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Aussie Growers Fruit is a reputed family owned business that has been located in the Yarra valley and is also one of the major producers of good quality fruit items in Australia. The fruits produced by the company have been very rich in color, taste as well as aroma that have easily made many customers happy. The plants have been specifically designed by the company so as to enable processing and production of high quality fruits in an appropriate manner (Cavusgil et al 2014). The variety of products offered by the company included good quality fruit jams, fruit sauces, marmalades, juices extracted from fruit pulps, etc. The main stream business processes of the Aussie Growers Fruit included manufacturing, packaging of products, providing relevant and appropriate food services as well as ensure industrial supply. Now, at the present, the company had decided to expand its business by starting business in foreign countries so as to attract more customers and also increase the amount of sales for the company efficiently (Cateora, 2008). The major countries which had been focused on by the organisation in order to start international business and marketing would be United Kingdom, India, etc.
With the advancement in technology, the communication and transportation facilities had improved, which had given rise to good financial flows and growth in economy as well. The Australian fruit grower company Aussie Growers Fruit had also left no stones unturned to expand its business all over the world and conduct business in a more profitable manner through international trade. The international marketing had been defined as the major concept of applying the marketing principles in multiple countries and also spread business across international borders too (Henseler et al, 2009). It could also be an innovative and effective approach for Aussie Growers Fruit to enable extension of the local strategies of marketing so as to identify the various segments of market, make an environmental analysis of the outside country and also study the demographics and profile of customers relating to what they might want from the company. In order to start business globally, it would be important for Aussie Growers Fruit to position the products and services offered by them properly by understanding the demands and preferences of customers in that area and also target different market segments, thereby making them familiar with the company (Cateora, 2008). The international or global marketing had also helped the company to plan for necessary approaches and execute the concepts by setting proper prices of products and services and also promote those in the international countries, thereby creating exchanges that could satisfy the requirements and needs of individuals and also achieve the goals and objectives of the organisation in an effective manner. The major advantages of international marketing for the company had been the expansion of market, enhancement of brand image and identity along with rise of new scopes and opportunities to sustain in the market along with ensuring global networking appropriately (Henseler et al, 2009).
From the targeted nations for internationalisation of Aussie Growers Fruit the nation which could be the most potential market for the organisation is the United Kingdom and there are several of significant reasons for the selection of this nation as a market place for the concerned business. According to the latest 2015 IBIS World’s Fruit Growing Market Research Report, the UK fruit growing industry is one of the most potential industries not only within the nation but also across the world (Hirst et al 2015). By the end of 2015 the overall revenue of the UK fruit growing industry is around £639 million which is undeniably one of the greatest examples for the growth of fruit growing industry in any nation across the world. Hence the developed economic state of the nation and economic growth of the industry would be favorable for the growth of Aussie Growers Fruit within the nation (Djelic & Quack, 2016). Moreover, the fruit growing industry in UK has more than 5700 businesses supplying fruits to the consumers across the nation and it should also be mentioned that over 20,000 people have been employed by the fruit growing industry in UK till 2015 (Matten, 2015). Hence it is evident that the markets are competitive in nature which represents the growth of the UK fruit growing industry and it could also be realised that there would be no crisis of efficient manpower for Aussie Growers Fruit to perform their business operations within UK. It could also be observed from the market statistics that the UK fruit growing market has maintained a uniform growth rate of 0.3% throughout from 2011 to 2015 which represents the stability of the market as well (Djelic & Quack, 2016). Another significant reason or the selection of UK as the international market place for Aussie Growers Fruit is adequate availability of fruit supply due to massive horticultural development within the nation. It would provide the business with easy available supply of good quality fruit without spending higher capital to import fruits from its origin nation (Hirst et al 2015).
Apart from the above mentioned factors it should also be mentioned that UK is one of the most significant suppliers of horticultural products or fruits to many other significant nations in international market. Hence, internationalisation of Aussie Growers Fruit in UK would be helpful for the business to gain smoother way for its future internationalisation goals (Dunning, 2014).
