Global Marketing

Global Marketing

This report aims to explore the major issues faced by both companies. It studies the UK markets and offers the entering strategies for the PLFD. The report also aims to assess the possible options of brand transition for MP. In the last, the report presents the contingency plan that can be followed by PLFD in case its business is affected by the decisions of MP.

Part 1

Situation at Companies

The situation at both the companies discussed in the case is very different. Both companies are in the change process that can affect the continuity of their businesses. Paul Logan is the high end fashionable consumer goods company while Manchester Products deals with furniture business. The major issue for PLFD is to analyse the entering strategies in UK markets while the target of the MP is to assess how it should offer its newly acquired products to the customers in terms of branding. The decisions made by MP can affect the business performance of PLFD.

From the analysis of the case, it is clear that both companies Paul Logan and Manchester Products are standing at a position that is extremely crucial. Paul Logan should opt for entering foreign markets by licensing and franchising. The Manchester Products should opt for brand merger for initial three years in order to create awareness in the target market (Terpstra & Sarathy 2001, pp. 23). Paul Logan is highly elastic brand but it should implement the contingency plan described above in case there is any disruption.

Both companies are operating in different businesses and in different markets. It is of key importance for both to monitor and control the business according to the market situation. Consumer insight and market research are the main tools that can help the companies in identifying their priorities and consumers likeliness (Terpstra & Sarathy 2001, pp. 21).

UK Fashion & Home Decor Market

The fashion and home décor products have a major portion of intangible value attached with them. This is measured by assessing the brand equity. Such products are more valuable to consumers and investors. The brand equity of UK fashion and home accessories market is more than £300 million per year. The industry has also converted the country image as the global hub for fashion apparels and accessories (Cambridge 2011, pp. 67). Due to this many people come to visit UK and shop from country's exhibitions and museums. This has significantly boosted the tourism industry of the region.UK is also known for its distinguished and creative designers. It also offers diversity in shopping opportunities. However it also faces many challenges like lack of entrepreneurial training and threat of inability in transferring skills to growing generation (Chakrabortty 2012, pp. 73).

The success of the market can be associated with world class education system. The design and creativity is due to the competitive advantage that UK individuals hold due to quality education. HESA has stated that the overseas students' proportion that comes to UK to study designs has increased only by 5% since 1996 (Chakrabortty 2012, ...