loading
2012
[INTERNATIONAL MARKETING PLAN]
1 | Page
EXECUTIVE SUMMARY
Automobile industry is one of the fastest growing sectors in the world and we have seen that this sector has shown a lot of promise in the last few years. In this assignment we are looking at the international marketing plan of Hyundai into the Australian market. They are planning to enter the market with midsized sedan and here we look at various strengths and weaknesses of the country and also at the various factors that can affect the sales of the cars in the country. This assignment also outlines the marketing plan that the company has while entering into the market which would look at various key factors such as the pricing and distribution strategy and finally recommendations are given that may be of use while the company is considering entry into the market.
The major findings in the assignment are
? The preferred entry mode for the company is by means of joint ventures with some
domestic partners.
? There should be changes that needs to be made while promoting the product in the
country and various other aspects also needs to be looked at that matches with the culture and preferences of the customers
? They have to look at entering the Midsized segment first where they have a strong
product presence and then gradually move into other areas
The conclusion that we have reached is that
? The entry mode should be a joint venture as a single entry would be too risky for the
company that too in a market where the local players have a strong presence.
? There should be some changes made in the promotional campaigns to match the culture
also the majority of people who are there should be from Australia that can make it easier for the organization to adapt to the change.
? There should not be much of a change in terms of product mix and pricing should be
done in comparison with other similar products in the market even though they can look a premium at a minimal basis.
TABLE OF CONTENTS Executive Summary .....................................................................................................................................................................2 1.0 Introduction .............................................................................................................................................................................4 1.1 Objectives ...........................................................................................................................................................................4 1.2 Market Background .........................................................................................................................................................4 2.0 Market Analysis .....................................................................................................................................................................5 2.1 PESTEL ANALYSIS......................................................................................................................................................5 Political...................................................................................................................................................................................5 Economical............................................................................................................................................................................6 Social.......................................................................................................................................................................................6 Technological .......................................................................................................................................................................7 2.2 Competition ........................................................................................................................................................................7 2.3 Buyer Behaviour...............................................................................................................................................................7 2.4 Company Analysis ...........................................................................................................................................................8 3.0 SWOT Analysis .....................................................................................................................................................................8 3.1 Strengths ..............................................................................................................................................................................8 3.2 Weaknesses ........................................................................................................................................................................8 3.3 Opportunities .....................................................................................................................................................................9 3.4 Threats..................................................................................................................................................................................9 4.0 Marketing Plan .................................................................................................................................................................... 10 4.1 Estimated market size and segment entering ....................................................................................................... 10 4.2 Entry Strategy ................................................................................................................................................................. 10 4.3 Expected sales size........................................................................................................................................................ 10 5.0 Marketing Mix..................................................................................................................................................................... 10 5.1 Product Strategy............................................................................................................................................................. 10 5.2 Brand Positioning .......................................................................................................................................................... 11 5.3 Pricing Strategy.............................................................................................................................................................. 11 5.4 Distribution Strategy .................................................................................................................................................... 11 6.0 Conclusion ............................................................................................................................................................................ 11 Recommendations ..................................................................................................................................................................... 12 References .................................................................................................................................................................................... 13
1.0 INTRODUCTION
1.1 OBJECTIVES
In this assignment we would be looking at the entry of Hyundai, one of the leading car makers in the world into the Australian market. The competition and various other dynamic aspects of the markets would be looked at and at the same time various internal and external aspects that can help the company in getting a good market share to start with would also be looked at. Australia has the presence of so less number of car manufacturers as compared to that of many other developing nations. They also have the facility to design the cars other than having the plants for manufacturing the same. There is the presence of many local and foreign car manufacturers in the country and one of the first companies to produce cars at a massive level was Ford Motor Company. In the recent years the sales in the cars have seen a downturn in the Australian market mainly due to many reasons like stiff competition in terms of pricing and increasing operation costs. The Global slump in the market has also affected the same and thus the companies have been trying getting more customers into their fold. They also have been exporting vehicles to other parts of the globe with the Asian nations being their one of their largest importers. In this assignment we would look at how Hyundai can enter the Australian market and at the same time the entry strategy for the company so that they can make sure that they have no hiccups while entering the market.
1.2 MARKET BACKGROUND
The market that we have selected is Australia mainly because of the fact that it is a growing market and at the same time the number of manufacturers in the market is less but have strong hold in all the pockets in the market and at the same time we see that it is a potential market for entering but this is possible only if the company has done a basic homework on how things should shape up and understand the dynamics in the market. It has been seen that many major manufacturers have failed to make an impact just because they did not have a proper entry strategy in place and hence they spent money on those areas that did not make an impact in the minds of the customers. One thing that plays in advantage of the company is that they have a very good brand name and hence they can make use of the same while entering into the market.