Marketing Plan Boots Company Sri Lanka for Thailand- myassignmenthelp

Question: Discuss about theMarketing Plan Boots Company Sri Lanka for Thailand. Answer: Overview Company overview Boot Company is a pharmacy chain the United Kingdom, Ireland, Norway, Thailand as well as other territories. The parent Company, The Boots Company Plc, merged with the Alliance UniChem in 2006 to form the Alliance Boots. In the year 2007, the Alliance Boots was bought by the Kohiberg Kravis Roberts and Stefano Pessina who took the company to Private, and they were able to move the headquarters to Switzerland (McDonald Wilson, 2016). The company operates over two thousand five hundred stores all across the United Kingdom as well as Ireland which ranges from the local pharmacies to the large health and the beauty stores. The stores of the company are primarily located on the high streets and at the shopping centers. They sells many heath and the beauty products, and they also offers optician and hearing care services within their stores as the standalone practices (Asseraf, Luis Shoham, 2017).. Boots was founded in 1849, by an individual known as John Boot. In 1920, the company was sold to Jesse Boot who was the American united Drug organization, but because of the economic circumstances in the company it was sold back to the British hands in 1933. The grandson of the founder of John Boot who inherited the name Baron Trent from his father headed the organization. The CEO of Boots organization is Elizabeth Fagan for the UK operation. She is responsible for the development of the organization pharmacy led health and the beauty retail business outside UK as well as the Republic of Ireland, Asia and Europe (McDonald Wilson, 2016) . The company has employed more than twelve thousand employees and they are operating more than 4600 retail stores and in this number over 4,450 have the pharmacies. Vision To be the first choice for the pharmacy, health as well as beauty caring for individuals, customers along with the communities everywhere. Mission The passion mission of Boot Company is to provide an upscale choice of the pharmacy, health and beauty care to people, clients and the communities that are across the globe. The company exists so as to attract and maintain the customers. The services provided exceed the expectations of the customers. Goals The goal of Boots Company are as follows; To be the center for the health and the beauty customers. To secure the market leadership in the Sri Lanka. To build on their brands. Leading the development of products that are sustainable. Objectives The following are the objective of the Boots Company; To increase the repeat customers by 7% per quarter. To decrease on the acquisition cost of the customers by 8% per year To build an efficient pull campaign, bringing in new clients at the increased rate of 10% per quarter. Boots Company intends to deliver a new wave of reformulation within the business in the next three months. The organization intends to funds programs which are aimed to tackle real public health issues such as influence health policy more positively. Market trend in Sri Lanka The current trend in Sri Lanka is that they intends to develop the pharma industry and enable various organization to penetrate to the global market since the internal market in the country is not sufficient for a big organization to operate at the optimum levels (Piercy Evans, 2014). This will offer Boot Company a market share since the sector has not been utilized fully by the local companies. Why Boots Company should be launched in Sri Lanka. In Sri Lanka there is a favorable environment for the Boots Company to set up their outlet. According to the data from the central bank of Sri Lanka, there has been a stable financial system in the country which has provided a favorable environment to the depositors and the investors, which has encouraged many financial institutions as well as the markets to enable them to function more effectively as well as efficiently. This will help the country to promote investment and the economic growth. The data from the central bank shows that the banking sector in Sri Lanka that comprise LCBs and LSBs, have dominated the financial system which have played a liquidity to the entire economy. Boots organization will have an access to the liquidity, which will be useful to them to setup the enterprise in the country as well as get payments to the various services, hence facilitate all entities to carry out their financial transactions. In Sri Lanka economy it has expanded to the average rate of 6% over the past five years. There has been notable economic transition and economic transformation from the political reconciliation and the economic transformation that has helped in the strengthening of the long term development and competitiveness. With the economic transition, Boot Company could gained a significant market share when it has been established. The country do not have properly developed pharmaceutical store outlets and this will enable them gain the market share since the sector has not been fully exploited. PESTEL analysis for Sri Lanka Political The changes in the government rules and the regulation in Sri Lanka will affect the management of the activities of Boots Company. In Sri Lanka there might be trade barriers and this would make it difficult for the organization to bring in the raw materials and products from the other countries. Sometime there are politically motivated strikes as well as the labor strike in Sri Lanka which might affect the performance of Boots in Sri Lanka (Jain Haley, 2009). The government has made changes in the tax policies, labor law policy and trade restrictions. There has been streamline in the business startup process in Sri Lanka and there has been a number of the licensing requirements which have been reduced. Economic If there will be