Country Manager is actually a marketing simulation based on international marketing and the issues that rises while marketing is done globally. It also focuses on the market expansion globally . In this marketing simulation software , various teams represent the marketing department of the toothpaste division. The teams have to find the best marketing entry and expansion strategies for their toothpaste brand . This way with the help of CountryManager, students learn the importance of targeting consumer segments and how to best position brands for the chosen segments. Key factors and issues about which students will give in depth knowledge includes market entry, segmentation and targeting, along with the 4Ps . Two scenarios are available for different regions, Latin America or Asia. Let us have a look at the sample report done by the students and how they performed in each period of the simulation .
Country Manager Report
Given below is the downloadable sample report of country manager marketing simulation . The team is representing the AllStar brand and defines market analysis for it .This simulation software enhances the international marketing skills and make us aware about the importance of targeting the right audience .[embeddoc url=”http://studymaterialonline.com/wp-content/uploads/2018/03/Marketing-Simluation.docx” download=”all” viewer=”microsoft”]
Marketing Strategy Simulation
Before entering into any market , the team focuses on all the 4 Ps :
After considering all the above points, the group recommends the following:
Based on macro and micro-economic factors such as Population, GDP, inflation, trade agreements such as NAFTA, MERCOSUR etc. The sequence of market entry will be Brazil, Mexico, Columbia, and Argentina. These markets will be entered in the first four periods, and no other market will be considered for entry.
A manufacturing plant will be built in Brazil, because it is the largest market in the region. The plant will be expanded subsequently, as required by the volume of sales. The number of SKU formulations will be at least 8 for each country. This will depend on the preferences of consumers, as well as existing competitor products.
The benchmarking price strategy is selected as the entry strategy. In subsequent periods, prices of SKUs will be adjusted in response to economic factors. Standardization of prices throughout the entire region will also be implemented.
Advert campaigns will be specifically tailored to the language, culture and preference of each market. The budget for campaigns will also be reviewed every period.
Success of brand and lessons learned
After seven years of business in Latin America, we can say that the Allstar Brand has been successful. Below is the position we have left the Allstar Brand in the region.
Brazil: It was a success because of the population and investment (building a plant).
Mexico: It was a success because our strategies i.e benchmarking worked perfectly in the region. Consumers are more sensitive to price.
Colombia: Cost of goods was too high in the 5th period, so the gross margin was too low, which eventually affected the net contribution. Additionally, the frequent changes in market (information from the industrial news) resulted in Colombia not being a total success.
Argentina: Although, it was the last country we entered, we had an overall good performance including gross margin, net contribution, and COGS, which made it a success.
The lessons we learned are:
Choosing the highest populated countries has the possibilities to be successful in the market. Also not being completely aware of the market environment and industry news affected our decisions substantially.
Benchmarking plays a prominent role while competing with our competitors and it makes the path to learn how to increase the net contribution.
Promotions and advertisements have huge impacts on brand equity, and a standardised allowance is favorable.
It is essential to keep an eye on our manufacturing sales and the plant capacity to prevent excess production.