Write an international marketing plan (IMP) for an Australia company (preferably SME) seeking to enter an overseas market.
Trade and business transactions executed between the two business corporations and that belong to different regions and nations. In simpler terms global trade or business can also be defined as the exchange of goods and services among multinational corporations that to from to different regions. In this type of trade a specific entity is such as Multinational Corporation or an international business corporation that is indulged in Executive Summary
The below presented report has been summarized on the marketing plan for Cognitive Software Group. The marketing plan has been segmented in the various segments that are considered as the empirical factors for analyzing the business corporations on various grounds and aspects. The below presented marketing plan will be aiding the business entity in making establishments in the overseas market. Promoting is such a movement which is principally done to display the result of an organization to the general population in a market. It is fundamental for an association to make appropriate special system for its items in order to make an ever increasing number of individuals mindful of its item with a specific end goal to draw in them towards purchasing. Information of the presence of an item is must for individuals to know in order to upgrade offers of an organization. A SME is an association which begins working from earliest reference point and for it to settle its business is extremely impressive assignment. Subsequently, a universal market get ready for the same is exceptionally significant and a component which comprises numerous different components, for example, inside and outside elements. This task comprises of the considerable number of difficulties which are being face by a little or medium estimated association to position its item and business in another market which is global. Cognitive Software Group is one such association in Australian market which is giving information based administrations to its customers with a positive turnover. An avocation for the same in this report is given for advancement of business in inward market with an appropriate universal advertising design. business operations among multiple countries. International business conducts all the business transactions all over the globe and due to which the business entity experiences up-gradations of technologies, managerial knowledge and transfer of data. International trade is also known as global trade (Shatanawi, Osman & Halim, 2014). The international trade comprise of the features such as it involves large scale of operations, it also encourages integration of economies and countries, but sometimes it can be dominated by the by developed countries and other MNC’s and special role of science and technology. The business entity will also be having international restrictions and due to which there will be an increase in the competitive environment. For facing an intense level of competition the business entity is required to offer and serve high quality of goods and services and an effective pricing policy There are number of direct advantages that will be attained by the business corporations if they are into the business of international operations. The benefits are market expansion, enhancement of customer base and cost advantage will be attained as the products will be traded at global level. .
Marketing is such an activity which is primarily done to exhibit the product of a company to the people in a market. It is essential for an organization to make proper promotional strategy for its products so as to make more and more people aware of its product in order to attract them towards buying. Knowledge of the existence of a product is must for people to know so as to enhance sales of a company. A SME is an organization which starts working from very beginning and for it to settle its business is very considerable task. Hence, an international market plan for the same is very crucial and an element which consists many other elements such as internal and external factors. This assignment consists of all the challenges which are being face by a small or medium sized organization to position its product and business in a new market which is international. Cognitive software group is one such organization in Australian market which is providing data based services to its clients with a positive turnover. A justification for the same in this report is given for development of business in internal market with a proper international marketing plan.
This section comprises of the methodologies and procedures for executing research used to think of the promoting passage technique and fundamental target advertise universally. The strategy for research could either be subjective or quantitative. The strategy utilized was quantitative research since the technique used to gather crude information was through online polls and reviews as it more affordable and more extensive in this circumstance. Quantitative research includes factual estimation of the crude information utilizing measurable apparatuses to make determinations. The devices to be utilized are graphic insights to break down information from tests and inferential measurements to investigate information from irregular varieties, for example, examining.
This approach can be adopted by the business corporation for analyzing the external and internal environment that is held liable for stimulating the business environment of the organization and hence a detailed research should be executed over the same. This analysis will aid the firm in the development of various plans and strategies thus leading Cognitive Software Group towards heights of success and growth:
This approach will be aiding the business entity in producing a detailed knowledge regarding its past and current performance and the same can be compared. And hence Cognitive software is executing a company analysis for collecting the data over past performance so as to develop future plans. There are three sorts of analysis in organization investigation in particular; internal, external and ratio analysis. Internal and ration analyzing approaches will be utilized by Cognitive software to pick up knowledge into picking up piece of the overall industry and assess the organization’s money related status to check the organizations past and future execution. External analysis will be done on match firms to pick up learning on their SWOT and enhance where fundamental and exploit their shortcoming.
