Running Head: International Market
Running Head: International Market
Running Head: International Market
[Date]
International Market 2
Table of Contents
Introduction......................................................................................................................................4
Company and Industry Overview....................................................................................................5
TASK 1: MARKETING PLAN......................................................................................................6
1.1 The Value Proposition...........................................................................................................6
1.1.1 Mendelow’s Matrix.........................................................................................................7
1.1.2 Value Chain Analysis..........................................................................................................8
1.2 Key Findings........................................................................................................................10
1.3 Marketing Objectives...........................................................................................................12
1.4 Strategic Marketing Plan......................................................................................................13
1.4.1 Demographics................................................................................................................13
1.4.2 Business Consumer.......................................................................................................13
1.4.3 Geographic Parameters..................................................................................................14
1.4.4 Market Size....................................................................................................................14
1.5 Marketing Tactics................................................................................................................14
1.5.1 Traditional Marketing....................................................................................................14
1.5.2 Digital Marketing..........................................................................................................16
1.6 Ethics, Sustainability and CSR............................................................................................17
1.6.1 Company’s Core Competencies....................................................................................17
1.6.2 Recognise Issues............................................................................................................18
1.6.3 Develop CSR Initiatives................................................................................................18
1.7 Controls, Measurement, Review, Risks and Contingencies................................................18
1.7.1 Critical Success Factors.................................................................................................18
1.7.2 Key Performance Indicator (KPI).................................................................................19
TASK 2.........................................................................................................................................20
Introduction................................................................................................................................20
Critical Assessment of Uppsala Model on PureGym.................................................................20
Conclusion.................................................................................................................................22
References......................................................................................................................................23
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Introduction
Going international or global can be often described in incremental terms as less or more
gradual procedure, initiating with the surged global sourcing or exports, followed through a
transforming into an international posture. In the current global economy, organisations of all
sizes are developing operations in the international markets. These expansion types can offer
numerous advantages, comprising of greater chances for the growth of market and diversification
(Ko et al., 2012). However, in spite of increasing number of the UK organisations that are
expanding abroad, still there are several organisations that have not made the overseas leap.
Majority of the organisations that expand globally go through this process to attain the larger
market, and have a competitive advantage. However, there are other advantages attached to
globalisation, which are; new markets, diversification, access to the new talent, and the
Furthermore, the organisations sometimes decide to expand globally, due to the presence
of a crowded domestic market (Cuadros and Domínguez, 2014). Such as in the case of Pure
Gym, the organisation has decided to move their operations globally because of the crowded and
continued competitive market of the UK. Thus, in this assignment being a marketing consultant,
a proposal needs to be provided for exploring the potential to expand to Brazil. Thus, the
assignment is divided into two main parts, which comprises of a marketing plan and in the
second part a report regarding the relevance and the practical application of “Uppsala Mode”
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needs to be structured. At last, recommendations regarding the market entry of Pure Gym needs
to be provided.
Pure Gym is known as the leading gym operator of the UK, which is offering low-cost or
reasonable facilities of fitness at over 200 sites. The launch of the business took place in the year
2009, by developing a flexible model so that the members could pay at an average of about £20
monthly without any commitment of contract. The organisation is able to position itself as
consumer’s gym-of-choice at the low market end. The Pure Gym focus is a great area for the
work-out. The members would only find the things, which they are probable to utilise and only
Pure Gym offers online booking service and registration that gives the members for 24-
hour access towards the gym without paying for any additional amount. The eternal numbers of
staff are low relatively and all the individual trainers are self-employed (Gym, 2014). According
to the report of 2019 “State of the UK Fitness Industry” reveals that the fitness and health
industry of the UK is enduring to strengthen. There are more than 7000 gyms operating in the
UK, with a total membership of more than 10 million individual and a market-value of
approximately £5 billion. “Greenwich Leisure Ltd (GLL)” and Pure Gym have reinforced their
position as the leading public and private operator of the UK (Williams-Grut, 2018).
