GLOBAL MARKETING

Equivalent QCF level: Credit Value: Learning time (hours):

Level 7 15 150

UNIT PURPOSE This unit provides learners with an in-depth understanding of marketing, design and innovation. It also focuses on entering international markets utilising design and innovation. Issues related to internationalisation, market research to enter new markets, and the importance of patenting and intellectual property rights are also covered with regard to business innovation.

UNIT INTRODUCTION This global marketing unit is designed to enhance the learners’ capability to evaluate the importance of design and innovation in marketing for business excellence. Concepts of designing and innovation are comprehensively introduced to the learners with practical applications. Characteristics of the design process in the context of stylistic change, fashion and consumer taste (including the nature of design management) are elaborated upon. Critical analysis of the design and innovation practices is an important role of the learners, and the importance of design and innovation in enhancing competitiveness is also covered. The unit also focuses on how current developments in innovation and design has impacted on mass customisation and marketing communication strategies in organisations. In addition, the importance of patenting ideas, design registration, trademarking and intellectual property on new products and services is also elaborated for the benefit of the learners. The unit also explores and evaluates the international markets with regard to the marketing of the innovative products of a business. Strategies to enter international markets, issues related to entering new markets, and success factors of entering international markets, are explored and evaluated. In addition, the way in which cultural differences can impact upon the process of entering international markets (and internationalisation in organisations) is discussed with the use of relevant theories and practical application. Finally, this unit focuses on effective management of information to develop a marketing strategy. It provides a comprehensive knowledge on the information required for strategic planning and various sources these could derived from. Overall, this unit provides the learners with the required knowledge to design and develop new products and market them effectively, even in potential international markets.

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LEARNING OUTCOMES, ASSESSMENT CRITERIA AND CONTENT

To pass this unit, the learner must generate evidence that demonstrates all learning outcomes have been met through the achievement of all the unit’s assessment criteria.

Learning outcomes On completion of this unit, the learner will: 01

Be able to appraise the main characteristics and processes of design and innovation for a product or service from a marketing perspective

Assessment criteria On completion of this unit, the learner can: 1.1 Use the marketing mix to analyse the design and innovation of a product or service 1.2 Develop a proposal for innovative of a product or service, giving consideration to:  novel concepts for design and innovation  the designing process  enhancement of the competitive edge in a target market  the use of mass customisation

Content Marketing: Customers, consumers, clients and the distinction between want and need, from the perspective of design and innovation Characteristics of design and innovation: Product and service functionality, dependence and performance, effectiveness and efficiency Concepts of innovation: Consumerism and commoditisation of products and services. This also should focus on the significance of innovation in the marketing process Factors to consider when designing a new product: Perception on the service/product quality, ownership and use of the product/service, Value and meaning, Branding, brand value and competitive advantage, Marketing communications, Projection of ideas and concepts to target markets Innovation: Diffusion of innovation, style, change and fashion. Global patterns of market demand and trends should be considered in the innovation process

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LEARNING OUTCOMES, ASSESSMENT CRITERIA AND CONTENT

Design: The design process that includes study, investigation, research, concept, rough, prototype, test, modify, implement, presentation, modification to final commercialisation Factors to enhance competitiveness: Principles of product and service design, functionality and purpose, customer perception, value and branding, effective communication and promotion Mass customisation: Enabled by technologies such as computerisation, internet, product modularisation, and lean production, it portends the ultimate stage in market segmentation where every customer can have exactly what he or she wants

02

Understand the importance of innovation protection for new products and services

2.1 Evaluate appropriate innovation protection methods for a new product or service

Innovation protection: Patenting ideas, design registration, trade marking and intellectual property

2.2 Critically evaluate the risks associated with not protecting innovation

Consequences of not protecting innovation: Imitation; lose competitive edge; Less market recognition and corporate excellence. These should be explained with practical examples

