The Case Study
The Lush company internationally.
Research and write an answer to the following questions:
Question 1 Which Countries and When? (20% weight)
Given a critical review of Lush’s country markets internationally. Which of these countries would you consider for further expansion? What new countries would you consider to be suitable? Which of all of the above are the most viable and give a critical evaluation.
Question 2 Cultural Differences (20% weight)
What advice would you give the company in terms of standardisation and adaptation for its international markets? Give a critical evaluation.
Question 3 Supply and Production (20% weight)
It is expensive to set up production and to move raw material and finished products around the world. How far can local manufacturing within the country of sale be used to achieve this? Hygiene and quality control are important. Is it best to manage the production in-house, or contract out? Give a critical evaluation.
Are there any other factors that should be considered?
In making your decision you might consider:
• the finance;
• the opportunity costs of each scenario relative to the others;.
• how quickly the company needs to expand globally.
Question 4 Distribution (20% weight)
Given that there are many possibilities should Lush concentrate on opening more high footfall stores of its own in the high street of main conurbations, or should it focus more on key transport locations at e.g. airports and railway stations, or upon taking up the franchise space of e.g. department stores like Macey’s in the US?
Question 5 Promotion (20% weight)
What should the future promotion strategy be? Consider: Advertising, Sales Promotion Public Relations and Digital/Social Media. Should they now introduce more conventional promotion or stay with in-store and word-of-mouth?
What will your budget be overall? Give some budget breakdown.
Give an outline of specific activities within the promotion campaign that you think will be effective.
Are there any country differences which will mean adapting the promotion, or can a standardised promotion be used?
• You are to use business sources to support your discussion (guideline of at least ten sources). Text books and academic articles in academic journals may also be helpful to underpin this.
• You should use headings and sub-headings in your document and highlight key words in bold.
• Use the Harvard referencing system.
• For the purposes of this assignment you must use your own words and paraphrase your sources: quotations should not be used at all unless these are very small phrases and can be justified.
• Make sure that you clearly head each question in your work.
• All questions should be answered and make sure that you answer each of the parts in a question. If you do not do so you could lose marks rapidly.
• You should give supporting practical evidence and possibly some underpinning from academic sources
• For the purposes of this assignment the market in the UK should not feature in your answer.
To pass you must complete the tasks and will be assessed as to how well you:
• Monitor and critically evaluate developments in the international business environment and apply these to the international marketing situation. (weight 25%)
• Search for, select and use effectively relevant data and information (weight 25%).
• Develop ideas for a company’s future international marketing strategy (weight 25%)
• Use theories and models of marketing in the international situation to underpin your ideas. (weight 25%)
• Have clear presentation with good layout on the page, clear language and good grammar and proof reading.
(Up to 5% Marks will be deducted for poor presentation)
• Reference correctly using the Harvard system.
(Up to 5% Marks will be deducted for poor referencing)
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