The International Business Strategy
Green food retailers are the name of the company, which is likely to sell the organic products to the people of the US. This company is well known for its organic and healthy food all of the food item s of the company is free of any chemical and the preservatives. Now the company wants to grow in the international market in order to expand their business. All of the products of the company that it is likely to introduce in the international market are completely organic and pure that is good for the health of the people and helps them to stay fit.
Target Market Analysis
Through focused on the statistical view of the Green food retailers, it could be said that the Green food retailers are focused on the international market including the countries like China and Europe. The income levels of the customers are targeted because the Green food retailers are targeting the customer from the health and fitness perspectives. There is no focus on gender and the age of the person who is consuming the food of the Green food retailers company.
There can be customers from any profession and the customers, who are willing to pay for the quality of the food; the price of a product is very convenient for the people. Green food retailers have targeted the demographics of the customers in an effective way so that there could be a success of the business. So we can say that the target market of the Green food retailers is people from the china and Europe the people who are health conscious and want to stay fit. Those who are concerned for their health will buy the food which is organic as the aspect of health is always in their mind. They say that the food, which is organic, is healthier than the food, which is conventional, and almost 34 percent of the buyers stated that they wanted to stay safe from the toxins, which may be unhealthy.
To attract more customers who focus more on health, you can simply point on the good effects, which the organic food has like the wine, which is organic and doesn’t have bad effects on the heart or the berries which are organic and have fibers. This information is actually soaked by the health-oriented families and they are appealed towards you. It has actually been noted by OTA that 81 percent of the complete families stated that they wanted organic food and when asked for the reason, they again stated that they were evasive of the toxins and some said that they wanted to be safe from the GMOs.
There are also those who are not actually parents yet but they buy food, which is organic, and a single woman out of ten says that she eats the food, which is organic daily. It has also been demonstrated that the kids who used to eat the food, which is organic in their childhood, would likely be eating it after too. However, it requires struggle in the market and especially on the kids along with their parents if you want to achieve success.
Market Entering Strategy
The market entering strategy that the company is likely to choose is the international distributors the company is likely to sell the product to the international market through the international distributors. The other way of entering the market of the China and Europe that we are likely to select for the business of the supermarket is International Distributors. The International Distributors are said to be the agents of the company that are likely to promote the product of the company in the international market. They are actually said to be the representatives of the companies that work on behalf of the business of any company.
I think that the International Distributors is likely to be the best mode of the entering into the international market because with the help of the International Distributors we get to know about the marketing and the sales of the product with a little commission given to the distributors. The best thing about the International Distributors that overall cost of hiring the International Distributors are very low and they also not have a lot of control over the activities of the products and the business.
We have to set the entire target of the products and the market that is fulfilled by the International Distributors. The International distributors are likely to make the commitment with the business about all of the rules and the regulations of the company so that it is also a secure way of entering the international market with the help of the International Distributors. On the other side, as we are going to hire the International distributors for entering the international market so it is also essential for the business to train the International distributors so that they may likely to do the business in the same way as the company wanted from them. By doing this the business also likely to have no conflicts with the International Distributors.
The Global Market For Product
By going International, a company will be able to positively influence its brand image and will be able to its business operations at international level. It will help the company to positively increase its reach at international level global, as the company will become an international brand. Sometimes it is cheaper to do business at international level because by going International you are able to reduce your production cost and you are also able to reduce your employment cost as countries like Asian region affordable employees and they are more compared to the local employees available in US (Kelley, 2015).
It is also important for the businesses to look for other available options international markets in keeping the performance of the company and the sales of the company even when the demand of the products offered by the company is less in the domestic market. The significant objective of going globalization is to enhance the market share and to increase the sales of the company by penetrating in an international market and positively increasing the brand image of the company at international level (Meyer & Estrin, 2014).
One of the most common reasons for going globalization is the potential for growth. Most of the organizations and businesses in Modern era are looking towards opportunities to expand their business operations and to achieve growth in order to improve their performance and to improve the market share.
