Potential Partners In The Local Global Markets example essay topic

Analysis of CNS Breath Right Strips Introduction According to the text, Breathe Right Strips were invented by Bruce Johnson, a chronic nasal congestion sufferer. Mr. Johnson Brought his creation to CNS Inc. CNS took the product and primarily marketed it to sports teams, nasal sufferers and night-time snorers. The product really became prominent when Jerry Rice of the San Francisco 49 ers wore the product in the Super Bowl.

According to cns. com, Breathe Right Strips is also available in vapor strips, clear and tan strips, and nasal strips for kids. Some of the other products include nasal spray, throat spray, fiber choice and a portable vaporizer. Armed with these few, but strong products in 1995 CNS, decided to go global. Summary of the Facts The facts are that that there are advantages and disadvantages of CNS going global with the product.

The advantages are that CNS can attempt to increase its market share and not have to rely on only domestic dollars, partnerships can begin to develop between local suppliers, and they can avoid costs of domestic licensing. The disadvantages are that there are local customs that need to be considered, the lack of name recognition of the brand, there may be stronger global competition, the international company may be used to different marketing, and there may be different trade regulations. The decision for CNS to go global takes careful analysis and an international strategy. Analysis The strategy that CNS decided to use is the three-stage approach.

Stage 1 is Explore / test concept. Stage two is the Establish the product, and stage three is Manage the product. Using the SWOT analysis, I will analyze their marketing approach as it pertains to entering international territory. The strengths are that breathe right has already shown that it could successfully market the product in North America and make it a success.

They have proven that they can package the product to tailor it to the international market, which would allow then to penetrate the market and refine messages for the local market as spelled out in stage 2 of their strategy. They have the ability to identify potential partners in the local global markets. When they first entered the global market, they partner with 3 M, who had a handle on the marketing practices of the global market. According to The Business Journal, they regained control of their sales from the 3 M Company. As spelled out by the text, they also partnered with Blu Farm Group in Italy to get the knowledge on how to market and sale the product to local pharmacists in Italy. Weaknesses are that the product is kept behind the counter of some international drug stores, thus limiting the exposure.

The Universal Product Codes on packaging aren't universal. The different governments may have different ways of reviewing the product, and can take a few weeks to a month to gain approval. The opportunity is that CNS has a product that may not withstand the test of time. The CNS Company may need to look at extending their product line beyond the strips, vaporizers and fiber tablets.

They have such a limited product line. The biggest threat according to breathe right strips is a company called gin miller. According to gin miller. com, they have produced nasal that are reusable. The other threat is the income of developing countries.

They may not have the disposable income to be able to buy the product. Recommendations The first recommendation is to implement at the end of stage one, an approval stage. Once the product is tested and gains approval, they should make sure that they have approval from the governments before the product launch. They should also take a look at expanding their product line to something that people are willing to pay their money for. They could find different groups to market the product to beyond athletes and snorers.

There may be a market for the product to people who have more of a need for the product, such as asthma, emphysema, allergies and other breathing problems. It is definitely worth investigating. This can make it more of a need item rather than a luxury item. They could benchmark the product developed by gin miller. They could make the product reusable. This would also attract the people of developing countries who don't have the disposable income to continue to buy the product.

Another way to do this is dumping. They could severely reduce the price of the product initially to create the demand, and then slowly increase the price as the demand rises for the product. They can also create signage to attract buyers in the pharmacies that have the product displayed behind the counters. They can also develop billboards and other advertising that is tailored and messages the local customs and beliefs of the different geographical sectors. They can also give out coupons to attract people that are unaware of the product. They can also opt to do what they have always done, because the product is successful.

To take the do-nothing approach is dreadful, because the competition is out there lurking, just waiting for CNS to rest on their laurels. Conclusion The CNS Company is already a successful company due to the achievements of its breathing right strips. In my analysis we learned that they already do a lot of things right. What they need to be aware of is the different economical situations in the global marketplace, there are different ways that the product is approved abroad, and there is competition lurking. CNS needs to continue to leverage their strengths, but capitalize on their opportunities and benchmark the competition. Sources CitedKerin, Hartley, Berkowitz, and Ru delius.

Marketing McGraw Hill 8th Edition " CNS Inc. to regain control of Breathe Right international sales from 3 M" The Business Journal Minneapolis-St. Paul: 11 Oct. 1999"Innovative Solutions to Everyday Problems" 2004 web "1-2-3 Breathe" 2004 web.