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LEARNING OUTCOMES, ASSESSMENT CRITERIA AND CONTENT

03

Know how to develop and apply appropriate marketing strategies for global markets

3.1 Evaluate the global market potential for possible business expansion 3.2 Apply appropriate global marketing and communication strategies to the identified international market, to include the following areas:  utilising of various information sources to acquire relevant data  the reliability and validity of each source of information  assure effective use of obtained information

International Marketing analyses: International Marketing Mix analysis; International market research; International market planning, strategic choice and evaluation/control International marketing strategies: International markets could be exploited for opportunistic global market development (diversifying markets); Following customers abroad (customer satisfaction); Pursuing geographic diversification (climate, topography, space, etc.); Exploiting different economic growth rates (gaining scale and scope); Exploiting product life cycle differences (technology); Pursuing potential abroad; Globalising for defensive reasons; Pursuing a global logic or imperative (new markets and profits) Marketing communication: Wide access to internet, High technological devices, social media, etc. has changed the communication and promotional strategies of companies Information required in developing a marketing strategy: Industry trends, rival information, resource requirement, financial markets, government regulations, demographic information, corporate financial performance indicators, internal operations related data, corporate annual report, market analyses, stock market data, governmental publications

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LEARNING OUTCOMES, ASSESSMENT CRITERIA AND CONTENT

04

Be able to determine the internationalisation process for a range of companies in various global markets

2.1 Identify the factors that would facilitate internationalisation for a selected organisation 2.2 Develop internationalise strategies for a company focusing on the processes 2.3 Identify issues of internationalisation and take appropriate measures to mitigate these, to include:  Potential and or existing cultural issues for a business that is to enter international markets

SLEPT factors: Before creating business plans or when evaluating existing ones it is important to 'scan' the external environment. This takes the form of SLEPT analysis, i.e. an investigation of the social, legal, economic, political, and technological influences on a business. In addition it is also important to be aware of the actions of your competitors. These forces are continually in a state of change C factors (12‐c framework): To enter international markets the 12Cs should be evaluated. They are Country. Culture. Concentration Channels. Commitment. Choices. Caveats. Communication. Currency. Contractual obligations: Capacity to pay, Control and coordination Standardisation v adaptation: When it comes to the international market entry companies tend to standardise the product; however, to be successful the importance of adapting to specific markets Changing international environment: Understand the new trends in globalisation. The theories of globalisation, issues and strategies should be discussed with regard to entering international markets Cultural impact on internationalisation: language barriers, attitude, religious beliefs, etc.

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GUIDANCE FOR TUTORS

DELIVERY & ASSESSMENT It is important that tutors use a range of teaching and guidance methods to ensure that their learners will meet the intended learning outcomes for this unit. This would include participating or revising lectures/notes, attending webinars, workshops, individual/group assessments and mock/draft feedback for assignments. However, learners should always be encouraged to participate in independent learning using the resources on the IMSS, e-library and Mintel reports. Learners need to use analytical thinking, participative approaches and investigative mindsets in order to be able to enhance their learning experience through reflection of theory in conjunction with their own experience. It is important to plan the delivery of the unit to ensure that learners have enough time to undertake the relevant research needed to meet the learning outcomes and to facilitate selflearning. Learning outcome 1 will provide learners with the fundamentals of marketing, design and innovation. Case studies of successful innovations could be discussed in the classroom to determine the characteristics of effective innovation and designing via practical understanding. In addition, such examples can be used to analyse the importance of innovation and design to create a competitive edge. (As always however, the tutor should assist the learners to derive the concepts accurately.) By contrast, some innovation failures can be discussed to highlight the importance of effective designing with a customer perspective and value creation. Finally, the impact of current developments in design and product/service diffusion and innovation on mass customisation and marketing communications should be analysed and evaluated by the learners following the introduction of these concepts. Learning outcome 2 provides learners with an understanding of the ways in which business innovations can be protected via patenting ideas, design registration, trademarking and through intellectual property laws. The consequences of ignoring these protective strategies should also be explored and discussed. Learning outcomes 3, 4, and 5 focus on the strategies of entering international markets. The way in which international markets are analysed (using concepts such as 12Cs and PESTEL/SLEPT analyses) should be elaborated upon by the tutor. International market research processes should be discussed in the classroom and related mini cases and examples can be considered. Possible strategies on entering the international market should be explained to the learners, after which their knowledge can be tested through classroom assignments/exercises. The process of internationalisation and related issues such as cultural differences should be discussed by utilising effective classroom discussion. Finally, the learner should be developed to have a comprehensive and practical understanding of the ways in which a global marketing strategy might be created utilising relevant information.

