Essay about Marketing and Ugg

Submitted By Jeslim
Words: 1339
Pages: 6

Global Marketing Strategy
(Jeannet. J-P, Hennessey. H.D, 2001 Global Marketing Strategies- 5th edition) Meaning companies must learn how to enter foreign markets and increase their global competitiveness. Market sizes, buyer behaviour and marketing practices all would be different, meaning that international marketers must carefully evaluate all market segments in which they expect to compete. The reasons for global expansion are:
a) Opportunistic global market development (diversifying markets)
b) Following customers abroad (customer satisfaction)
c) Pursuing geographic diversification (climate, topography, space, etc.)
d) Exploiting different economic growth rates (gaining scale and scope)
e) Exploiting product life cycle differences (technology)
f) Pursuing potential abroad
g) Globalizing for defensive reasons
h) Pursuing a global logic or imperative (new markets and profits)
- determine the basic long-term goal
It means, UGG wants to have a global position, etc

Strategies: 1. Organisational resources * Outsourcing: one of the weaknesses of UGG is the limited sheepskin that they are facing. As we understand, UGG is outsourcing their manufacture in China and New Zealand and without having long-term contracts with the manufacturer. However in order to strengthen the manufacturing process, UGG can consider of outsourcing their factories to the countries other than China and New Zealand such as Iran, India or Sudan as they are the top 5 countries with the most sheep in the world (word press, 2011). Likewise, with the expanding manufacturing can also help UGG a step in moving into globally. (Aussie Thing) (Sheep list)

2. Educate and inform customers: As there are a lot of counterfeit products out there and it is hard to stop it from happening, we could advise our employees to nurture customers with the right knowledge instead of fling law suit against piracy.
You may not know that buying counterfeit products has a significant impact on the global economy, eliminating tens of thousands of jobs with legitimate businesses and costing the economy an estimated $600 billion of revenue a year. Counterfeiters don’t pay taxes, nor do they provide fair wages or benefits to their employees. Worse yet, they are not accountable to human rights and environmental regulations nor do they adhere to child labour laws, anti-sweatshop laws, or restricted substances laws. This puts workers and the environment at risk, and you too, because you don’t know what materials were actually used to make the counterfeit products. You are also putting yourself at risk of identity theft when you shop on counterfeit sites. There is not one good thing about counterfeit products, and all of the harm that can come as a result drives us to fight this on-going battle every single day. * For example, using replica products might harm you. Indeed, it can’t be denied that some buyers know they are buying fake goods but sometimes it can be more trouble than it’s worth, particularly when most government are clamping down on the $600 billion counterfeit industry. In 2010, 65-year-old Austrian tourist Ursula Corel was fined $1,450 by the Italian government for buying a $10 fake LV handbag. New York and UK officials also issued alert warnings to tourists to refrain from buying fake products or face stiff fines. In New York, for example, buying counterfeit LV, Gucci or Chanel handbags could earn you a $1,000 penalty or up to one year in prison. * Another example would be crimes that associated with counterfeiting. Buying fake products is similar to committing crime as there are a lot of child labour being used in the process of making fake products such as in China and