Green Food Market Research
It is obvious that the Green food retailers company have to make many of the market strategies so that we may able to make a solid stand in the market and attract more of the customers to the supermarket. For example, the company is willing to make a customer analysis so that we get to know more about the trends in the market and what are the needs and demands of the customers.
On the other side, we are also going to conduct many of the promotional activities so that the more of the people in the market get to know about our services and product and visit the supermarket. Create awareness in the market about the services and the product they are providing to the customers. For the marketing research, we are likely to hire the people to make the marketing search and get to know about the more potential areas of the market. The growth potential in the market is very high for the business because the target market is very high.
Green Food Market Analysis
The company has strong local name and goodwill. There are different benefits of going global. One of the most significant advantages of going global is achieving economies of scale. Green food retailers Company can also achieve economies of scale by going global. Another significant factor for going global is expanding the market share and penetrating in a global market in order to effectively increase the sales of the company. With the passage of time, competition is increasing in the local market of United States for Green food retailers so it is important for the company to move globally to effectively and efficiently compete with competitors.
Due to a significant economic position of US, many people visit the USA on daily basis from different parts of the world. It is almost compulsive for the people to visit Green food retailers at least once during their stay in the US, as this is very famous locally. The food offered by the company is also cost-effective and economical as compared to competitors due to which most of the visitors are satisfied with the food offered by Green food retailers in the US.
Green Food Customer’s Analysis
The Green food retailers company needs to make the direct contact with the customers of the products that are likely to buy the food items from us, I would also help us to know about the potential customers in the market to buy the product and the services that we are likely to provide to the customers. The export is also said to be the safe way of entering the product of the company into the market and it relatively also cost very less as compare with the physical supermarket in the completely new international market.
By the way of the exporting the company may also get to know about the selling of the products and the services of the company as compared with the other competitors in the market and in this way they would also likely to know about all of the competitor’s strategies in the market. The company is likely to make the required modification in the product and the strategies of the company. Therefore we can say that the exporting in the first entering mode of the business that we are likely to use in order to start the entre into the market in an effective way.
Concerning all of the customer needs and customer analysis, it could be said that Green food retailers company has analyzed the needs of the customers in the effective ways, as there is focus on the trends and lifestyle of customers believe to spent happy and modern life. The company is also likely to sell the organic food, who are focused on to increase the overall in the services of the customer and utmost customers could be paying attention, in the international market.
Green Food Industry Trends
As we, all know that in the market for the food in the retailing stores the people are more concern about their quality of food that they are buying. The green food retailers in the are going to provide people with the good quality of food that is more good and mild to food without any hard taste and artificial flavours in the food. The trends of the Green food are also been encouraged in the market because all the people are wanted to eat the high quality of the food.
People are now having more concern with the quality of the food that they are eaten with less content of the preservatives in it. So we can say that people of US have a great trend of Eating the Green food as compared with the other food in the market because of the traditional taste of the Green food and less amount of the preservatives in the Green food that is very healthy to eat and many of the people in the market can also buy the Green food. In the present time, the people are very much concern with the health and they wanted to eat the organic food that is good for their health.
It is also obvious that the culture of the countries internationally also have the influence in the sales of the product and the services that we are likely to introduce in that market. as we analyze the market of the all of the countries in which we are likely to promote the product, in the market of the china and Europe the people are very concern with their health and they also have the trends of the healthy eating I the countries more than the US.
Green Food PESTLE Analysis
Porter’s Five-Force Analysis
- A threat of new entrants: High
- Bargaining power of buyer: Medium
- A threat of substitution: Low
- Bargaining power of suppliers: High
- Existing competitors: Medium
Green Food SWOT Analysis
The analysis of SWOT of the company tells about the whole of the strengths and the weaknesses, opportunities and threats that company might behave in this regard to know about the true facts related to the company. The company when knowing about it that how to strengthen their company is in making their products valuable and beneficial for the company then only was they able to take their company on a high level of success among other competitors in the market. The strengths depend on the power or showing high efficiency in the organization work from the employees of the company.