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presented to clients by showing what the company relies on, how it works, and why it deserves
its business. This shows why the product or service is better than the opposite offer. The
proposition of value works as a guide for this process (Christopher, Payne and Ballantyne, 2013).
When an organisation evaluates the proposition by demonstrating that the company is the largest
retailer in the region with the most shops and the best range of products, opening stores or
condense why a customer should buy a product or use a service. This announcement, when it
comes to persecution, assures potential customers that certain products or services offered by the
organisation have more value or better solutions for them than with the other identical offerings.
Marketing involves the transfer of value to the organisation’s stakeholders, which includes
In the health and fitness world, there is a different set of target people, or in the market
sense, customers and stakeholders. When we think of the fitness and health industry, some
personas of customers try to reach it. (Cronin-Gilmore, 2012). The personas of customers of the
fitness clubs, such as PureGym encompass the individuals that want to be in good shape/healthy,
those who are trying to lose weight, those who want to train the competition and much more. The
companies involved in developing tech products related to gym, sponsorships, trainers, and the
individuals from abroad that are involved in creating such pieces (Cronin-Gilmore, 2012). In
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general, the stakeholders and consumer personas may remain static at times; depending upon
where the firm is headed, it might change. By going global, there would be a significant impact
over the stakeholders of organisation. The impact can be in a positive way, as the fresh ideas are
adopted by adopting the culture of new target market and getting informed by the practices they
The Mendelows Matrix is a tool that companies can use to take stakeholders' thoughts
into account when starting their business or when setting important goals.
This comprises of the stakeholders that are mostly ignored by the organisation and do not
have too much power. The example of this could be the providers, with whom the organisation
have a little business. The decisions that identify these stakeholders have a little impact over the
operation of organisation. What you need to do here is to make sure that you do not spend the
These stakeholders are very enthusiastic about the business; however, have less control.
They are important in such a case that they are not prevented from thinking about operations that
require more funding and could interfere with the work of the association.. However, such group
offer a "decent" but not easy service, so the stakeholders attains great interest to the organisation
but restricted power. The proposed method is to inform these stakeholders about plans and
Here an individual will discover the stakeholders with great power, who essentially has
the ability to influence what the organisation does, but so far the interest of them in organisations
is quite less. This set is important as the benefits of organisation are also dependent over them.
The model could be government agencies and administrators, large service providers, or even the
This quarter, involves dealing with the stakeholders that have a tremendous impact and
can express their own superiority. These can be the most important customers, the most
identify the ways in which the organisation can attain competitive advantage. A company /
organisation is the selection of different exercises that offer multiple connections. PureGym
cannot replace all exercises on the external market. The value chain method suggests that
companies can view these exercises as sources for economic rent (Kokolakakis, Lera-López and
Castellanos, 2014). These exercises can also be obstacles for newcomers or cause disadvantages
for the competitors. “Porter’s Value Chain Model” is well known in the business world.
However, PureGym should not accept it as a standalone system by emphassing all exercises
equally (Walker, 2014). In the following way the Porter model is applied over the PureGym;
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1.1.2.1 Logistics
Without examining the in-bound and outbound logistics, the PureGym can encounter
various difficulties in the distribution of goods. Transport-related tests require that the
organisation focus on all parts of the switch from raw material to product. Several logging cases
comprises of restore resources, remove data sources, and move resources and components to
start production. PureGym can detect and update outbound shipments to identify out-of-court
resources and achieve business development goals (Mosey and Kirkham, 2017).
In this phase, PureGym presents the advantages and goals of differentiating the products
offered to convince customers that their offer is better than that of the competition. Delivering
the services of training at low cost and with a special focus can only add value if the PureGym
promotes marketing and sales. This is where businesses and advertisers do important business
(Williams-Grut, 2018).
1.1.2.3 Services
management practices. HR's strong employees can enable PureGym to significantly reduce the
competitive pressure focused upon the inspiration, responsibility and desires of their employees
(Greasley, 2013).
