International Marketing Assignment: Beechworth Honey In US Market
Write a well-research report on international marketing assignment illustrating the possible strategic frameworks used by Beechworth Honey to explore its business in US market.
The present international marketing assignment sheds light on the concept of international marketing which is defined as the application of the fundamentals principles of marketing concepts by different industries and companies based on the nature of the business in more than one county, where trading of goods and services beyond international border takes place effectively (Ajami& Goddard, 2017). The findings of the present international marketing assignment will explore the outline of using the best possible strategic frameworks that will define the effective marketing strategies used by the selected organization Beechworth Honey to evaluate proper growth opportunities. Due to the remarkable success in the Australian market, the selected organization has decided to expand its business operations in the United States. The subsequent part of the study will prove to be quite significant that will analyze and explore the potential areas about how the management of the selected organization Beechworth Honey will be able to explore the opportunity while entering into the US Honey market.
Company profile and Background
Beechworth Honey is one of the vintage companies over the Australian market, which includes four generations in Northeast Victoria. The company operates its business for nearly 130 years, and at present, the selected brand is Australian leading single-origin honey producer and a household enjoyed by every Australian's("Beechworth Honey | 100% Australian Honey | 100% Family Owned", 2020). Along with the same point of time, Beechworth Honey remains all the time favorites as the reason behind its innovativeness has committed to the highest standards, which ensured for producing the purest quality of 100 percent Australian honey("Beechworth Honey | 100% Australian Honey | 100% Family Owned", 2020). Due to this remarkable success over the years in the Australian market, the selected organization has decided to explore its business expansion procedure in the United States.
Critical Analysis of the Study
Market Selection (United States)
Selecting theUS Market will show a considerable potentiality as the reason behind the demand for natural and fresh honey remains all the time high in all the country. Measured with quite a few statistical findings of 2017 and 2018 season, the country hasnearly produced 30, 000 tones of natural and fresh honey, which was a record in the entire industry over the time(Garabinovic&Nikitovic, 2017). However, there was still a gap identified between the demand and supply, and the industry was unable to meet the growing demand and requirements of the customers (Patil & Bach, 2017). Therefore, it is stated in this international marketing assignment that this proved to be one of the significant opportunities for Beechworth Honey to fill the gap by providing the required supply over the market. Along with the same point of time, the shifting consumer's preference towards a healthy, nutritious and natural alternative of sugar and artificial sweetener in the United States will be one of the significant drivers for Beechworth Honey to develop a proper target customer base in the country(Išorait?, 2016). Furthermore, the product offered product by the selected Austrian brand will be expected to gain popularity as the reason behind it provides excellent antioxidant, anti-inflammatory, antibacterial, and antimicrobial properties that will fulfill the requirements of the customers to a great extent (Adekola&Sergi, 2016).
Figure 1: Scenario of the US Honey Market
(Source: Adekola&Sergi, 2016)
Mode of Entry
Defining the mode of entry in any kind’sspecific market circumstances required extensive research that needs to be performed by scanning both the internal as well as the external business environment (Schaltegger& Wagner, 2017). By performing this specific marketing activity, Beechworth Honey will be able to define the required context of the situational analysis that will explore in the direction about the entire decision making aspects towards defining the entry mode will be based on both macro and micro environmental conditions that will bring competitive advantages(Yin, 2020). Therefore going with partnership and the strategic alliance will prove to be suitable for Beechworth Honey to get into the decided international market. The determining process will prove to be quite essential that will explore the right way while entering the US market through a tragic alliance with a local partner (Wood & Jobber, 2016). The management of the selected Australian company needs to go through with a contractual agreement between two or more enterprises concluding that the involved parties will corporate in a certain based to achieve a common purpose based on an effective decision making process. The determined modes of entry along with the effective decision making process will not only allow Beechworth Honey to have the required local level knowledge, but along with the same point of time it will fulfill quite a few crucial objectives discussed as follows:
- Enhancing the required marketing efforts
- Building slakes and marketing share
- Improving products scope and opportunity
- Maintaining the possibilities of reducing production and distribution costs
- Sharing technology
Figure 2: Parameters of Strategic Alliance (Entry Mode)
(Source: Schaltegger& Wagner, 2017)
What are the competitive strategies involved in the case of international marketing assignment?
The notion of comparative strategy determined the fundamental context about how any specific organization irrespective of the nature and objective of the business for example in case of Beechworth Honey will define their long term plan of actions in order to gain competitive advantages over its competitors. The entire process is done by evolving and comparing the potential strength and weakness based on the overall context of the situational analysis (Garabinovic&Nikitovic, 2017). Nevertheless, evolved with the defined aspects for the selected business proceedings of Beechworth Honey the following point’s needs to be analyzed in the best possible manner that will define and explore the best possible competitive strategies are as follows:
Cost Leadership Approach
With the concept of following effective cost leadership strategy will explore in the direction, where Beechworth Honey need to focus on mass production for lowing the price of the commodity over the US market to gain advantages over pricing over the potential competitors.
Differentiation Leadership Approach
It is one of the unique ways with the view towards exploring the required competitive strategies that will prove to be quite crucial with the view towards creating distinct and attractive differentiation aspects as compared with the competitors(Patil & Bach, 2017). Successful implementation of differentiation leader approach will provide the opportunity for Beechworth Honey to drive prices higher based quite a few market circumstances.
