Whirlpool is an appliance company headquartered in the United States. The company has a global presence and ranks as number two world wide. They are the market leader in the United States. The major goal of the company is to achieve global growth.
Whirlpool’s global marketing strategy is based on segmenting customers well and providing suitable products for each specific market. They have different strategies and market conditions for developed markets and developing markets. The company segments its products in developed markets like United States and Europe. In United States there are three segments: high end products, medium priced products and low end products. In Europe there are only two: traditionalists and aspirers. In those markets the competition is severe, the market is fragmented and growth rate of the industry is low; around 1 or 2 percent. So, the company tries to maintain its position by cutting costs down by decreasing the number of warehouses & the product development budget and increasing productivity.
In developing markets such as Brazil, China and India, Whirlpool tries to produce products that match the local needs and tastes of the majority (low-end customers). They have two major strategies for that. They use platform method and innovations. In the platform method, the company produces same platforms that are the technical core of the end product for each market. Later on market specific capabilities are added to the product. The other method is innovation of a bran new product for a specific local market. Then the company uses this new product in other markets that have similar needs and tastes by using platform method (making minor adjustments for each market).
Market research is used to gather information about the marketplace. By using this data, the company decides what the local needs and tastes are, how the segmentation should be made and which segment gives priority to what features. According to the results the company launches new products or modifies their existing products for the given market.
Developing products for low income consumers in emerging markets may be a good strategy. As the majority of people in developing countries are low income consumers, by reaching those consumers the company will have huge brand recognition in that country.
In this paper I will discuss the Wrigley Company and how it became one of the most recognized and largest branded companies in the world. When you think of Wrigley people tend to think of the gum products it is now for, as well as the commercials we all have grown to love over the years. Remember the double mint twins, what about, Juicy fruit, even big red- all are a part of the every expanding brand of Wrigley. One of the many achievements the company can tip its hat too is being able to say that it lead all gross product sales in the year of 2007. This is a major accomplishment considering that the US is one of the largest consumers on the planet- so the competition is fierce. But overall its leadership and management have given the come the wherewithal to withstand to new challenges the company has faced over the decades.
The beverage industry is highly competitive and presents many alternative products to satisfy a need from within. The principal areas of competition are in pricing, packaging, product innovation, the development of new products and flavours as well as promotional and marketing strategies. Companies can be grouped into two categories: global operations such as PepsiCo, Coca-Cola Company, Monster Beverage Corp. and Red Bull and regional operations such as Ro...
The case study starts off with quotes from Wal-Mart executives with their thoughts of how employees/consumers should feel about the arguably most innovative retailer. “Wal-Mart employees who do not think globally are working for the wrong company.” “Wal-Mart must think and act as if it’s a global company. Otherwise, it cannot grow enough in the United States to maintain its stock price. It needs to be in South America. It needs to be in Asia. It needs to be in Europe.”
For Caterpillar Inc. to explore new geographic markets particularly in Asia, it has to have a good strategy at the corporate level. At this level, decisions such as resource allocation, which markets to explore, and which products or services to develop are made. With regard to resource allocation, the focus needs to be on aspects such as how equipment, staffing, and cash will be distributed in the indentified markets. In addition to these, the corporate level also has the mandate or responsibility of deciding whether new services or products need to be added to the exi...
7-Eleven employed adapted global marketing, but continued to open stores in more countries. 7-Eleven has adjusted their marketing strategy for each of the international markets they are targeting, which in turn has helped them gain a larger portion of the market. 7-Eleven has benefited by this due to them being a premier player in the market for as long as they have. People love that 7-Eleven has items that are tailored to their desires. This example of extreme localization has helped them gain a competitive advantage over their
ice would seem to be a good company to use as an example of the appropriate way to approach marketing in foreign countries. Gallo Rice has been aided in their international expansion by the fact that they have kept an eye on consumer interests in the respective countries they have chosen to operate in. Rather then releasing a single homogeneous product line throughout the world, they have done a good job of adapting to the wants of needs of local consumers. Gallo has also done a good job of keeping track of the individual actions of their major competitors in the respective markets in which they operate.