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1.1.2.5 Procurement
PureGym should consider taking over exercises to improve the inbound, operating and
outbound areas of value chain. As mentioned above, the use of the Porter value of the model's
chain depends on whether its meaning is the same for everything. Having understood the general
meaning of value chain exercises, PureGym should include areas where it is possible to make an
impact, achieve efficiency, create divisions, or improve processes (Fisk et al., 2018).
SWOT analysis is an important landscaping tool that PureGym trainers can use to
examine their locations. It is an important system for checking the current strengths (S),
weaknesses (W), opportunities (O) and threats (T) of PureGym and for checking the current
operating conditions. PureGym is one of the leading organisations in the industry. The PureGym
maintains its unique status in advertising by carefully examining and reviewing the SWOT tool
(Gym, 2014).
STRENGTHS WEAKNESSES
1. Popular organisation 1. Low price lead
within the health and towards the gyms that
fitness industry of the are crowded, meaning
UK, with the largest utilisation of
chain of gyms equipment can be
2. 24/7 Opening hours, restricted.
with approximately 2. Few facilities offered
over 100 gyms with at the outlets of
this facility organisations.
3. Low cost for
membership.
OPPORTUNITIES (O1 + S3) Focus from the (O3+W1) Puregym is
government for controling currently in the procedure of
obesity in the UK, thus low creating a mobile app,
1. Crisis of Obesity;
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number of outlet.
SMART stands for selective, measurable, accessible, realistic and timely. If it is not possible to
design the business goals and objectives to meet these requirements, then the marketing plan has
a good chance of success at this point. There is a need to understand how to apply the SMART
process to the business objective of PureGym. The goal must be to provide sufficient information
so that those involved can understand which results are appropriate. Solidarity only creates chaos
and leads to poor results. It makes no sense that someone has "more work". Goals without
measurable results are like playing football and not holding the position. Numbers are
fundamental to tracking the progress towards the goal and characterising a normal outcome
(Milana, 2012).
(Kokolakakis, Lera-López and Castellanos, 2014). The evaluation in this project will be done on
annual basis. One way to avoid disappointment is to define goals that no one can reach within a
practical timeframe. Goals are set with relatively characteristic and measurable progress towards
the goal. Thus, the complete expansion of this project is structured in between three years
(Greasley, 2013. The goals must be set considering the current monetary conditions and the
content of the business area. Thus, the goal set for this marketing plan is to internationalise the
operations of PureGym to the market of Brazil, as it is the leading country in the Gym chains
after the USA. Moreover, this country is selected as the labour of Brazil is cheapeer in
comparison with that of USA or any other European country (Christopher, Payne and
Ballantyne, 2013).
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In order to identify the target window, we must divide the market into small parts
(segments) according to the customers and their needs. With this breakdown, organisation can
increase a larger percentage of the entire sector or special advertising. Some customers have
different types of unpaid wages. The amount depends on the price of the product. With the help
of marketing, customers can see normal prices for products (Kokolakakis, Lera-López and
Castellanos, 2014). Accordingly, doing business strengthens the strength of the organisation. The
advertising department usually offers a bid. Customers may be authorised to purchase a product
at a lower product price. Organisations need to convey the sensitivity of the product to the right
observer. If an objective part of the industry gets too big, there is a big risk for this product.
Because they miss some of the key customers and increase shipping costs (Milana, 2012). The
1.4.1 Demographics
Age of the targeted individuals is between 18 and 40 years, with an average income of
approximately 3, 200 £ on yearly basis. As the primary aim of the organisation is to give a low-
cost membership to the customers (Gym, 2014). The targeted audience would be comprising of
This section involves the high-end customers, who would encompass local athletiuc
Most of the consumers would be living within 15 miles of the gym; however, few
customers could be living farther out due to the premium services provided by the organisation,
out of which the top most is the availability 24/7 at a low-cost membership (Greasley, 2013).