This segment involves a detailed research over the market environment, trends and the marketing conditions that are impacting the organizational structure and business operations of the firm. By the executing marketing analysis the firm will be getting aided on various aspects. This approach is a qualitative and quantitative research that will be evaluating the marketing conditions of Australian markets. The below presented is the external analysis that has been executed foir analyzing the marketing conditions for cognitive software in overseas market regions:
Political Factors- Every market has its own sets of rules which are formed by the ruling party. International market consists of diversities in political conditions. So, a company like cognitive has to take care of such factors for considering that market for further business. It is important to have a complete knowledge of the political condition of market which will help in further operations of business without any kind of hurdles (Hilman & Kaliappen, 2014). As not following the political party mat cause a business problem in the market as there are several marketing strategies which has to be followed by a company to target a particular international market. Studying the market first and then making strategy will be the defense from the affects of this factor. Political factors have a major influence on marketing and effect the business majorly. For importing or exporting a specific product the organization should follow all the policies that have been launched by the government accordingly. For example, if government restricts a particular item then marketers cannot export or import that product internationally. Basically these factors states how the government approaches and interferes in cross country trade and the attitude of government towards international businesses. Government issues all these policies for the welfare of consumers as well as producers involving different laws too that includes, tax ,labour, overseas trade policy, restrictions on several trades and some environmental laws also, that is how political factors have a major effect on the business industries thus leading to companies adjusting their terms and conditions according to the laws and if any company fails to follow any law they might go through several consequences and some legal actions might be taken against us (Lowry, 2015). The cognitive software group makes sure to cooperate with the government policies while trading internationally.
Economic Factors-These factors consist of the information that affects the business or the trade significantly and determines how profitable the investments are. These factors should be studied thoroughly whom evaluating the current as well as the future value of any organization, economic factors also states how much one can be profited from a particular business. Economic factors also composed of all the factors which aids to the manufacturing as well as distribution of the products related to business or trade of a company (Marketing Teacher 2017). Taxes, managing the business, investments, laws and policies issued by government regarding all type of trades, labour costs and the interest rates are some of the important factors which consist Economies factors.it also refers to the all type of incomes. Economies factors also emphasis on reducing the production cost and increasing the profit and minimum loss in business investments. With the drastically increase of the cognitive computing needs, cognitive software group’s business increased amazingly leading to the greater performance and success of the company. The economic condition of a firm also decides the future of business as the purchasing power parity of a country is known from such factors. This is the way through which a company like cognitive can analyze its potential customers in the market. the adverse effect of this can cause a huge loss of business and revenue for the firm which is very significant.
Social and cultural factors-social factors affects the business directly as well as indirectly, it refers to the ethics and value that the society represent. These factors commonly are also called as “SOCIO-CULTURAL” factors (Marketingmo 2017). Basically social and cultural factors states the group’s behaviors, norms, believes, the way they live their lives and so many other factors. Since these factors affects a business therefore business values should be layed out according to these factors. These factors also determine different facts about the labour and their thought pattern etc. Some of the different ways in which the business might get affected are, producing the items according to the needs of customers which should not hurt their cultural values and believes, removing the products which might be harmful to the society in any ways ,only those products are to be produced which aids to the benefit of the society. While trading Cognitive software group focuses on the benefit of the society and without hurting their feelings and trades are social based (Rahman, Uddin & Lodorfos, 2017). People in every country have certain set of rules and regulations according to their customs and values. So the company has to make sure that these values and customers are not impacted by the business as this may cause un acceptance for the business of company. This is the most important part which can be analyzed through the country and people living in it. This factor relates to the culture which a country and its people follow which is something that impacts business and its performance. As the acceptability rate of the company is totally dependent upon this factors. Hence, this has to be considered by the company.
