This assessment requires you to develop the remaining sections of a comprehensive international marketing plan for your selected organisation in the new country target market. The final document should include your work from Asst 2 and 3, revised as necessary, as the first parts of the overall plan.
The aim is to recommend a marketing mix strategy that will enable the organisation to achieve its objectives in the new market. This includes:
The suggested format of this Asst is outlined in the Project Guide, available in the Resources folder.
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The final project will expect in-depth engagement with relevant international marketing knowledge and will help students build skills required for work in this expanding field.
This assessment has been designed to:
On successful completion of this subject, you should:
Before entering into a new market environment, it is crucial for all business undertakings to assess the market environment so that they can strategize their marketing plan accordingly. In the previous assignment, a thorough screening of the Mexico market had been carried out so that the Amcor Limited concern could adopt key strategies to enter the foreign market. The global marketing objectives had been laid down and the Mexican marketing environment had been evaluated so that the business could effectively identify its strengths, weakness, opportunities, and threats in the new business scenario (Akaka, Vargo & Lusch, 2013).
The high-standard quality of the packaging solutions of Amcor would facilitate its entry into the international marketing scene. Since the commodities and offerings made by the organization have the capability to attain an effective market image in the global platform, the environmental elements in the foreign nation would be suitable for its growth and expansion of business operations. The most suitable market entry model for Amcor Limited would be licensing since it would allow the business to secure its intangible assets like patents, techniques, etc. This official entry mode could be adopted by the packaging service provider to enter the Mexican business environment (Andriopoulos & Slater, 2013). The business would mainly target the participants that function in the manufacturing industry because they are always on the lookout for the best and most suitable packaging solution. Since Amcor Limited provides unique packaging solutions to different kinds of industries, its offerings’ characteristics would allow it to establish a unique brand image in Mexico (Asugman & McCullough, 2015).
In the international marketing scene where many participants involve in marketing activities and intensify the competition, it is vital for a new player to have a thorough and well-designed marketing mix plan. Amcor Limited must focus on a combination of factors including the products, their overall branding, packaging, labelling, quality, pricing model in relation to Mexico’s average income and GDP trend, pricing strategy of the competitors, associated costs, channels of distribution, promotional mode, etc. As per Bello, Katsikeas & Robson, a clear marketing model has been highlighted in the below section for the business concern so that it can implement the same in the Mexican market and strengthen its market opposition in the international marketing environment (Bello, Katsikeas & Robson, 2013).
According to Broyles, Schumann & Woodruff, the product strategy of Amcor Limited would basically lay down the foundation for its marketing operations in the Mexico market scene. Since it is the very starting point of the product lifecycle, it would allow the business to get a clear picture of its current position in the market (Broyles, Schumann & Woodruff, 2015). While designing the product strategy, the business would have to observe the strategic model of its competitors and accordingly devise its product plan. Even though its current packaging solution is popular and functional in the Australian market, it might have to alter it to a certain degree to suit the needs of the Mexican clients and customers (Cateora, Gilly & Graham, 2016).
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The product lifecycle describes the life of a commodity or product in the market with respect to its costs and sales. Amcor Limited’s product lifecycle has been presented in the diagrammatic form so that the readers can understand its current stage in the market setting. As per Christodoulides, Cadogan & Veloutsou, a couple of images have been featured to showcase its product lifecycle stage in its domestic market and in the international market (Christodoulides, Cadogan & Veloutsou, 2015). Since the business came into existence in 2015, currently it is in the growth stage in the Australian market environment. This is the period during which the products eventually gain acceptance in the market. In the Mexican market environment, the stage of the business is different since it would be placed in the introductory stage. Even though it is an established and reputed business in its homeland, it is a new and foreign supplier in Mexico so it would obviously have to start its business operations from the very scratch (Czinkota & Ronkainen, 2013).
Figure 1: Current Position of Amcor Limited
Source: (Czinkota & Ronkainen, 2013)
The branding of the packaging solution would play a critical role in the product strategy. In the initial stage, Amcor Limited would face hurdles to establish its brand name in the foreign land but here its branding model would come into play. Since it offers unique and creative packaging solutions to manufacturing concerns, in the limited time it could make a name for itself in the international market (Darley, Luethge & Blankson, 2013).
Amcor Limited is already known in the domestic market for its unique packaging model for different kinds of goods starting from flexible to inflexible plastic packaging. So in the new market, it would have to maintain its quality of packaging and model it as per the needs of the foreign customers. It could also assess the performance of the competitors in the industry so that it could bring uniqueness to its solutions (Demangeot, Broderick & Craig, 2015).
As per De Mooij, the labelling language and its content would be crucial for the business and its customers since it would act as a crucial source of information about the supplier’s offering. Amcor Limited would have to put all the necessary details about its product so that the users would be aware of its high quality (De Mooij, 2015).
Amcor Limited is always known for the high-quality of its packaging solutions. Since it plans to introduce the antimicrobial packaging product in the Mexico market it could highlight its key features including its ability to act against different kinds of microorganisms like bacteria, virus, etc. This superior feature would strengthen its product quality.
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At the initial stage, the business would only offer the antimicrobial packaging solutions that would be of natural, semi-synthetic or synthetic origin. Different varieties of products would be offered in the Mexican market including chemical resistant aluminium foil laminates, laminations for alcohol pads, etc.
Since packaging solutions are required by all and sundry in the market, the various offered product segments would meet the requirements and demands of the target population.
In addition to the actual offering, the business would offer support services to its clients from different industries so that the client business’ product quality could be maintained.
The pricing strategy of any business is an important element of the marketing mix since it has a direct impact on the profit earning capacity of the business firm. The basic objective of Amcor Limited would be to set the low price of the antimicrobial packaging products at the initial stage so that it could be easily affordable by the middle-class section of the Mexican population (Di Maria & Ganau, 2014). Thus after assessing the Mexican business environment, it has been ascertained that the penetrating pricing model would be most effective for the undertaking. It would act as a solid tool in the hands of the marketer to lure customers away from its competitors (Ford & Leonidou, 2013). A number of factors that would have an impact on the concern’s pricing model have been highlighted below:
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Average Income – The average income of the people would play a vital role while selecting the pricing strategy. Even though the nation has made significant progress in the development aspect, there exists a large gap between the rich and the poor sections of the population. Since as per available data, the average household net-adjusted disposable income per capita in Mexico is $ 12,806, which is less than the OECD average, the penetration pricing model has been selected for the business (Garry & Hall, 2015).
GDP – The GDP figure of Mexico is about 1.69 per cent of the entire world economy. The nation’s economy exhibits stability but there exists a high level of economic disparity between the extremely rich population and extremely poor population. As per Gnizy & Shoham, the current GDP trend does not seem very bright since it has been declining (Gnizy & Shoham, 2014). Thus in the increased external competitive environment, the nation would be a smart choice to conduct business in.
Tax – The Mexican Income Tax law contains specific rules and regulations that govern the business environment. In the taxation front, the business would face a number of challenges in form of customs regulations, standard products, and laws concerning labours add to the complexity of the business environment. Since the current tariff rate has become favourable for new businesses, Amcor Limited could expand its operations in the foreign nation (Hoppner & Griffith, 2015).
Currency Exchange Rate – The value of a single Australian dollar is equivalent to 14.39 Mexican Peso so Amcor Limited would not have to bother about the currency exchange rate much while initiating its business operations in the nation (Fletcher & Crawford, 2013).
Average Competitor’s Price – The thorough analysis of the competitor’s price strategy is a must since this process would help the concern to fix the prices of its offerings in the Mexican market. In the current times, the packaging industry has a large number of players and it is very challenging for a foreign company to establish its business is a new nation (Katsikeas, 2014).
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Costs: Amcor Limited would need to have a strong control over its various costs since these elements would have a vital impact on its profits and revenue. The costs associated with production, distribution, labour, material, etc have been highlighted in this section so that it could adopt the most effective pricing model in Mexico (Kaufmann, Czinkota & Zakrzewski, 2015).
In the production stage, a majority of the cost would be incurred to strengthen the technical model of production. Since it would be offering only the antimicrobial packaging products in the Mexican market it would have to spend money on the self-venting model, foils, etc. Similarly, adequate funds would have to be incurred to strengthen the distribution model of the business in Mexico. Various kinds of costs such as handling costs, packing costs, freight cost, etc would be involved at this stage of the business operation. The labour cost is a critical element that would involve the expenses towards remuneration and wages of employees, payroll taxes, etc. Amcor Limited would have to follow the labour cost patter as per the Mexican market so that it would have access to quality labour factors.
The cost of material or inventory would constitute the biggest chunk of business cost since its entire operations would depend on these raw materials (Keillor, 2015). It would have to ensure to have a solid supply chain system so that the quality of its offerings could be maintained in the Mexican market (Kraus, et al., 2016). The marketing cost is the total cost incurred by the business to deliver the offerings to the end-user. Thus Amcor Limited would have to carefully plan its spending so that the best resources could be used to deliver quality products and services to the customers. The most effective advertising tools would have to be adopted by the business. In order to reduce its advertising costs, it could use social media marketing to reach the market audience.
Similarly, Majarosaid that the packaging must be of high quality so that the differentiation feature of its packaging solution can be reflected in it (Majaro, 2013). The insurance cost is a necessity for businesses in the current times due to the presence of numerous uncertain elements. It would have to ensure its plant and factory in Mexico so that it could protect its business in case of accidents, etc. While setting up the business, Amcor Limited would have to spend necessary finance on the recruitment process so that it could employee the highly-skilled and competent workers in the Mexican market. These recruitment costs would basically include expenditure on logistic support, payment to recruitment agencies, recruiter costs, etc. The purchase of stock from the best dealer would be an influencing activity since it would have a vital impact on the cost model of the business (Malhotra, Wu & Whitelock, 2013). The access to high-quality suppliers of packaging goods in Mexico would help the concern to strengthen its business operations.
The place is an important element of the marketing mix model which has an impact on the business and its performance in the market. Amcor Limited should make sure that its offering is available to its target audience i.e. manufacturing concerns in Mexico. Since the manufacturing industry has been undergoing a rapid growth in the nation, the Australian business must try to position itself at the centre of the manufacturing hub such as Nogales, Mexicali, or Juarez. Since in these cities a large number of manufacturing concerns have been built, the packaging firm could effectively focus on its audience (Okazaki & Taylor, 2013).
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The business must also try to have an online presence. In the technical era, no business can service without having a virtual presence in the market. So it must create an official website and have a presence on social media sites so that the target audience from other locations can know about their packaging solutions. As per Paliwoda & Thomas, the distribution intensity would be the area where most of the manufacturing concerns would be operational in Mexico. Since the business offers products that are needed by manufacturing firms, its distribution intensity would focus on them (Paliwoda & Thomas, 2013). A number of retailers would be spread across different parts of the nation where manufacturing concerns would be established. This would ensure that the demand for the offerings would remain consistent.
The communicational promotional mix forms an integral part of the marketing mix without which a business will fail to operate. The customers need to be aware of the offerings of the business so that they can demand the product. Amcor Limited must use innovative forms of promotion channels like advertising, sale promotion, PR, etc so that it can communicate its message about its unique packaging solutions (Papadopoulos & Heslop, 2014). The image below shows the different promotional channels that the business could use to expand its business activities in Mexico. It could use traditional and modern models like television, magazines, newspapers, etc.
The image below highlights the digital marketing strategies that Amcor Limited could adapt to target the majority of the manufacturing audience in Mexico. It could use earned media, paid media, and owned media to expand its business operations.
Source: (Papadopoulos & Heslop, 2014)
The graph presented below represents the international marketing communication model that would be used by Amcor Limited in the Mexican market. The social media marketing and marketing over television and radio would form the main tools followed by official website and sales promotion activities. Both traditional and modern tools have been selected so that the business could target most of the audience in the international market platform. This simple yet effective communication mix would strengthen the ability of the business to target its main audience in the region (Samiee, Chabowski & Hult, 2015).
The people that are involved in the marketing activity form an integral part of the marketing mix. Thus Amcor Limited’s people would basically involve the staff and employees that would help the business to reach its business objective. This is one of the most critical elements that help the business to conduct its activities (Schilke, Reimann & Thomas, 2013). Thu the packaging concern would have to focus on their features, skills, and requirements so that they could act as an asset for the concern.
The business needs to train them so that they would understand the key concepts and models that are involved to create high-quality packaging products. Innovation must be an integral part of the model so that the employees can feel empowered while working for the entity.
Recruitment is a vital activity that Amcor Limited must do so that it can select the most suitable employees for its organization. The skills, expertise, knowledge, and experience of the applicants must be thoroughly evaluated so that the most productive staff can be selected by the business in Mexico (Schmid, Grosche & Mayrhofer, 2016).
The business must ensure that the relevant occupational health and safety laws of Mexico law are followed so that no employees get affected by the business. It should carefully understand the current laws and regulations relating to health and safety at the workplace so that the business operation could be carried out efficiently (Suh & Badrinarayanan, 2014).
Once the marketing mix model has been designed by the business to enter the international market, it must evaluate the buyer decision process for its offering. This evaluation would help Amcor Limited to understand where it currently stands in the market and what attitude the customers would have towards its products. It must assess the strategy adopted by its competitors so that it can effectively evaluate its economic standing in the market.
Total Market Calculation
Since Mexico has a large population of over 127 million people, the manufacturing industry has been growing at a rapid pace. Since the objective of the business is to obtain a 5.00% market share in 5 years, the penetration pricing strategy has been selected for the business concern. The main target audience in the first year would be the early adopters and then in the coming years the business would focus on innovators. Since the market is a developing stage it has been estimated that about 90 million people of Mexico could play a vital role in the business. The total market based on the assumption for 2 years is 90 million times i.e. 2.5%+ 13.5% = 16%) = 14.4 million (Trefzger, Baccarella & Voigt, 2015). It is the total market that would be targeted by the business in the initial 3 years. Since it would try to get 5.00% market share of that in 3 years – so out the total market is 0.72 Million. So the expected revenue is 0.72 million * the price (assuming it is $10) = $7.2 Million. Thus this is how much the business would want to earn after 5 years of its operation in Mexico (Trefzger, Baccarella & Voigt, 2015).
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Cost reduction strategy
The below cost reduction strategy could be adopted by Amcor Limited so that it could enhance its profit figures in the Mexican market. The key areas in which the costs could be minimized are production, distribution, labour, material, and marketing (Wang, et al., 2017).
The cost reduction strategy that Amcor Limited needs to follow to strengthen its profitability in the Mexican market must cover various areas including production, distribution, manpower, material, and marketing. It could enhance its technological base and enhance its production capacity. The distributors with widest networking models must be preferred by the concern so that the packing solutions can cover maximum Mexican market. Highly skilled labour force must be employed. Innovative and smart marketing strategies need to be adopted by the business so that it can make its mark in the foreign nation.
|Production||In order to reduce the costs associated with production, Amcor Limited could focus on innovation and technical improvements so that the products would meet the specific requirements of the Mexican customers. Effective production would help the business to prevent unwanted returns due to product defects.|
|Distribution||The business could enhance its freight and stock movement model so that the goods could be safely and securely moved from the plan to the end-user. A proper control over theft or damage would be necessary to reduce the distribution costs of the business undertaking.|
|Labor||In order to minimize the labour costs of the business, it would have to carefully design the compensation model. It would have to follow the market standard and make sure that this expenditure does not eat away its business profits. It could modify its operations timing in return for a lower wage model (Samiee, Chabowski & Hult, 2015).|
|Material||For reducing the material costs, Amcor Limited would need to conduct a thorough value analysis or value engineering. It would allow it to avoid extra costs and enhance the customer value by providing better products at a lower rate.|
|Marketing||In order to control the marketing costs, the firm would need to stick with the market demand and adopt a strategic approach to satisfy the Mexican market audience. The automation of a business process would allow Amcor Limited to effectively manage its marketing costs in the long run.|
The table highlights various elements that must be considered by Amcor Limited while conducting its business operations in Mexico. It must take into account the external business environment and devise its implementation and control model. In the initial six months, it must conduct the market survey and research the findings to understand the competitive intensity and market demand. Then it needs to design its production plan and select the best available local manufacturers, and supplier. It must select them on the basis of their service quality. Then the production sampling must be analyzed to check whether it meets pre-determined packaging quality standards or not. The marketing plan must involve competitor analysis so that their strategies can be observed. While devising the distribution plan, the most suitable local distributors must be selected so that the packaging business can reach the majority of the Mexican manufacturing firms. The concern needs to carefully focus on its recruitment and training function so that within the specific period the labour can act as an asset for the concern. The plan has been highlighted in tabular form.
|Political, Economical condition, Social and culture, Technological factors, Legal factors, Environment (PESTLE)||Marketing team||Checking market trend||Putting a strategy in place||Strengthening the business model||Implementing plan||Checking outcome||Assessing gaps|
|Market Survey||Understanding competitive intensity||Highlighting key competitors||Assessing their performance||Establishing differentiating factor||Conducting Pilot Test||Offering new product in the market|
|Research Analysis||Understanding customer preference||Identifying requirements||Assessing business capability||Sample production||Testing||Generating feedback|
|Sourcing local manufacturers||Production team||Communicating with local manufacturers||Checking samples||Conducting sample production||Aligning back-end activity||Testing output||Check compatibility|
|Sourcing local suppliers||Communicating with local suppliers||Checking samples||Conducting sample production||Aligning back-end activity||Testing output||Check compatibility|
|Production sampling||Sample production of output||Accumulate resources, labour||Produce output||Testing activity||Take feedback||Address loopholes|
|Analyzing the sample result||Production and Marketing team||Understanding resources||Conducting pilot test||Taking feedback||Addressing issues||Revise model||Check new product|
|Market Analysis||Marketing team||Assess customers||Observe pattern||Check their||Understand||Execute||Take|
|Competitors Analysis||Check competitor’s strategy||Assess their offerings||Comparative study||Pilot testing||Check for gaps||Take feedback|
|Sourcing effective local distributors||Marketing team||Identify local distributors||Understand their networking pattern||Compare with business reach||Conduct testing||Test the alignment||Select best distributor|
|Local employment||HR team||Recruitment advertising||Conduct thorough selection process||Understand skills and expertise||Provide training||Test new skills||Put to use their knowledge|
|Training program||HR team||Assess current capabilities||Understand requirements||Planning training sessions||Interactive model||Shared learning objective||Expand learning horizon|
Operating in the international business environment can be a challenge if an effective communication plan is not developed by a new business player. Amcor Limited must include a solid promotional plan including event sponsorship planning, presence on social media, and sales promotion activities so that the target audience can be aware of its business offerings. Based on the plan, it must devise its budgeting model so that the financial requirements can be planned as per the business model. The pricing of the packaging solution must be carefully designed since it has a vital impact on business profits. It must be in accordance with the Mexican market. Thorough testing must be conducted before launching the product so that core business objectives are met. The consideration of feedback is crucial in the process since it can be used to fix existing gaps. Ultimately the business performance must be highlighted in the annual report of Amcor Limited. These aspects are covered in the below table.
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|Event sponsor planning||Advertising and Sponsorship team.
|Selecting key manufacturing locations for events||Planning the event model – games, interaction.||Communicating with the intended audience over traditional and non-traditional media,||Organizing event with key local participants.||Conducting live events in Mexico.||Taking feedback from involved people.|
|Social media creating||Selecting the social media channels.||Creation of business pages.||Incorporating interactive content.||Giving regular updates||Involving manufacturing firms and other audience||Taking feedback and working on it.|
|Sale promotion planning||Establishment of the business objective.||Selection of promotional tools||Planning of sales promotion program||Pre-testing||Implementation of process||Evaluation of process|
|Costs Analysis||Finance team||Establishing business estimates.||Monitoring the order value.||Checking with clients and customers.||Back-end activities relating to production.||Comparing the budget and actual of packaging model.||Testing and ultimate cost analysis|
|Estimating Price||Finance team||Determining the involved inventory.||Including other factors of production.||The inclusion of contingency.||Calculation of the total cost price.||Setting up of profit margin.||Fixing the market price.|
|Launching the Product into the market||Marketing team||Testing thoroughly after production.||Invigorating the team.||Prepare for an increase in sales volume.||Abide with core business objective.||Establish the metrics.||Gathering of feedback after launch.|
|Collecting feedback of customer satisfaction and sale||Customer Service team||Keeping the business objective in mind.||Establish models to gather actionable feedback.||The simplicity of the feedback process.||Involving the entire business team in the process.||Provide incentive for valuable suggestions.||Following feedback to take positive action.|
|Providing relevant information for Annual report||Management Team||Closure of financial books||Review of accounts||Auditing process||Determining key areas of income and expenditure.||Reviewing the provided business information||Incorporating the details into business annual reports.|
The effective monitoring of business action plan is crucial while starting business operations in the international environment. Amcor Limited must ascertain the macro-elements and micro-elements in the setting so that it can devise and alter its business strategy accordingly. Market survey and analysis forms the foundation of the process. The local manufacturers and suppliers must be selected based on pre-determined business criteria. The sample must be produced and analyzed carefully. The market analysis and competitor analysis is vital during this stage to fix the business objective. Most effective local distributors must be selected and the internal employee base must be carefully recruited based on their skills and expertise. The marketing plan with an effective communication model, budgeting structure, and pricing model has been highlighted below.
The pricing and feedback model must be carefully included in the plan so that the best business model can be designed. The table covers all the areas that Amcor Limited must focus on to strengthen its action plan.
|Activity||Measurement||Responsible||Activity completion date(s)||Memo|
|Market Research (PESTLE)||Determination of macro-environmental opportunities that would benefit Amcor Limited.||Marketing Team||One year before release date||Company objectives|
|Market survey||The new demands of the market audience could favourably mould the business operations.||Research team||First month||Assess business demand|
|Market Research and survey Analysis||The external factors in Mexico market would help to formulate business strategy||Research team||Second month||Understand key elements|
|Sourcing local manufacturers||Identify competent local manufacturing firms in Mexico||Manufacturing and Research team||the Third month||Understand key manufacturing specifications|
|Sourcing local suppliers||Understanding all elements of the supply chain.||Analyst team||Third-month||Capturing unique attributes of suppliers|
|Production sampling||Accumulating available resources to produce.||Production department||Fourth month||Understand internal processes|
|Analyzing the sample result||Assessing the sample and comparing with the benchmark.||Testing department||Fourth-month||Locating loopholes|
|Market Analysis||Testing the product||Research team||Fifthmonth||Observe market performance|
|Competitors Analysis||Assess performance of competitors||Market analysis team||Sixth month||Understand the business position|
|Sourcing effective local distributors||Exploit local distribution environment in Mexico market.||Distribution team||Seventh month||Selecting most effective distribution model|
|Local employee recruitment||Selecting best man power||HR team||First month||Enhancing the production model|
|Training||Empowering employees||HR team||Second month||Improving the quality of business output|
|Marketing plan for Event sponsor,
Social media and
|Assessing business trend in Mexico.||Marketing team||Sixth-month||Strengthening business presence.|
|Budgeting||Evaluating finances and costs||Finance team||First-month||Aligning business objective with financial capability|
|Pricing||Comparing costs with a set market price.||Marketing and Finance team||Second-month||Maintaining profit margin.|
|Product launch||Assessing with competitor’s products||Research team||Ninth month||Having a differentiating element|
|Collecting Feedback||Identify drawbacks||Entire organization||the Tenth-month||Removing prevailing gaps|
|Annual Report||Observing actual business performance||Management||One year||Observing business performance|
A contingency plan has been designed to face uncertain business conditions in Mexico. The business must have contact with a number of local manufacturers so that they can support the business process during urgent situations. The thorough assessment of local suppliers is vital so that the top three or five suppliers can be used by the packaging concern. The production sampling process must be carefully done so that the best operation designs can be used by the concern to strengthen business objective. Similarly, the local recruitment and training model must be carefully structured so that the highly skilled workers can operator in the organization. The business must be in touch with additional personnel so that they can come in handy during business need. The budgeting plan must include all sorts of business contingency so that it does not suffer due to the shortfall in cash. Effective product launching strategies must be planned so that the business message can effectively reach the Mexican market. An exit strategy needs to be designed so that business does not face resistance from any party while leaving the foreign market. The table highlights Amcor Limited’s contingency business model.
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|Activity||Possible Issue||Prospect of occurrence||Modification|
|Sourcing local manufacturers||The primary issue would be the poor quality of raw materials and production quality.||There is a high possibility that the majority of the local manufacturers of Mexico would not meet the standards of Amcor Limited.||The business would have to carefully select its local manufactures based on the process, and work operations. After a thorough analysis, it must be selected.|
|Sourcing local suppliers||It could lead to ethical issues and resistance since from the Mexican work team.||Since Amcor Limited is an Australian business entity, the sourcing of local suppliers could hinder its business operations and ultimate brand image in Mexico.||The proper supply model analysis would help the business to select the best possible supplier so that they could align their operations.|
|Production sampling||The initial production process could contain defects and flaws. This needs to be properly controlled by the business.||Since processes that Amcor Limited follows in Australia would be different from that of Mexico, the initial production sampling phase could involve hurdles which could adversely impact the business output.||The workers and employees must be given high-quality training by the business team so that they can understand the business specifications and work process.|
|Local employee recruitment||Ethical and process issues could arise due to the difference in culture.||Such issues could arise during production level or any other level of the marketing activity.||Amcor Limited must understand the culture of the nation so that it could instil the same in its organizational culture.|
|Training||Issues could arise due to the difference in technical skill and knowledge.||Training is a vital component which would have an impact on the business performance. Such occurrences could be witnessed at any stage of the business.||A common culture and training model must be adopted so that all the workers understand the internal processes of the firm.|
|Budgeting||The major issue that could arise is a poor projection of budget.||The budgeting issue could arise mainly at the time of receiving of bulk business orders or during the beginning of the financial year.||All the business factors need to be carefully assessed so that they are not skipped while preparing the business budget model.|
|Product launch||The specification of the products could not match the particular requirements of the Mexican audience.||This problem would arise mainly in the initial stage since the business would be making its offerings for the first time in the Mexican market.||Thorough market analysis needs to be conducted before the launching of the product so that the requirements of the customers are met by the business.|
|Exit Strategy||Legal issues and sustainability problems might arise when the firm wishes to exit the Mexican market.||Such problems would arise only when Amcor Limited would decide to leave functioning in the Mexican business setting.||In order to tackle this issue, the business must always follow the government policies and legal rules while conducting its business.|
For effective functioning in the international business environment, Amcor Limited would have to assess the Mexican market thoroughly since it is the chosen nation where it would expand its packaging business operations. The most suitable marketing mix option has been highlighted in the report so that it could have a sustainable existence in the new marketing environment. The product strategy, penetration pricing model, place and distribution model and communication strategy have been highlighted. The effective marketing plan would help the business to expand its packaging offering business in the new nation.Order Now