The targeted place for the gym is “Copacabana, Rio De Jenario”. There are several
different gym options in the area that is targeted in the Brazil. These include, Bodytech, Smart
Fit, Formula, and many others (Mosey and Kirkham, 2017). However, due to the premium
services provided by PureGym, the organisation is capable to capture the market and attain
whether it's about placing an advertisement on the Internet or a website or page on social
networks, these efforts have worked very well in the last couple of years. In any case, this shift
from center to technology has also led to several organisations neglecting traditional marketing
systems that existed two or three decades ago. Despite the fact that they are old, it doesn't matter
what their concerns are; they are still capable to handle the sales (Gratton and Kokolakakis,
2017).
1.5.1.1 Price
The cost offered in the gym depends on the plan of membership. A satisfactory number
of plans are available at a reasonable price due to their marketing method. It's so great that
everyone who wants to participate has their own participation program. Likewise, the evaluation
1.5.1.2 Promotion
Promotion usually corresponds to market breaks that are filled with potential customers.
Accordingly, the gym focuses specifically on health and fitness magazines, online programs and
paper columns. This ensures that they offer people who are well on the way to finding their
Physical evidence confirms that the stated marketing plan is the best decision. Since Pure
Gym has received good reviews from its customers and no problems have arisen due to a lack of
1.5.1.4 People
So far it has been made clear that market-oriented methods are aimed at people and put
the customer at the center of the business, Pure Gym used this method. And the chapters contain
the most appropriate goals that people have according to their reasoning (Ezrielev, 2018).
1.5.1.5 Product
The product that PureGym offers is service. People are considering (predefined time)
access to various exercises, including treadmills, abseiling and so on. Exercises offered by
1.5.1.6 Process
The process refers to how the product is presented to the customer. As a key feature of an
organisation is the outstanding customer service that employees provide, the freight process can
1.5.1.6 Place
Pure Gym, as mentioned earlier, is located in the United Kingdom, but since then, much
of the management plans and various factors related to geography have impacted the company.
Now that this is completed, more and more statistical numbers are filling in an additional portion
When the workload of the creative workforce, which had the best support of the great
celebrities of the fitness industry and the past, the organisation is full of thoughts and creative
building ideas, unveiling the unusual man himself and at the same time incorporating domestic
television advertising. After reviewing the thoughts on various media, from external
promotions such as boards, slides and digital displays to the PureGym website and printed
materials. The organisation have created an individual and intense style that truly supports the
open and accessible theme that the group is addressing. For daily acceptance, the PureGym
marketing team is supplemented with a selection of pre-made articles with good light in the
heart of digital sources, for example, by focusing on Internet standards (Cuadros and
Domínguez, 2014).
As the e-mail marketing study shows, the number of speculations about other
marketing principles on the Internet, such as online flags and online advertising, has doubled.
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accessing a website, sending links through e-mail messages to the company, gym locator, and a
re-registration button. In relation to links, the e-mail contains 8 links to another page of the
website. Because of these circumstances, 4 of them direct users to a page to set the page for the
user to return to the gym. The rest is a link to their core website and social media, through which
the user knows exactly who the organisation is and what contributions they make (Gym, 2014).
improving the long-term financial, social, and environmental value of the society. There are
answers to the world's difficulties that organisations face in both the general and private spheres.
companies can improve their increasingly conscious corporate culture (Christopher, Payne and
plays a role in the business system - and to show how companies can benefit if they work "great"
in principle and are willing to spend their resources to “Corporate Social Responsibilities
conduct business in an ethical and manageable manner, considering the practical, social and
natural effects of business practices (Evans, 2018). Following are the strategies of PureGym;
Many valuable causes organisations can select for supporting, but without the center and
agreement on what your company is doing, CSR efforts may be less. It is possible that an
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organisation has created functions, research and information in a specific area and supports a
reason that corresponds to this ability and can also be the result of community partners and
online organisations with new customer and sales views (Kokolakakis, Lera-López and
Castellanos, 2014).
supporting and buying products that offer social benefits. As a company scandal uncovered later
in the news shows, customers are also reluctant to use their purchasing power to protect
Important organisations also use CSR projects to secure and develop their greatest
resource, and their representative. 76 percent of 20- to 30-year-olds think about corporate social
and natural responsibility when choosing a job, and 64 percent would not assume this position if
a potential company does not have solid CSR (Christopher, Payne and Ballantyne, 2013).