Depending on a PESTLE analysis the market environment of UK for the growth and development of fruit growing business organisations like Aussie Growers Fruit could be easily realised. The recent political environment in UK is in the favor of the growth of fruit growing industry as the reform of CAP has very limited direct financial impact on the UK horticultural sector (Kim, 2015). Moreover none of the recent members of EU like Poland, Hungary and the Czech Republic are superior to UK in terms of the growth and productivity of the horticultural sector as well. The Technological environment in UK is also highly positive for the growth of fruit growing industry and business organisations like Aussie Growers Fruit due to several of significant technological advancement in various aspects related to horticultural sector, such as production and yield increases, glass covered production technology, post harvest technology, better technological assistance for fruit preservation and distribution, more effective use of automated systems in harvesting and packaging and so on (Cavusgil et al 2014). It should also be mentioned that increasing use of modern technology in UK horticultural sector will be positive for Aussie Growers Fruit to have better competitive advantage from smaller and medium scale fruit growers in UK markets due to the un-affordability of these technologies to the SMEs. Even the environmental change in UK and also across the world is not much impactful for the productivity of UK horticultural sector due to higher application of modern technology for developing ideal production and preservation methods (Dunning, 2014).
The major vision which would be followed by Aussie Growers Fruit for making business in UK is to make fresh fruits affordable for everyone within the society. Thus it could be clearly realised about the intensions of the organisation that it is planning to provide fresh and good quality fruits at competitive prices depending on bulk production in own horticultural firms (Kim, 2015). Hence the targeted consumer segment of Aussie Growers Fruit in UK markets is the people belonging to medium socioeconomic condition in the society (Rothaermel, 2015). It has been analysed through market audits and national statistics of UK that a larger proportion of UK population belongs to the medium socioeconomic level in the society but the standard pricing for the fruits in the markets is slightly beyond their affordability for being bought on regular basis. Aussie Growers Fruit will be focusing to fill this gap of affordability fresh fruits among medium socioeconomic people (Matten, 2015).
It has been mentioned in the previous segment of this report that Aussie Growers Fruit would be targeting the majority population in UK belonging to medium socioeconomic level of the society for offering its products. Hence, it would not be suitable for Aussie Growers Fruit to gain effective popularity among targeted consumer segment through determining premium pricing and positioning for their products in UK markets (Griffin & Pustay, 2012). Hence, Aussie Growers Fruit products would be positioned in the UK market in competitive manner so that fresh and good quality products could be sold at competitive prices and that would be more effective for the business to gain quicker popularity in the market through challenging bigger supermarket giants in UK as well (Rothaermel, 2015).
Hence it could be concluded from the above report that UK as a proposed international market for the concerned business organisation is totally a justified choice for several of justified reasons. The analysis of the market situation and environment clearly shows that it is highly favourable for the growth of horticultural sector within the nation and the Industry has already achieved a remarkable growth as well (Matten, 2015). Positive economic state and higher application of modern technology also make things easier for Aussie Growers Fruit to establish itself in UK as well. However, there would be challenges for the business to compete with bigger supermarket giants like Tesco and others to gain a good position in the market but the positive growth opportunities would provide the business to overcome these challenges (Griffin & Pustay, 2012).
Cateora, P. R. (2008). International Marketing 13E (Sie). Tata McGraw-Hill Education.
Henseler, J., Ringle, C. M., & Sinkovics, R. R. (2009). The use of partial least squares path modeling in international marketing. Advances in international marketing, 20(1), 277-319.
Dunning, J. H. (2014). The Globalization of Business (Routledge Revivals): The Challenge of the 1990s. Routledge.
Hirst, P., Thompson, G., & Bromley, S. (2015). Globalization in question. John Wiley & Sons.
Cavusgil, S. T., Knight, G., Riesenberger, J. R., Rammal, H. G., & Rose, E. L. (2014). International business. Pearson Australia.
Kim, S. D. (2015). The Industrialization and Globalization of China’s Musical Theater. Media Industries, 1(3).
Djelic, M. L., & Quack, S. (2016). Globalization and Business Regulation. Annual Review of Sociology, 43(1).
Matten, D. (2015). Business Ethics: Managing Corporate Citizenship and Sustainability in the Age of Globalization. Oxford University Press.
Rothaermel, F. T. (2015). Strategic management. McGraw-Hill.
Griffin, R. W., & Pustay, M. W. (2012). International business. Pearson Higher Ed.
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