettes, France's culture is quite aggressive. The

French are content with diversity if it demonstrates a willingness to adapt to the French way of

life.

Although being adamant about social conventions allowed France to establish a polished

culture, it did so at the expense of religious conflict. Both French Christians and Muslims have

been outspoken about their respective cultures while being wary of the manifestation of other

religious traditions. As a result, they are at odds with one another. With 276 votes in favor and

20 votes against, the French government officially outlawed Muslim headscarves in French

schools in 2004. For some non-Muslims, the headscarf was a symbol of women's subjugation or

a worldview that rejected secularism. The sight of children covering their hair was simply too

much for them to bear.

Australia is an officially pluralistic society, and it is a pluralistic society in substance.

There are few etiquettes that are taken seriously in Australia, aside than purchasing rounds at the

pub. This may explain why, by world standards, Australia has almost no religious conflict. In

Australia's public schools, Muslims are free to wear headscarves, and there are no plans to

outlaw them. Headscarves may be prohibited in private schools if they violate the school's

uniform requirements, which must be followed by all pupils.

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Market Potential Analysis

When considering the market potential of France and Australia, we must consider many

factors. On one side, Finders Keepers' lack of direct competition in the local market is tempting.

Trendy outfits are becoming increasingly popular in many Western countries, and firms respond.

But neither France nor Australia has a significant online fashion sector, especially party wear.

Most of the companies included are household names. So far, it seems like Finders Keepers has a

great shot.

Furthermore, France and Australia remain attractive markets for global enterprises.

Consequently, Finders Keepers would enjoy unrestricted labor, goods, services, and money

mobility. The main disadvantage of locating Finders Keepers in France or Australia is the long

shipping process. Due to the long distance between these two countries, it becomes quite difficult

to ship the products from the home country to France. Due to COVID-19, France's supply-side

recovery plan, set aside 34.8 billion euros for 'competitiveness.' It is decreasing 'production' taxes

for companies at a cost of ten billion euros per year. Measures have been put in place to help

SMEs and very small firms increase their equity. A total of 400 million euros has been set aside

to help SMEs and very small firms speed their digital transformation.

Market Entry Strategy

For starters, the brand offers a distinctive and original product, and it has a proprietary

technical advantage that it can leverage via global development using its upgraded technology.

Exporting as an SME would minimize distribution costs, enable the brand to gain expertise in the

French market and consumers, and lessen uncertainty risk. Australia's abroad authorities have

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extensive and powerful networks that they use to learn about the problems and opportunities of

doing business in foreign markets.

DFAT's first focus is assisting COVID-19's economic recovery and expanding market

possibilities for Australian businesses. Market Insights are meant to assist Australian firms in

better understanding risks and opportunities, as well as navigating constantly changing global

marketplaces. The Economic and Commercial Diplomacy Agenda is focused on increasing the

exports and creating jobs for Australians.

France, located in the heart of western Europe, is home to some of the continent's most

successful enterprises and is the continent's third-largest recipient of foreign direct investment.

France is an ideal area for British enterprises to flourish, especially when combined with a good

business partnership. Most main and specialist markets are covered, which is especially

beneficial to SMEs and growing firms. Almost anything that sells well in the France will sell

well in United Kingdom if it is backed by quality and a reasonable price.

Recommendations

Due to the ongoing pandemic that is prevalent in the country, it becomes quite difficult

for businesses to navigate and expand their empires across the globe. Given the recent problems

in Australia, I suggest Finders Keepers take a pause and let the country recuperate before

returning. The brand seems to have a strong market in France, but the present economic climate

makes exporting difficult. The current sanitary and economic situation is unpredictable as it

spread is unstoppable at present. Furthermore, exporting seems to be the most effective approach

for SMEs to access the market. Before exporting, Finders Keepers should evaluate its exporting

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procedures and shipping conditions to ensure product quality and intended benefits. Every

commodity should be carefully sanitized and ensures for its utmost safety including the

personnel’s involved. Technology is the only rescue at present and it is highly recommendable to

use it wisely.

Appendix

KEY VARIABLES WEIGHT FRANCE

SCORE

AUSTRALIA

SCORE

Political 20% 75 20

Legal 30% 70 25

Economic 40% 30 25

Cultural 10% 50 70

Weighted Score 100% 53.9 30.13

Figure 1. Weighted scoring Model

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References

Cateora, P. R., Meyer, R. B. M. F., Gilly, M. C., & Graham, J. L. (2020). International

marketing. McGraw-Hill Education.

Girling, J. (2002). France: political and social change. Routledge.

Julio Lopez Gallardo, 2020. “France: the political economy of discontent. The “Gilets Jaunes”

movement”. PSL Quarterly Review. Vol. 73 No. 29

Finders Keepers, Australian Women's Fashion Label. (2021, August 21). Finders Keepers | Australian

Women’s Fashion Label [Video]. Finders Keepers | Australian Women's Fashion Label.

https://finderskeepersthelabel.com.au/

France Analysis, Market Research Reports. Retrieved August 22, 2021. France SWOT Analysis Market

Research Report | Market Research Reports® Inc.

Sharma, Anupam; Jhamb, Deepika, 2020. Changing consumer behaviors towards online shopping: an

impact of Covid-19. Academy of Marketing Studies Journal. Vol. 24 No. 3.

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