Regardless of whether an individual work in a sole proprietorship or are just starting out,
a fruitful marketing approach is critical for the progress. However, for marketing to continue, the
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efforts must be consistent in the same way to ensure progress (Christopher, Payne and
Ballantyne, 2013).
1.7.1.1 Budgeting
The market costs can be from very low to very high. So, the customer must decide how
much to spend. Consider the marketing process and spending plan for the test strategy that an
individual implement before starting a business. If he has indivisible expenses, individual need to
1.7.1.2 Targeting
everyone. Make a distinction between what distinguishes an individual from the business and
what does not differentiate them from the competitors and target the marketing tools to those
Marketing can be used for a variety of purposes, including: to grow your business,
provide information, or promote unique opportunities. Think about what the marketing efforts
should accomplish and customise the message in a similar way (Kokolakakis, Lera-López and
Castellanos, 2014).
organisation satisfactorily fulfills important business goals. Organisations use KPIs at various
levels to assess progress toward goals. Higher-level CPIs can focus on overall business
performance, whilst lower-level CPIs can focus on departmental processes such as contracts,
International Market 20
marketing, HR, support, and more. It is considered as one of the most important performance
indicators available. Measure cost eligibility and find the best ways to reduce and solve your
costs (Mosey and Kirkham, 2017). By counting all of the costs for a service that the company
sells, an individual can see signs of an improvement in the brand's actual total sales. This
information is crucial to deciding how to defeat the opposition. Accept claims and isolate them
TASK 2
Introduction
In the business context, the Uppsala mode of internationalisation is considered to be one
of the most applied theories. This model has been extensively used to describe the International
operations of the firm. Uppsala model is also adapted to assess whether the organisation can
access the market successfully. In the field of economics, internationalisation refers to the
method in which the association of organisation in the international market is increased. This
model was developed by Swedish researchers in 1970s who highlighted that most theories
related to international behavior often overlooks cultural aspects of the foreign market. Such
Castellanos, 2014). Therefore, this report aims to critically evaluate the validation of the model
that the firm assess the market environment before entering the International market. According
International Market 21
to Johanson and Vahlne, Uppsala model is a step by step process in which the organisation can
learn and attain knowledge with experiences. Considering this, it can be demonstrated that to
gain knowledge about the cultural aspects of the international market PureGym must initiate the
Through investment, the firm will be able to assess the International process and develop
commitment. However, such process is found to be rather slow and uncertain. It has been
evaluated that uncertainty and commitment are observed to have an association with each other.
High uncertainty can result in reduced commitment in the international market. However,
PureGym can reduce such uncertain factor with gained experiences of investment within the
market due to limitation of risk factors. Such limitation has a positive influence on the
commitment within the International market. In today’s dynamic market, the need for
international relationship and network has become important (Mosey and Kirkham, 2017).
relationship” and “trust building” within this model. Based on these concepts, it is suggested that
PureGym has to identify and create network and relationships within the international market to
develop trust amongst the people. This may be beneficial for PureGym in gaining increased
knowledge about the internationalisation processes from the developed networks and
associations. However, efficient management is required within the working environment of the
firm to accelerate the process of internationalisation into the foreign market (Ko et al., 2012).
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Conclusion
In conclusion, it can be demonstrated that the Uppsala model may become an effective
strategy for PureGym in increasing the internalisation of the firm in the foreign market whilst
gaming enhanced experience and knowledge. It can be predicted that regulating the process of
investment with increased network in the market can assist PureGym in attaining trust and
enhanced knowledge about the International marketing. However, effective management and
decision-making is essential to manage the uncertainty and time associated with such process.
International Market 23
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