The weaknesses are the most important factor that the companies on which must focus very much keenly on them. Most of the time they are going to manage the workings of the organization in terms of having the weaknesses in the organization so that they can easily take it on the right way. However, if they do not know how to solve it then how could they be able to do the tasks efficiently and correctly as well as they are going to manage the bad impressions of the company to remove it keenly and vanishes it totally from the company?
The opportunities must be availed properly by the company in order to get the best out of it. The opportunities that are being provided to the organization if availed properly then only be they are beneficial for the organization otherwise; it can disturb the working capacity of the organization. The threats are always ready to insecure the workings of the organization and its employees so that organization may lose its success but somehow if they do not be able to manage the workings of the organization then that threats will overcome their succe3ss and disturbs its reputation in society.
The green food retailers company deals in the food department as they are going to distribute the food products in the market where they are serving. The numbers of the amount they distribute into the market are very much fresh and of high quality because the delivery of high-quality fresh food is their main aim to be delivered to the customers to whom they are serving. Their biggest strength is the one time delivery of the food products to the consumers by maintaining the same high level of quantity and keeps the freshness level up to the mark.
The green food company must not have any weakness in it but yet they have a food company in the market so they have to take care of the many of the things that might be made their workings less efficient. As well as they if do not manage t6heir workings properly then they do not achieve the desired target and the customer’s goodwill as well. The weaknesses green foods company has are the limited variety of food products in its retailer’s store. They are working on this so that they can increase their range as well as they can increase their goodwill as well.
Every company who have competitors in its market where it is serving to the people. They have to manage to compete with them in order to maintain their efficiency in the market. In order to get rid of the threats, the company must be the focus on the aspects that may be disturbing for them in order to make difficulties for them so that they can handle it carefully and on time as we. The threats must be kept focused so that they can be managed and removed properly with good efficiency as a must.
Every organization must be taken out many of the new opportunities and facilities for the employees or other people who are connected with them in terms of making their organization to achieve high targets. The more facilitate you did to your employees the happier they are with the organization and more comfortable with working at that organization. So the opportunities should be introduced by the organizations in terms of having more success and moiré secure atmosphere in the organization among employees. As well as opportunities encourage employees to work efficiently with good courage as well in the organization. (Dalavagas, 2015)
4 Ps Of Green Food Marketing
Green food is focused to provide the efficient product in the market, it is said to be the healthy and organic food in order to attract the customers in the U.S and Chinese market. The Green food has about zero preservatives in the food that are very low as compared with the other food in the market of US. The Green is considered to be very light kind of the preservatives because it has just half percent of the preservatives or even less, the taste of the Green is also very hard to drink.
The prices of the Green food are said to be very convenient for the all of the customers of the Green food. The Green food is not very expensive to buy the other items of food. The price is set through focused on the psychological connotations, as the customers from all of the classes are targeted, who spend much on food for the sake of the pleasures and joy.
The primarily the company is focused on the market of US and there are also many of the stores of the Green food in the US. Many of the company is also in the US that is likely to offer the Green food in the Manu as one of the healthy food of the country that is liked by most of the people. The place is efficiently decided as in the U.S, and Chinese market, where there are customers who prefer food that is more organic. Marketing strategies focus on monitors the customer preferences on the daily basis so that high quality of the food can be made for the people.
Although the Green food need not have a lot of promotions internationally because the customers of the Green food are already known about the organic food all are around the world. The advertising is conducted for the promotion example; there is the promotion of the social media, online means, poster sites radio, and the press etc. The company also likely to conduct the awareness seminars about the Green food as all of the products is made with the high-quality material and them not likely to use any of the harmful material that is bad for the health of the customers who are using it.
Regulatory Issues Of Green Food
There is no exception that all the transactions that are international should agree with the regulations, which are custom, and there is no wonder that these regulations are different in different nations. Buyer should be given the required documentation carefully by the seller so to stay away from a bad relationship and costly delays.
Enlisting of the help of purchaser is the option which I think is the most suitable to make sure of the compliance. Difficult question only complicates and the easier one takes the cake: To finish the formality what are the documents that I should give you?
