International Marketing (Qasim) Essay Example | Topics and Well Written Essays - 2500 words

International Marketing (Qasim) - examine ExampleThe mainstay products offered in underpass include custom sub sandwiches, salads, soft drinks and some opposite food items (Ibis make known 2013). Companys rational behind internationalization The companys strategy is based on the aggressive international expansion worldwide. Internationalization decision is mainly based on the business growth opportunities offered by rapidly growing markets. Subway will continue to expand internationally, in particular in emerging economies as it is likely to be the largest source of profit and r level offue growth (Ibis Report 2013). Today, these markets include markets not yet saturated with fast food brands (Russia, the United Arab Emirates, Brazil, China, India (Fertman n.d.). Mode of admission-selection of market entry strategy to enter into various countries Subway eating places chain has chosen franchising option as a way of life of entry strategy for starting business in various coun tries. Initially, the Subway chain did not even select new countries to expand into, as entrepreneurs from these countries contacted Subway (Welch et al, 2008). The original foreign entry in 1986 had a following typical format individual entrepreneurs contacted the restaurants chain from a farming where there were no Subway locations, and then the development team worked together with the entrepreneur, providing assistance in opening a franchise restaurant under Subway brand (Welch et al, 2008, 61). Thus, the company transferred the method of operation to the franchisee and had a much greater detail of control over its marketing efforts in a foreign market (Lecture notes). However, nowadays, Subway is also distinct actively for new markets. Business Development department of Subway determines which markets would be appropriate to entry by evaluating a number of factors, including the cost of doing business, the GDP, fast-food development and some others, etc. By operate as a fra nchising chain, Subway as a franchisor experiences less risks and is capable to penetrate various markets very rapidly. Besides the frank benefits and advantages of the franchise concept, Subway is imposed to certain risks as well. The value of the brand, either increasing or lessen will have effect on the franchisee competitiveness. Franchisee of Subway has a number of responsibilities, including initial franchising fee, finding locations, hiring employees and operating restaurants, leasehold improvements and equipment and paying a fee into the advertising fund and 8% royalty to the company (Subway Global cusp 2013, 4). Subway also has certain responsibilities, such as providing access to operational systems, guidance on line design and equipment ordering, operations manual, training program, R&D, ongoing support and periodic audits, and informative publications (Subway Global pamphlet 2013, 4). The marketing mix strategies adopted by the company There are recognized several k ey elements of international marketing mix, including product support, price support, promotion/selling support, inventory support, distribution support, service support, and monetary support (Lecture notes). Below are briefly evaluated all these elements with a reference to Subway restaurants chain. Product support. til now though the product line and customer service are standardized among all Subway restaurants as it is common for any franchising chain, there are cultural and local eating habits in particular country that require adaptation