Cost Focus Approach
The concept of the cost focus approach will explore in the direction to focus on quite a few specific things over the business proceedings that will allow Beechworth Honey to lower costs and gain customer popularity over the US market.
Differentiation Focus Approach
Finally, the use of the differentiation focus will allow Beechworth Honey to target customers, where the decision making factors refrain from buying products from competitors due to a small missing feature (Išorait?, 2016). Therefore, extensive marketing research will provide to the best possible solutions that will allow the selected brand to adopt this particular feature as a niche option along with the win over with those specific customers in the best possible manner.
Figure 3: Factors of Competitive Strategies
(Source: Patil & Bach, 2017)
Marketing Mix Strategies
The concept of the marketing mix will explore and define the platform that will be proved to be quite useful with the view towards defining the set of controllable and tactical marketing tools use to define the required potential audiences (Adekola&Sergi, 2016). Product, price, place and promotion are the four defined and combined points, which proved to be quite crucial towards exploring the way about how Beechworth Honey will explore their marketing mix strategies discussed as follows:
The success factor behind Beechworth Honey over the Australian market is its innovative and healthy products. Quality-wise the selected product is at its best and as the reason behind people of the United States is gradually shifting towards adapting healthy, nutritious, and natural alternative for sugar, the selected product (natural and fresh honey), will be the best alternative solutions for the selected formwork (Scarborough, 2016).
Price is one of the significant factors, which maintains a considerable amount of impact over the customers purchasing decisions (Porral & Stanton, 2017). Nevertheless, while entering into the US market, Beechworth Honey needs to evolve the best way with the view towards exploring the satiable pricing strategy and option(Scarborough, 2016). Quality-wise the selected product is at its best and therefore adopting competitive pricing strategy will prove to be suitable for the business plan of Beechworth Honey. The process will allow towards setting up the price based on what the competitors over the US market charges.
Adopting both online and offline mode will prove to be suitable for Beechworth Honey for selling the selected product over the US market. Nevertheless at present adopting the mode of an online option will maintain a considerable amount of impact as the research behind people across the world is following stick rules of social distancing due to the negative impact of the current pandemic situation (Vouillemin, 2020). Therefore having online option will prove to the best alternative solution along with selling offline such as in stores and local outlets will complete the discussions related to this factors marketing mix (Hanson, Hitt, Ireland &Hoskisson, 2016).
The process will prove to be quite essential for developing an effective and required communication channel with the customer over the selected market of operations. Adopting both the modern as well as the traditional aspects will define the best possible framework towards ensuring the use of both the traditional mode along with the modern mode such as social media platform and with various aspects of digital modes (Vouillemin, 2020). The process will maintain a considerable potentiality that will allow Beechworth Honey to reach the desired target audience without maintaining any kinds of a specific geographic boundary.
Figure 4: Marketing Mix Factors
(Source: Vouillemin, 2020)
The concluding part of the study presented in the international marketing assignment summarized all the crucial factors related to the defined aspects towards developing the best possible marketing plan for Beechworth Honey. All the related factors based on both the internal as well as external business environment has been analyzed over the selected circumstances that will allow the Australian company to accomplish the defined goals and objectives, respectively over the US Market.
Adekola, A., &Sergi, B. S. (2016). Global business management: A cross-cultural perspective. International marketing assignment Routledge.
Ajami, R. A., & Goddard, G. J. (2017). Global business: Competitiveness and sustainability. Routledge.
Beechworth Honey | 100% Australian Honey | 100% Family Owned. (2020). Retrieved 22 September 2020, from https://www.beechworthhoney.com.au/
Garabinovic, D., &Nikitovic, Z. (2017). Importance of combining marketing mix instruments in creating successful entrepreneurial strategies. FOSTERING ENTREPRENEURSHIP, 81.
Gbadamosi, A. (2019). Contemporary issues in marketing: Principles and practice. SAGE Publications Limited.
Hanson, D., Hitt, M. A., Ireland, R. D., &Hoskisson, R. E. (2016). Strategic management: Competitiveness and globalisation. Cengage AU.
Išorait?, M. (2016). Marketing mix theoretical aspects. International journal of research granthaalayah, 4(6), 25-37.
Patil, D. D., & Bach, C. (2017). Marketing-Mix For Strategy Building. Marketing, 4(4).
Porral, C. C., & Stanton, J. L. (2017). Principles of marketing. ESIC Editorial.
Scarborough, N. M. (2016). Essentials of entrepreneurship and small business management. Pearson.
Schaltegger, S., & Wagner, M. (Eds.). (2017). Managing the business case for sustainability: The integration of social, environmental and economic performance. Routledge.
Tuten, T. L. (2019). Principles of Marketing for a Digital Age. SAGE Publications Limited.
Vouillemin, D. (2020). Business cultural training in a globalised economy. International marketing assignment TRAINING, LANGUAGE AND CULTURE, 4(1), 33-43.
Wood, M. B., & Jobber, L. (2016). The marketing plan handbook. Pearson.
Yin, S. (2020). Channel Strategies and Marketing Mix in a Connected World. S. Ray (Ed.). Springer International Publishing.