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GUIDANCE FOR TUTORS

OUTLINE LEARNING PLAN The following outlined learning plan can be used as a guidance document in conjunction with the unit assessment. It is simply a way in which this unit can be delivered. TOPIC AND SUGGESTED ASSIGNMENTS/ACTIVITIES/ASSESSMENT Introduction to unit and programme of learning Tutor input on the concepts of innovation, design, internationalisation and the related applications Learner input on practical examples and critical evaluation of the learnt concepts Learner research on market, design and innovation contributing to component 1 Tutor input on the international marketing strategies, issues and the process of entering new markets and information utilisation in developing a marketing strategy. Learner input on critical evaluation of the international marketing strategies and information sources and accessibility Learner research on globalisation, market research and international marketing strategies contributing to component 2 Review of unit and programme of assignments

PROGRAMME OF SUGGESTED ASSESSMENT/ASSIGNMENTS The following table illustrates the respective assessments for the unit and identifies the corresponding assessment criteria. Assessment Criteria covered 1.1, 1.2 2.1, 2.2 3.1, 3.2

Assignment title Component 1

Assessment method

Scenario This component consists of a 4000 word formal report. For an internationally trading company of your choice, identify the key factors that impact upon the company from their external environment.

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Report

GUIDANCE FOR TUTORS

PROGRAMME OF SUGGESTED ASSESSMENT/ASSIGNMENTS

Assessment Criteria covered 1.1, 1.2 2.1, 2.2 3.1, 3.2

Assignment title Component 1– Cont.

Assessment method

Scenario Construct a marketing strategy that is will ensure organisational success across a number of national markets with specific reference to the levels of standardisation and variation

Report

Identify the internal resources that are required to make the strategy a success with an assessment of whether these resources exist within the organisation Evaluate the company’s effectiveness to design and create new products and services to address the changing needs in global markets 4.1, 4.2, 4.3

Component 2

Identify the approaches available to companies when developing their global operations and when they are most appropriate. Discuss the advantages of research and development of products, services and process with specific reference to how these developments can be protected in the international arena

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Essay

RESOURCES

TEXTBOOKS 

Baxter M, (latest edition), Product design: practical methods for the systematic development of new products, Stanley Thornes, UK

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Bidault F., Despres C. and Butler, C. (latest edition) Leveraged Innovation: Unlocking the innovation potential of strategic supply. Basingstoke: Macmillan

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Dussauge, P. and Garette, B. (latest edition) Cooperative Strategy: Competing successfully through strategic alliances. Chichester : Wiley

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Jordan P W, (latest edition), Designing pleasurable products: an introduction to the new human factors, Taylor & Francis, London Tidd, J, Bessant, J, Pavitt, K, Managing Innovation, Wiley, Chichester (various editions available)

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JOURNALS 

Journal of Innovation and Entrepreneurship

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International Journal of Research in Marketing

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Journal of International Marketing

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International Journal of Business and Globalisation WEBSITES

Marketing Modelling

http://www.market-modelling.co.uk

Forbes

http://www.forbes.com

Hubspot

http://blog.hubspot.com/

Advertising Standards Authority

http://www.asa.org.uk/index.asp

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