Global Marketing Management

A Case Study on British Multinational Company

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Introduction to Global Marketing Management

Marketing at the global level has become necessary for organization in the present era as large number of challenges is present in the business environment due to which companies are not able to accomplish their desired goals at international level. Further, it is a well known fact that at global level, market size is very wide and due to this reason, effective marketing strategies are required for the growth of company. Moreover, ultimate objective of every business is to develop awareness in the market so that its brand may become popular worldwide. Due to this basic reason, importance of global marketing has enhanced in the present era and with the help of effective marketing strategies, it is possible for the management to enhance its worldwide presence and it acts as a development tool.

For conducting the present study, organization chosen is Arcadia group that is a British multinational retailing firm headquartered in London. At present, company is having more than 25,000 outlets in the market of UK and is planning to open its stores in the market of India for which global marketing management is essential. Through marketing strategy, entire range of products of company can be promoted easily. Various tasks have been covered in the study which involves the competencies of brand, external opportunities for the firm etc.

1) Competencies of the Brand

Arcadia group product range involves clothing, accessories and shoes which are popular in the market of UK. Main competency of firm in the market involves customer benefit where organization strongly focuses on providing large number of benefits to the target market. Further, in the market of UK, large number of consumers prefers to buy products of Arcadia group and they are satisfied with it. Therefore, this core competency can also support management in the Indian market as company can highlight main benefits which customers can obtain after purchasing its product range. Through this, Arcadia group can utilize the customer benefit as core competency at international level. Ability to offer differentiated product is another key competency of Arcadia group and this can be utilized at international level where company can market its product in a unique manner and it can be highlighted that no close substitutes of products are present in the market. This can support the enterprise in attracting large number of customers for longer period of time.

Value for money product is also the major competency of firm where in market of UK, products of company are perceived as the value for money. So, this can be utilized at international level where company can represent that benefits of consuming its product range is more as compared with other products in the market. High quality product is another competency of business enterprise and this is the main reason behind rise in sales volume of company. This can be used at international level where customers can be targeted on the basis of quality. So, all these core competencies are effective and can be used by the management for enhancing the sales along with profitability level in the market. At international level, competition level is quite high and all these competencies can provide base to the firm for accomplishing the desired goals and objectives.

2) Analysis of Strengths and Weaknesses

In order to better perform in the international market, it is required for the firm to analyse its strengths and weaknesses in advance so that overall efficiency of study can be enhanced through this. Main internal strengths of company are:

So, these are some of the main strengths of Arcadia group which provides base to the enterprise in serving its target market. Further, company operates in highly competitive market due to which it is necessary to focus on its key strengths so that overall productivity may be enhanced. With the help of this, organizational performance can be enhanced. All these strengths including competencies can be better utilized at international level so that target market of India can be attracted easily and it is favourable for the business in every possible manner. In short, it can support the enterprise in gaining competitive advantage and can assist to deal with large number of challenges.

On the other hand, some weaknesses of Arcadia group are present which reduces the efficiency of organization and they are:

So, these are some weaknesses of Arcadia group which reduces the efficiency of enterprise at the time of operating in the market. Further, corrective actions have been taken by the management so as to overcome with all the weaknesses and through this; company can better perform in the international market and can enhance its brand image also. Apart from this, it will become easy to deal with the condition of rise in competition level in the market along with other challenges that are present in the business environment.

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3) Analysis of Opportunities and Threats

Market where Arcadia group operates is full of opportunities and they can be grabbed by business so as to serve its target market in a better manner. Main opportunities present with company are as follows:

These are some of the opportunities which are positively affecting business enterprise. Main opportunity present with company is changing market trend where customers prefer to buy the products such as clothes which are eco - friendly and due to this reason, organization has altered its operations and main focus is on producing sustainable products. Apart from this, recycling of waste technique has been adopted for the betterment of society. Further, online market is growing rapidly and this can directly benefit the firm as management can offer its product range with the help of website and this can support in increasing the sales volume along with profitability level as well.