economic strength which will be poor in Sri Lanka it will affect greatly the Boot organization in regards to its growth. In the event that the Sri Lanka economy was to suffer from the Inflation or perhaps recession then it would adversely affect Boot organization (Jain Haley, 2009). Sri Lanka labor market lacks efficiency, which has resulted for the imbalance between the labour supply demand. In 2016, the IMF recommended that Sri Lanka government to phase out some of their extensive system of the control of prices and subsidies which distorted various sectors in the economy. With this implementation of these changes it will be easier for Boots Company to be established in Sri Lanka economy. Social Individuals are becoming more informed. There increased in the aging population provides range and threats to the pharmaceutical industry (Meidan, Moutinho Chan, 2015). Technological There is social media for the Healthcare. Boots organization might be able to advantage for the internet through providing online services. Environmental The organization will need to take care of the issue of pollution which might be created from the product or the service produced by the company. Boots need to see how their business and the marketing plans link in with the environmental aspects (Piercy Evans, 2014). It need to be mandatory to reduce the carbon footprint as well as increase the energy efficiency. Legal Boot will need to take care of the food merchandises, industrial training and also take care of the local child labor laws in Sri Lanka. Legal factors which will affect the organization and it legislation will be on the employment, and the health and safety. Others are changes in the government and the trading policies (Piercy Evans, 2014). In Sri Lanka Pharmaceutical industry there are many regulatory and legislative restrictions, which Boot will need to abide. Porters' five force analysis Supplier power Boots Company in Sri Lanka it will have a strong influence on the suppliers. The switching costs of Boots in the industry has decreased. Threats of New entrants There would be less new entrance in Sri Lanka pharmaceutical and beauty industry. Setting up business in Sri Lanka requires a lot of investment. Degree of Rivalry There is continuous improvement of Boots stores as well as their marketing in order to compete. Threats of substitute Boots organization provides a wide range of products so as to lock the customers. The organization provides wide range of products so as to improve their performance. The company will try to look around for the new innovations (Jain Haley, 2009). Competitive Rivalry This factor would likely be a high pressure for Boots Company. Boots Company currently faces competitors from companies such as Tesco, Asda, and Superdrug which offers similar ranges of products. There is also a low customer loyalty in regards to products of one company to another. The company will also encounter a high cost of leaving the market in case they want to leave the Sri Lanka market in the future. SWOT analysis Strength Sri Lanka is a recognized company globally as one of the largest in dealing with pharmaceutical products. This will enable the brand to be accepted by the customers in Sri Lanka. Boots Company operate international therefore to be accepted in Sri Lanka will be easier. As Boot Company are entering in the Sri Lanka market the franchisor will offer them support which will entail the training, setting up the business and how to run it (McDonald Wilson, 2016). Boots Company has been positioned among ease and fastest developing franchises. To grow in Sri Lanka will be ease to grow. Weaknesses There is a high rental costs for the Licences as well as equipment in Sri Lanka. Boots Company will encounter high costs of the training especially to the workers in this new market. There would be high pricing especially to certain products. Some individuals may not afford to buy products (Piercy Evans, 2014). Opportunities Boots Company has various outlets which are driving profits. Boots Company operated 24 hours a day, and this will provide a competitive edge to the other companies (Asseraf, Luis Shoham, 2017). Threats In Sri Lanka there are existing competition from the other pharmaceutical organizations. There is threat of new entrance organization in Sri Lanka which are offering similar products to those of Boots Company (Piercy Evans, 2014). STP strategy Boots Company will utilize the concepts of Segmentation, target and positioning as they consider to enter Sri Lanka market. These aspects will be analyzed as follows; Segmentation The company has identified various segmentation based on the demographic, behavioral, psychographic segmentation. Geographic segmentation When looking at this segmentation Sri Lanka could be divided in various categories depending on the standards of living of individuals, such as urban and the estate. In this segmentation there is comparison of the demand of the local products versus the foreign brand which the organization will produce. Behavioral segmentation The segment examines at the need for the convenience stores which are operating twenty four hours per days. The organization has looked at how the other large firms shows the qualities of the switchers. Psychographic segmentation This segmentation highlights the convenience which plays a significant role especially when the consumers demand lower prices for the other products. Based on the various culture within Sri Lanka various aspects are condemned since they are against their culture. Targeting Boots Company intends to target the customers from the urban and the estate areas. They will also visit the patients and the visitors in the hospital in order to find the kind of the products which they utilize (Asseraf, Luis Shoham, 2017). Positioning. When it comes to positioning there are various aspects which are analyzed such as the