Technological factors- Technological factors allow the advancement in the product and making it better with the growing technology (Rambin 2011). A marketer has to face lots of challenges in order to produce a better product than the competitive team. Machines and the material used in the production of goods plays a major role in determining the quality of the product which leaves an impact on the trades of any company. In other words technology factors decide whether the product is worth launching or not. These factors emphasis on the company to innovate new techniques and measures for the betterment of their services (Parsons, Maclaran & Chatzidakis, 2017). Technology has led to so many changes for instance, aircrafts, railways, computers and different kind of machinery which made our life easy and much more can be added to the list.In order to achieve success in business a company should plan and execute proper strategies producing the top innovative products thus expanding the research and enhancing the development of products. Cognitive software’s group promises their customers ,the best of their services by applying the new technology and techniques of “Artificial intelligence” to derive more and more data from multiple sources. The company uses the “Semantic Computing” along with other advanced methodologies to extract the data and such type of advanced technogy allows the user to get the required information faster and easier with minimum risk and extracts the data from so many domains at the same time (Baker & Saren, 2016). The business of cognitive information group is completely based on technology which is ever-changing every single day. Hence, the change in technology is a huge problem for the company and it has to cope-up with the situation in international market where the range of competition would be higher. So, in order to do it pre planning has to be done so as to make most of it.
Environmental Factors-These factors have come to the knowledge, recently because of the overuse or insufficiency of the raw materials and non availability of natural resources can lead to the lack of product output thus affecting the business adversely (Nugroho, Harwani, Dewita & Sihite, 2015). Pollution also affects the environment badly and because of all these factors market faces a lot of challenges, government also has issued several laws in favor of environment protection.
Legal: There are rules which are implemented by the constitution of a country and these rules are mandatory to be followed by every business which is being conducted by the organization. There are various differences in every country for these set of rules and they has to be taken care. For this company have to make the strategies accordance to tat so as to not have any kind of legal issues (Kotler, 2015). These factors include several rights and laws for the customers. while trading a company should keep in mind what is legal and what is illegal and while trading internationally it becomes very important for the company to follow all the rules issued by the particular country. A country has its own environment to which a company which is doing business has to contribute in such a way that the business is not impacted. There are several ways of doing to so in the forms of giving back to the environment. This is also a factor of country as how much importance it gives to the surroundings where it is operating.
It has been observed that the extent of market is directly proportion with the nature of demand in the concerned market. The extent of the market is made dependent on the nature of the commodity or the products on which the entity is dealing and operating business with, or whether the product or services are perishable or nonperishable. Since Cognitive software is dealing in offering services of artificial intelligence software and is to offer services based on technology which in nonperishable since it is a service that is regularly updated, then the extent of the market is huge.
The below are the main stages through which each and every entity passes:
Introduction stage: This is the stage at which the entity introduces the products in the market and is considered as the most expensive step.
Growth stage: At this stage the production will be started so as to earn profits.
Maturity stage: At this step the entity will be already established in the market region and now the prime objective is to maintain competitive advantage in the market region.
Decline stage: At the stage the market will start contracting due to some factors such as new entrants and competition.
Competitor analysis has been considered as a significant part of the marketing plan and the same is required to be executed effectively. The competitor’s analysis comprises of the details that will develop a direct comparison with the competitor. This will aid the business corporation getting aware of the strength and weakness of the competitors and the same data will be used by the firm in developing plans and strategies accordingly. Generating awareness regarding the competitors will aid the cognitive software to maintain a sustainable position in the market and attaining competitive advantage. Atlassian, Xero, Campaign Monitor, Canva, OFX, Vend and Envato are some of the leading names in the artificial intelligence industry. The above mentioned business corporations are the leading competitors of the cognitive software group. Xero can be considered as one of the leading competitor for the firm as it is offering accounting software solution to many organizations in Australia. The company supports accounting operations for some of the small business. It also promotes businesses by managing their business-related operations. Xero provides opportunities to the businesses to put claims and purchase loans. The company is dealing with enterprise, banking, financials and cloud-based partners. The company has the functional organizational structure that works for the other organizations to manage their accountability.