This compels the purchaser to reply with the swift short list in which various types of documents are needed. This scenario is imagined because the purchase or importer actually knows a little about the parties, which are foreign. They know better about their national requirements as it is assumed that they also communicate authorities, which own them.
The documents provided by exporter must be the required ones but they also must be right in the context and must contain required data. The requirements, which are special, may be applied due to the considerations of FTA. The skill to grasp the superior duty relies on the skill to make sure that the good’s origin is proved. When time of importing comes, this frequently helps in presenting the particular documentation.
By checking the websites of nations which are foreign, it is actually a probable to look out for the information about the requirements and guidelines of the import for the said nation, however, the regarding information is actually really difficult to find and those who have not joined WTO, they actually have no need to display their information so that people can check it out. This is the reason why the relations and shaking of hands between the purchaser and buy seems easier and better to me.
Green Food High Price On Transaction
When it comes to the investment in the markets, which are international, the biggest hurdle in the doing of such is the high costs on transactions. It does not matter that the world now is connected with each other through internet; the costs can actually change with the change of markets. The commissions, which are brokerage, are usually more in the markets, which are international, and the rates of domestic are much lower.
Volatility Of Currency
The investors who invest in the retailing are usually threatened when it comes to the volatility of currency. They have to change their own currency into the foreign one so that they can buy the stock from the market, which is international. After one year of holding stock, you again have to convert the currency into the one with dollars namely USD and then sell the stock. The rate of exchange in the nearing time causes the investors to be scared. As a big part regarding the returns of the stock is affected due to the returns of currency, investors must look through this situation first.
Risks Of Liquidity
The uprising markets usually have one risk and that is the risk of liquidity along with the markets, which are foreign. This risk regards with the not selling of the stocks when the order of sell usually enters. They are simply not swift enough. We have actually discussed about being protected from the risks of currency, however, there is no potential way by which common investor can defend against the risk of liquidity. That is why; investors must actually pay attention when it comes to the investments becoming illiquid.
The arrangement through which one firm can simply deliver the rights to use or control the service or a product to the second firm is basically known as licensing. It can actually become very handy for a buyer if he has the share, which is big in such market where you want to go. Actually, licenses are for production, marketing and also licensing.
Summing up the discussion, we can say that the statistical view of the Green food retailers, it could be said that the Green food retailers are focused on the international market including the countries like China and Europe. Green food retailers have targeted the demographics of the customers in an effective way so that there could be a success of the business. I think that the International Distributors is likely to be the best mode of the entering into the international market because with the help of the International Distributors we get to know about the marketing and the sales of the product with a little commission given to the distributors. We are going to hire the International distributors for entering the international market so it is also essential for the business to train the International distributors
It will help the company to positively increase its reach at international level global as the company will become an international brand. The significant objective of going globalization is to enhance the market share and to increase the sales of the company by penetrating in an international market and positively increasing the brand image of the company at international level. Due to a significant economic position of US, many people visit the USA on daily basis from different parts of the world.
Concerning all of the customer needs and customer analysis, it could be said that Green food retailers company has analyzed the needs of the customers in the effective ways, as there is focus on the trends and lifestyle of customers believe to spent happy and modern life. People are now having more concern with the quality of the food that they are eaten with less content of the preservatives in it. The Green food has about zero preservatives in the food that are very low as compared with the other food in the market of US. Marketing strategies focus on monitors the customer preferences on the daily basis so that high quality of the food can be made for the customers of the company internationally.
Also Study: International Business Management Strategies
- Dalavagas, I. (2015, November 2015). SWOT Analysis: Whole Foods Market, Inc. Retrieved from https://www.valueline.com/Stocks/Highlights/SWOT_Analysis__Whole_Foods_Market,_Inc_.aspx#.Wub_6KSFPct
- Kelley, N. (2015). 7 traits of companies on the fast track to international growth. Harvard Business Review .
- Meyer, K. E., & Estrin, S. (2014). Local context and global strategy: Extending the integration responsiveness framework to subsidiary strategy. Global Strategy Journal , 4 (1), 1-19.