On the other hand, various threats are present in the external environment where Arcadia group operates and they are as follows:

These threats are affecting the business operations and for the same, management has taken large number of initiatives so that market presence at international level can be enhanced easily. In short, by dealing with threats, firm can promote itself as a better brand and this can boost the overall productivity. No doubt, outside influences directly affects the business operations and it is required for the organization to develop effective strategies so that overall impact of external influences can be reduced to some extent.

4) Factors Considered While Undertaking Competitor Analysis

Large numbers of factors are present which Arcadia group has to consider at the time of undertaking competitor analysis. Pricing strategy is regarded as the most important and while entering into Indian market, firm has to consider pricing strategy of its competitors so that decision can be taken regarding prices of products. Further, it is recommended to the firm to set low prices so that large number of customers can be easily attracted with the help of this. Every organization which is offering clothing and other type of apparel in the market has set prices lower with an aim to strengthen the customer base of entity. Therefore, setting lower prices as compared with the key competitors can provide base to the enterprise for attracting customers in the Indian market. Generally, people living in Indian market are having low purchasing power as compared with UK and due to this reason, the pricing strategy is appropriate for the business enterprise. Marketing strategy is another factor which needs to be considered by Arcadia group while undertaking competitor analysis. Further, it is a well known fact that through appropriate marketing tools, firm can easily develop awareness in the market and each and every customer can know about its product range.

Therefore, by knowing the marketing strategy of competitors, Arcadia group can develop better strategy through which Arcadia as a brand can be more popular in the Indian market. This can support the business in enhancing overall market share in the Indian market and can support in grabbing other benefits as well. Competitor analysis is regarded as one of the most effective tools as through this; overall activities carried out by major competitors can be known easily which is beneficial for enterprise in the present era. Apart from this, developing strategy without obtaining competitor knowledge can be unfavourable for business and due to this reason, competitor analysis has its own significance and it assists the enterprise in gaining competitive advantage. Majority of companies are targeting customers by offering discount and other type of schemes. So, Arcadia group can target its customers on the basis of product differentiation and highlighting key benefits of product range. Therefore, this can provide competitive advantage to organization in every possible manner and can provide reason to customers for purchasing the products of Arcadia group rather than other competitors in the market.

5) Target Market Selection

Arcadia group target its customers on the basis of country where different products are offered to the customers as per their taste and requirement which is beneficial for the entity in every possible manner. Selecting target market on the basis of country provides long term benefit as company can easily modify its product range country wise. Estimation of target market is little bit difficult for the business enterprise as large numbers of buyers are present who purchase clothes, shoes and other types of accessories. Segmentation criteria adopted by organization is psychographic one where lifestyle and preferences of target market are considered while targeting them. Further, by adopting this segmentation criteria, business enterprise is obtaining long term benefit and it is appropriate at international level also. Consumers prefer to buy clothes on the basis of their lifestyle and it plays an important role. Apart from this, in the market of UK, purchasing power of customers is quite high due to which they prefer to buy costly also. But in the Indian market, purchasing power of target market is low comparatively and due to this reason, firm can set low prices. Therefore, psychographic segmentation is the most appropriate for the Indian market and through this, customers can easily offer a wide range of products. Moreover, positioning of product is also necessary and for Arcadia group, firm can easily position its product range with the help of its attributes and special quality which may not be present in competitor’s product. Positioning with the help of product attribute is considered to be highly effective and it allows the business to retain its loyal customers for longer period of time. Customer type of Arcadia group is end customers and entire product will be offered to them with the help of physical stores. Therefore, it is also beneficial for company and in short, needs of target market customers can be easily satisfied with the help of this.

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6) Overview of Marketing Objectives

Marketing objectives are developed by organization with an aim to accomplish its desired goals and objectives. At international level, it is necessary for the organization to set marketing objectives so that overall performance in the market can be enhanced with the help of this. Marketing objectives set by Arcadia group for Indian market is to enhance the sales volume and profitability margin by 10 percent. In order to accomplish this aim, company will introduce sales promotion scheme and other additional offer such as discount. This can support in attracting large number of customers and can enhance the customer base of enterprise. Further, the objective set by organization is realistic as effective marketing objectives set allow the firm to increase its sales volume along with the profitability. Apart from this, to accomplish this objective, time frame of four months has been set by the management which is favourable for business also. Through this marketing objective, it is possible for the business enterprise to comply with the actual needs and requirement of its target market and thus, it can act as a development tool.

