International Business - SME

Executive summary

International business is the modern phenomenon and the source for prosperity of the economies. SMEs have a key role in the economic developments. The chocolate market in European region is high capital intensive, requires development of production facilities for SMEs. The SME can enter in to the UK chocolate market by producing chocolate products which are superior in quality, and according to the taste and preferences of the customers. In UK, the competition from large chocolate producer is high, and the customers show brand loyalty. However, the SME can capture the market through introducing innovative chocolate products (Massingham, 2004, pp.50). Taking example of Cadbury we will be discussing how it has used the process of internationalization and have developed their market internationally in other countries where they were not operating before.

International Business - SME

Introduction

Launching a product or service requires extensive planning and perseverance. Success in developing new product depends heavily on how well the consumers respond to the product. Product development, in turn, rests heavily on how a business shapes its marketing strategy for the product. It is the market response, positive or otherwise, that shows how well the consumers responded to a product, and how willing and likely they are to make repeated purchases of the product. The most crucial task at the product launch is determining when and how the product will be launched. A range of external and internal factors will impact on deciding the timing and mode of product launch. Internal forces impacting this decision include logistics and distribution, a trained group of sellers, and a flexible marketing plan that includes all the necessary elements for the product's success. This paper highlights the product marketing and brand extension strategies for Cadbury, a Nestle product. The product is to target the confectionary market of international market. For the purpose of this paper, the brand is named Cadbury Hard Chocolate. Comprehensive situational and Pestle analyses are used to highlight the core competencies of Nestle and its brand. The paper also discusses the marketing procedures involved in the product launching process for this brand.

Chocolate is extremely famous for the different purposes like giving gifts, cooking, and for individual consumption. Because of its demand small businesses are focusing on rendering the items that are made up of chocolates. In 2010, there were many trends that derived the chocolate industry to grow. One of the trends was product innovation, according to research last year the product innovation in the chocolate industry has increased by 16%. The latest study has shown that females eat more chocolate than males. Around 91% of the females consume the products that are made up of chocolates, and 81% males consume chocolate products. The rise in the disposable incomes and changing of the tastes leads to the growth in the chocolate industry. In the recession period, the sweets and confectionery items remain in growth and high demands. Although, it is a luxury item but it is considered as an affordable ...