International Marketing

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Executive summary

The report discuss about the emerald shirt manufacture shirts fabrics with unique passion in it.

In the report under the first task it clearly discuss about the significance of international business to the organization. There it explain how the international trade help to increase customer base, sales and boosts the profits of the organization. Along with that it mention that how the international trade will protect the company with various fluctuations in the economy as well as the seasons.

In the second task it carries out a country evaluation to sort out the best country for emerald to engage in international business with.

Under the third task it clearly describe the modes of entry to the international market. There it discuss about exporting, licensing, franchising, mergers, turnkey projects and wholly subsidiaries.

In the fourth task it describe about the international strategies should be follow by selyn when entering to the international market. There it discuss about the standardization and adaptation as well as the marketing mix

Finally in the fifth task there is a wide description about the challenges might be face by selyn related o HRM and accounting when entering to International market.

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Table of Content

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- Discuss the significance of doing international trade to this organization

The organization I selected considering the probability and the potential it can approach to the international market is the ‘Emerald International’.

This company was initiated on year, 1942 by a Sri Lankan resident as a sole proprietorship and the business ventured into knitted innerwear and the import of Japanese made shirts. The immense success in this field led Emerald International to manufacture shirts locally with fabric imported from Japan. Currently Emerald International is considered as one of the most high-ending shirt brands in Sri Lanka and they do maintain a separate shirt manufacturing store called ‘ShirtWorks’.

The possibility for them to go international is really high due to,

- Potential for growth – the first most basic reason that Emerald International can expand their businesses is the potential within them. Because they initiated their first foreign business on 2001 in UK as the first export shipment to the UK under the Emerald International Brand. But the problem is that they have not continued their exports in order to make the brand stable in UK. Emerald International being the most premium shirt brand in Sri Lanka they have the highest possibility and potential within them to reach this target.

- To face the competition – the highest and the biggest competitor for Emerald International right now is the ‘Hameedia’. The problem within their products is that they 3 levels of product categories, Signature – for middle and youth working class, Le Bond – high class working crowd and Envoy – for high end customers. With that kind of a situation compared to the last 2 to 3 years Emerald International have not being able to be the market leader which has end up being the biggest players in the market. But the significance of expanding the business is that as Emerald International is highly operating with high-end customers and the image within them regarding this product/brand can be increased. The other thing that can identify in line with their main competitor is that for their promotional purposes once they used them as the sponsor for sporting teams such as the Sri Lankan national cricket team as their official formal wear provider. But currently it is clear that those cricket team has been fully acquired by their main competitor, Hameedia. Therefore, it is really critical for them to expand their business activities in to the international context and to gain the competitive advantage.

The other significant reason that they need to approach the global market is that Emerald International acquired the expertise of professional designer & apparel engineer Roberto Inglesi who could walk the talk. He is a person with the experience and exposure of working with some of the world’s most talented individuals as well as internationally acclaimed fashion brands, his experience and exposure in shirt making cannot be matched by many. He brings with him experience of over 3 decades in shirt making in 3 continents. His exposure; spans out in working with world class brands such as Armani, Roberto Cavalli, Dior, Pierre Cardin, Stanza, Louis Philippe, Van Heusen, Allen Solly, and Peter England, therefore without any doubt they do have the most credited expertise knowledge that can make loyal high-end customers in any of the foreign nation with this competitive advantage available within them.

- Small home market. – When they consider their local market it is one of the smallest segments for their operations. The total populations of the country are less than 20 million and among them also their segment compromise to high-end customers which is way below than the usual customer segments. And considering the world’s trend it has experienced great success with games like Clash of Clans and Angry Birds which is obvious that it’s success has been down to their global reach. Therefore, the option available for them is to capture the global market without solely depending on the local market.

- Acquire foreign resources – fabric and embellishments plays an integral part in producing a perfect shirt. This has been perfected by their procurement team through the years. However, what they lacked in bridging this gap is the high level of professionalism and exposure in design and techniques. Most of their fabrics are imported from foreign countries, especially from Japan. Therefore, they have to bear a huge cost on the shipment process. But if they expand their businesses to foreign countries they can gain a huge advantage by utilizing the resources available there without importing.

- Considering the organization’s internationalization objectives, carryout a country evaluation for 2 countries which you deemed fit for this organization to expand into

As per the above explanation identified two most important and easy going countries for them initiate