According to the text, marketing research is defined by the American Marketing Association as "The systematic gathering, recording, and analyzing of data with respect to a particular market, where market refers to a specific customer group in a specific geographic area" (McDaniel & Gates, pg. 6). Marketing research serves two basic functions; first to provide data and insight to a company's decision makers and second to use the data to determine new opportunities for a company (McDaniel & Gates, pg. 6). Through the years, Marriott has used market research for opportunities to expand its brands. In the 1980's Marriott identified an opportunity to expand its target market a...
Although Unilever’s Path to Growth strategy involves all components of the general environment, two segments that are especially relevant are the global and sociocultural segments. A major strength of the company’s global environment is its geographic diversification of its major product markets. In 2003, Unilever had sales and marketing efforts in 88 different countries. The key is that it gave decision-making power to its managers in different countries so that they could tailor their products to the market’s specific preferences and consumers’ local tastes. Thus, it was the cross-country preferences of consumers that determined what products Unilever would carry. The global segment provides an enormous opportunity for Unilever. The case states that emerging country markets show the greatest potential for sales growth. Major competitors such as Procter & Gamble and Kraft Foods had sales in roughly 140 to 150 different countries in 2003, and Nestle, Unilever’s main rival, had market penetration in almost every country in the world. If Unilever is able to expand its operations into 50 or more new countries and concentrate its advertising campaign on consumer preferences, it could significantly increase its market share in the global economy.
A marketer doesn’t just have a plan. Marketers now open up to a wider strategic plan and it’s based on steps that balance out what the market is offering consumers. These marketers must analyze their production with these steps, then make a portfolio of the growth and even their down falls therefore this keeps these marketers to continuously innovate and create even a greater amount of value for their customers. Marketing management functions are discussed along with the marketing mix and strategy.
In conclusion, it can be said that global marketing has been emerged very rapidly in recent years. It has provided various opportunities for the companies to expand their business to the other regions of the word. However, there remain certain environmental issues that need to be considered before entering in to the desired region. These issues can be resolved with designing the strong global marketing plans and strategies, the data for which can be gathered through conducting global market research. Despite numerous issues, one can easily say that globalisation has reduced the global reach of the organizations as well as customers. It would not be wrong to conclude that
Once the market research data is compiled, it is then evaluated and upon which recommendations and conclusions about are drawn. This includes how the design of the product would look like, its price, initial niche markets, etc.
Why: to keep the market leadership in that region deeper coverage to its natural market. It will strengthen the company - and prepare it to expand or to win market shares in The Caribbean and South America. First it must strengthen its financial situation in order to have the resources to expand in other regions (it will need to put emphasis on marketing and to develop products that correspond to customer needs in the other regions especially regarding stoves).
Nestle is a Swiss food and beverage Multi-national corporation headquartered in Vevey, Switzerland. It is the largest food company in the world measured by revenues with about 500 factories in more than 80 countries. The company consists of a powerful portfolio of brands that is driven by unrivalled research and innovation, an aim to contribute to improving the quality of consumers’ lives and a clear commitment to consistence excellence. The company succeeded in accomplishing its mission of “Good Food, Good Life” by making the use of globalization in the areas that are as follows-
This competitive advantage has been rendered sustainable as other players have found it difficult to catch up with the company's competitive strategy. In spite of this clear advantage, it was noted that the company faces some challenges being the world leader in soft drink distribution. The canning and bottling of the product which is done in many countries have now fallen into the hands of independent companies, thus it becomes hard for a given company to control the quality of the packaging
Briefly it is a systematic design, collection, analysis, and reporting of data and findings relevant to a specific marketing situation facing the company, allows management to make the changes necessary for better results through adopting a proactive approach. Therefore, if a company wants to know what type of products or services would be profitable it should make a market research. Furthermore, a comprehensive research will enable the company to know about the product imperfections (if there are) and to know if it has been able to satisfy customers’ needs. It attempts to provide accurate information that reflects a true state of affairs. Due to market research the company can formulate a viable marketing plan and estimate the success of its existing plan. There are two main sources of marketing research information: