Page 285 - International Marketing

NPP

Case Studies

1. EXPORT MARKETING
The traders in black pepper are unhappy that exports may not show a sign
of revival in prices in the immediate future. World prices have been showing a
downward trend for eighteen months and this has resulted in much lower earn-
ings for exporters. The UK, West Germany and the Netherlands have cut their
import requirements though the American demand has shown some growth.
Brazil has been resorting to aggressive selling at lower prices and the expecta-
tions are that its exports will reach an all-time peak of 32.000 tonnes in the 1981-
82 season. The 1981-82 Indian season is only about six weeks away. The
Brazilian offensive has forced India to withdraw so to say from the US and West
European markets and increase its reliance on communist buyers. As many as
14,500 tonnes of black pepper out of the 16,700 tonnes were shipped during
1980-81, the Soviet Union alone accounting for 12,647 tonnes. But exporters
are concerned at the diversion on such a scale of this trade.
Questions:
1. Had you been a pepper exporter, what would be your short-term and
medium-term export marketing strategy in the above environment?

2. MARKETING PLAN
HI-FASHION LTD.
HI-FASHION garments is a small-scale company manufacturing high
quality fashion garments. Its annual sales are around ` 20 lakhs, mostly in a
few major metropolitan centres in India. It does not have its own distribution
outlets but sells to some selected retailers who market them under their own
brand names. The company has both gents and ladies line. The Proprietor of
HI-FASHION for some time is considering the fact that if the turnover of the
company is to be increased, it might be easier through exports. Domestic
market for the fashion garments is fairly limited nor it is expected to record any
substantial growth in the immediate future.
In order to explore the export markets, he has recently sent his number
two man in this organisation to Western Europe. He has just returned and had
submitted a market survey report which is reproduced in the Annexure.
The proprietor is considering whether on the basis of the report it would
be worthwhile to try to make an entry in this market. And if the attempt is to be
made, what will be the appropriate marketing plan for this purpose?
Questions
1. Analyse the distinguishing characteristics of the European Clothing
Market.
2. Prepare a broad outline of the marketing plan for HI-FASHION Ltd.
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