European Union Countries As A Target Market example essay topic

International marketing is very important these days; it expands a firm's market, makes production and distribution economies feasible, and allows companies to explore growth opportunities in other nations and makes them less dependent on the economy in their home base. For our company EDI we choose Europe more precisely European Union countries (England, Germany, Austria, France, Italy, Spain, Portugal, Netherlands, Belgium, Denmark, and Finland), as a target market. The main objective of international marketing in our case is to increase market share in Europe. Successful businesses have extensive knowledge about their customers and their competitors. Acquiring accurate and specific information about our customers and competitors is a critical first step in market investigation and development of a marketing plan.

The market impacts and direct all aspects of the company's activities and ultimately will lead to success or failure of the business. In developing a market plan, our primary functions are to understand the needs and desires of our potential customers, selection and development of a product that will meet customer needs, development of promotional material that will make the customer aware and ensure of product delivery. The goal of a market analysis is to determine the attractiveness of a market and to understand its evolving opportunities and threats as they relate to the strengths and weaknesses of the firm. There are few main points why our company is attracted to the EU countries as a target market for foreign marketers. 1. Demography & Geography - European countries have relative large population, - High market growth rate - Urban / rural distribution - Climate / weather patterns (5 market regions where we want to introduce our product have similar weather patterns, example: Latin region - Spain, Italy, Portugal-have warm weather all year long) - Shipping distance / cost, (12 countries are divided into a 5 regions where our bottling company TAUT would be located cutting shipping and distribution costs) 2.

Political environment - Similar system of government (in Europe Code Law) - All of the EU countries are politically stable - Governmental role in business - Similar regulations on foreign companies 3. Economy - Overall level of development - High economic growth - Currency (same in all 12 countries-Euro Dollar, therefore minimized inflation rate) - High per capita income & purchasing power - Involved in foreign trade already - Balance of trade 4. Society / culture - Relatively low / same literacy rate - Very similar education level - Different languages but all EU countries accepted English as a business language - Similar business culture 5. Market Access - Limitation on trade / trade barriers - Local standards (that is one of the reasons why we divided countries in 5 similar to each other regions) - Intellectual property protection laws - Legal issues 6. Product Potential - Future world wide market size - Large market for potential growth - Local production, producers, prices, terms of sales - Europe has a very competitive environment.