While development of an international marketing plan it is very much important for a business to have a complete study of the market it is entering in (Degen, Melhuish & Rose, 2017). There are several external factors which have to be taken into account for further planning of international marketing plan. An illustration of the same for Cognitive software group is listed below:
There can be many reasons why, an organization decides to enter an overseas market or expand the business internationally but the most common reason is:
If the company wants to expand its branches without any external pressure that is on its own.
If there is sudden increase in the business growth or sales rate that lead to increase in product demand produced by the organization then also company would want to expand its businesses.
taking the business across borders require a lot of planning in order to get success on foreign land one must be aware with all kinds of factors associated with it and there are several techniques and strategy to tackle these situations are as follow:
Company can get an idea about their sales by slowly launching their product to the customers present across national border under proper law system (Bucatariu, Nicolescu & Ta?nadi, 2017). This will allow the company to set up a connection with the customers present overseas thus also promoting their organization.
Getting familiar with few facts about foreign land or country for instance, about their law system, importing exporting policies, customers staying locally, labour and many other factors. Company should go through all the factors associated with expanding the business internationally before taking it overseas.
Third and the most important factor is S.W.O.T analysis. While expanding the market across national borders, there are numerous factors which can affect the business expansion and S.W.O.T. analysis explains all the threats and risks associated with the business overseas, this tool does not explain the business strategy overseas but explains how the business might get affected and how the sales of product can be affected while exporting their product internationally. S.W.O.T. analysis not only tells the threats associated with taking the business in foreign land but explains it thoroughly how the business gets affected by providing the specific details about every threats and risks.
Strengths- strength factors refers to all these things that makes a company strong and un beatable, also the strategies used by the team to overcome competition.it includes all the things which makes the company to excel in several fields and for a company to excel in its own field there are several key elements that determine the growth status of the organization for instance, a strong managing team, loyal employees, expert team, known and strong brand and promoting the brand, advanced technology, loyal group of customers and of course the loyal employees who put all their efforts to help the company grow (Bucatariu, Nicolescu & Ta?nadi, 2017). Cognitive software group has developed different strategies to overcome all the obstacles with new and advanced technology making it stronger and successful.
Weaknesses- there are some points which an organization needs to improve for its benefit as well as for the benefit of the customer. Weaknesses of any industry hinder it from giving the optimum level performance. Some of the factors which affect the progress of numerous organizations are, high amount of debt, weaker team, working staff is not putting much efforts towards achieving the required target or company goals, less capital, competition level is high, not able to determine the factors that are holding back the company and many more factors. A good organization should be able to find its weak point and try to improve it (Abidi, Shafiq, Arshad, Pirwani & Hassan, 2015). By putting so much efforts into advancing the technology and with a strong team of staff members cognitive software group managed to overcome all their weaknesses, making it one of the top leading organization among all the cognitive computing industries and companies.
Opportunities- opportunity factors refer to all these factors that any company can use for their own benefit and overcoming competitive advantages ((Arrawatia, 2018). There are so many factors that a company can be benefitted by for example, if a particular organization provides a product that no one sells in a particular country then it can be used as an opportunity for the company to sell these product in that particular place and get profited from or another example is company should get the raw material for producing the product from where it is obtained in large amount and naturally, giving the company opportunity to save several expenditure and the material will also be available easily.