Another market objective set by enterprise is to enhance awareness in the market of India so that more customers may know about the range of products sold by Arcadia group. This specific objective set can be accomplished by enterprise by adopting promotional tools such as advertising and through this, more customers would know about the products of company. Further, for measurement of this objective, market research can be carried out in order to know whether customers are well aware about the range of products of Arcadia group or not. The objective set by management for international market is realistic as through advertising, sales promotion etc., awareness can be easily developed in the market which is fruitful for business. Apart from this, to attain this objective, time period of five to three months is required and in this duration, the set marketing objective can be accomplished easily and effectually.

Therefore, these are some of the marketing objectives set by business which are SMART and can definitely enhance the efficiency of enterprise. By applying higher efforts in accomplishing this aim, company can easily gain competitive advantage and it can act as a development tool.

7) Critical Review of Entry Mode Strategies

In order to enter into the new international market, it is necessarily required for business to adopt appropriate entry mode strategy so that operations can be carried out in an appropriate manner. One of the most appropriate entry modes for Arcadia group is joint venture as by considering this strategy, firm can jointly work with another organization so as to accomplish itsdesired goals and objectives in an effective manner. Main advantage of using joint venture as an entry mode is that it supports in gaining access to expertise and it is not required to hire skilled workforce for the betterment of company. Further, sharing of risk of high leverage becomes easy and it directly acts as the development tool for enterprise.

Apart from this, organization can easily adopt advanced tools for carrying out overall operations in the market. All these key advantages of Joint venture can provide base to Arcadia group in carrying out operations in international market and it will become easy for the enterprise to target its customers in highly competitive market. On the other hand, it is required for the management to consider disadvantage of Joint venture, that is, sometimes, objectives of the joint venture may not be clear, imbalance in level of expertise and partners may not provide enough leadership which is not in favour of the organization. Therefore, all these disadvantages of joint venture directly lead to decline in its efficiency. On the other hand, company is having less knowledge regarding the market of India and at the time of entering into International market, it is necessary for the enterprise to have proper knowledge regarding taste and requirement of target market. Control and risk can easily be shared by Arcadia group after working jointly with other enterprise and it can act as the development tool. Further, it is a well known fact that due to high level of risk, company has to face many challenges in the market and due to this reason; joint venture is beneficial for the firm in every possible manner.

8) International Marketing Mix

Marketing mix takes into consideration the key factors such as product, price, place and promotion which are directly associated with the growth of enterprise. Main products which will be offered to the target market of India involve shoes, clothes and other types of accessories. All the products of company are different from those that are offered by other companies in the market. By offering products in the market, it is possible for the enterprise to target its customers in a proper manner and in turn, it acts as a development tool. Further, quality of products has been kept high and this can support in enhancing the sales volume of business. Apart from this, moderate prices will be charged from the target market for the products and in short, penetration pricing strategy has been chosen with the help of which large number of customers can be attracted easily. This is directly beneficial for company. For promotion advertising and social media sites, it will be used with the aim to enhance the overall sales of company. Moreover, distribution of products will take place with the help of physical stores and this is also effective for the organization.

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9) Internal Marketing Budget Strategy

Marketing budget is necessary as in this; various factors are considered which are in financial terms. Market demand estimated is very high here where it is expected that large number of customers will prefer to purchase the products of Arcadia group. Further, in the first year, sales of enterprise are expected to be around 5 lakhs which can support in recovering all the major expenses. Net profit is expected to be around 3.5 lakhs after deducting all the major expenses such as marketing and other operating one. Apart from this, business has to consider some other costs so that adequate amount of profits can be earned easily which is fruitful for the business. This can allow company to gain competitive advantage and in turn, it can act as a development tool for the firm.


After carrying out the entire study, significance of global marketing has been known and it can support enterprise in dealing with the challenges that are present in the business environment. Further, due to rise in level of competition, marketing at global level has become essential especially for companies that are planning to invest in other markets. Further, the international marketing mix of Arcadia group is effective as through this, company can easily enhance its sales volume and this can definitely boost the profitability level of enterprise. Moreover, effective promotional tools are required to be adopted so that more customers may know about the product range.


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