Threats-This defines the factors which can damage or harm an organization in any way possible for example, inadequate labour supplies, strong competitor, low quality of product, low cash supplies and debt issues, low technology, poor management, uncommitted staff members etcetera.in case of Cognitive software group since it is based on cognitive computing and data handling and driving, it needs to handle the data securely and has to make sure that only the authenticated users can use the data and the team faces several threats like, security threats and improving the technology according to modern time (Marketing Teacher 2017). The below mentioned are some of the other general opportunities and threats that can be experienced by the business corporation and the same are as followed:
International objectives
The below mentioned are the international objectives that are required to be developed by Cognitive Software Group for operating and business in overseas level:
Marketing objectives
The following are the prime marketing objectives for cognitive software and the same are required to be attained by the firm with a greater level of effectiveness and efficiency:
Target market
Target market is the segments or the divisions of the consumers on which the ng business entity is required to target in order to sell the products and services. These target segments will aid the business entity in focusing the marketing efforts for promoting and advertising the products and services to the consumers. There will be an increase in the productivity and sales and profitability. As per the given scenario the target segments for Cognitive Software Group are mentioned below:
Market positioning
The concept is concerned with the consumers perception for a brand or a product and this perception is developed in relation to the competing brands (Nunan & Domenico, 2013). This approach has been considered as one of the empirical tool for developing identity of the brand or the product in the market. The main advantage of adopting this approach is that the entity will be experiencing an increase in the customer base and market share and thus leading the firm towards prosperity and peaks of growth. Cognitive Software group can make use of various promotional tools and mechanisms for developing a distinct identity in the market.
As per the given scenario Cognitive Software group is planning to establish and develop the business in overseas market regions and hence the above presented marketing plan has been executed. Various plans and strategies are required to be developed for entering the overseas markets. And hence for doing the same one of the most effective strategy that can be adopted by the business organizing Joint ventures (Nunan & Domenico, 2013). According to this approach the business entity will have to develop contacts with the multinational corporations that are well-established in the overseas market regions. Amalgamations or business contacts are required to be developed for establishing joint ventures with the overseas organizations by cognitive software group.
Product
Cognitive Software group is a business corporation that is dealing in artificial intelligence software’s and is one such association in Australian market which is giving information based administrations to its customers with a positive turnover (Parsons, Maclaran & Chatzidakis, 2017). An avocation for the same in this report is given for advancement of business in inward market with an appropriate universal advertising design.
Price
As the business entity is trying to establish the business in overseas market and hence the firm will be making adoption of penetrating pricing strategy. This pricing strategy will enable the organization to quote the products at a very low range so as to develop the brand image and customer base.
Place
As the business entity is establishing the operations in overseas market the locations chosen for the setting up the outlets and the stores is required to be in the prime locations, nearby to the local markets and in the city areas (Rahman, Uddin & Lodorfos, 2017).
Promotion
Contemporary means and mechanisms should be used for promoting and advertising the products and services offered by the business firm. The entity should keep a balance between the online and offline platforms of promotion that will earn the maximum attraction of the customers.
Planning assumptions
This part comprise of the assumptions that are required to be developed by for estimating the expenses incurred by the business firm for selling the product to the consumer (Rambin 2011. The below mentioned are some of the significant assumptions to be made by the firm:
Forecast sales
The below presented is the forecast of the expenditure:
Forecast cost
|
Promotional Budget |
|
|
Method |
Amount |
|
1. Direct Marketing |
|
|
Online media |
|
|
|
$200.00 |
|
|
$800.00 |
|
E-mail Marketing |
$100.00 |
|
2. Advertisement |
|
|
Print Media |
|
|
Newspaper |
$500.00 |
|
TV commercial |
$600.00 |
|
3. Sales promotion |
|
|
Discount Coupons |
$500.00 |
|
Gift coupons |
$800.00 |
|
Total amount |
$3,500.00 |
Formal project plan
This plan can be considered as the guide for executing, monitoring and controlling of the project and recommendations over the same will be developed and presented from whatever is learnt. The recommendations will also be suggesting some alternatives and solutions for aiding the business plan.
Monitoring of action plan
An action plan has been considered as a document that will comprise of al the required and necessary steps and stages for attaining targets and desired goals. The prime objective is to elaborate clearly what is requires to attain the set goal within the projected timeline advocated for the project an which specific tasks need to be completed to achieve this and the amount and value of input required. Therefore, monitoring of the action plan refers to evaluation of the success of the details contained in the action plan.
Conclusion
In the limelight of the above executed analysis it has ben concluded that the Cognitive Software group is attempting to enter overseas market and for which the above presented marketing plan has been developed. The marketing plan is describing all the aspects and the factors that are required to be considered as significant for developing the plan as these variants wil be aiding the business firm in analyzing the overseas market.
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