quality and the price. When the quality of the product is high the organization intends to increase the price on the products. There are also other products in the market that are low, but the price is also low to match on the needs of these kind of customers (Asseraf, Luis Shoham, 2017). The location selection will be near the hospital in order to attract more customers. Marketing Mix Product Boot Company has been committed in offering innovative products to the customers. They have a portfolio in relation to the product brands which will be offered in Sri Lanka market which will also include beauty, health as well as personal care range (Asseraf, Luis Shoham, 2017). Price The pricing will be designed to be competitive to the other pharmaceutical organizations which are in Sri Lanka so as to offer the organization competitive edge. Place Boots Company will come to Sri Lanka as a Franchise organization which will have different retail stores that will be opened in strategic areas across Sri Lanka especially in the high streets and in shopping malls. The distribution strategy that will be used will be exclusive where the organization will sell their products directly to the client. Advertising and Promotion Boots will spend a massive amount of money when it comes to advertising and promotional activities. There will be advertising in the public places, use of commercial TV, and the use of the social media advertising (Asseraf, Luis Shoham, 2017). Customer services The company will be offering exceeding customer expectations in Sri Lanka which is inclined to the mission of the organization. People In Sri Lanka there is skilled workers. There are many school leavers and undergraduate individuals who are looking for the part time employment. Therefore, for the Boots Company they will have access to the workforce in case they want to hire. Physical evidence Boots Company will have uniqueness in terms of the appearance of the stores, where they will also have a free Wi-Fi facility which will be accessible by all their customers. This will provide a competitive edge over the other rival organization that are in similar business. Process Sri Lanka economy operate 24/7 and many businesses they are operational all throughout. Boots Company will their product mix will be able to satisfy the customers anytime of the day since they will also be operational all throughout. Theoretical models The approach which would be used to achieve these marketing objective use of Ansoff matrix. Figure 1: The diagram highlight Ansoffs Matrix The matrix highlights the current position of Boot Company in the market. Their products which they produce exists in the current market since they utilize this strategy so as to penetrate the market. Budget for marketing plan Control The marketing plan has been structured in a manner which will enable the organization to achieve on their strategic goals that has been set in relation to increase the overall revenue and differentiating on their products and services as those from competitors (Asseraf, Luis Shoham, 2017). This marketing team will ensure that the plan would be implemented to the best of abilities with high accuracy along with efficiency. The control techniques which will be used is the competitors analysis so as to know how the organization product, services as well as marketing strategy compare to the regional, and international competitors. Action plan Boot Company has a strong benefit of product as comparison to the current offering in the market. In order to achieve our objectives the company will provide a unique watch to various designs (Nijssen Frambach, 2013). The current distribution cover 80% of the market. Therefore at this time the company will not expand on the distribution. Boots Company in Sri Lanka will increase the sales force by 30 individuals and add a sales trainer so as to support the market plan. The trainer name is John MacDonald. The company will utilize one million dollars so as to advertise with some of the revenue going to printing the banners and the point of purchase display. The company will use television advertising which will be scheduled three times in a week in the next 6 months of this campaign. Gantt chart The Gantt chart will provide a graphical illustration of a schedule that helps to coordinate marketing plan for establishment of this business. Research in regards to Sri Lanka market Project analysis based on the data gathered. Presentation of the findings Final changes to be made. Final report for implementation of the plan 11th November 2017 30 December 2017. 25th January 2018 14th March 2018 The above Gantt chart shows the schedule of events that will lead to the final project being given. Conclusion Boot Company is undoubtedly the leader in the Pharmaceutical health care and beauty products in UK. Establishing a franchise in Sri Lanka market will enable the organization to increase market share across the globe. This marketing plan sought to carry an analysis of this market and some of the merits the organization will gain. Additionally, the research has provided recommendations which the company could utilize to thrive in the industry. References Asseraf, Y., Luis, L. F., Shoham, A. (2017). The Marketing FlexibilityMarketing Planning Paradox and New Products Performance: An Abstract. In Marketing at the Confluence between Entertainment and Analytics (pp. 1389-1389). Springer, Cham. Jain, S. C., Haley, G. T. (2009). Marketing planning and strategy. Cincinnati South-Western Publishing Company 1985.. McDonald, M., Wilson, H. (2016). Marketing Plans: How to prepare them, how to profit from them. John Wiley Sons. Meidan, A., Moutinho, L., Chan, R. S. (2015). Marketing Effectiveness Index (MEI)-Tool for Strategic Marketing Planning. In Proceedings of the 1992 Academy of Marketing Science (AMS) Annual Conference (pp. 480-485). Springer, Cham. Nijssen, E. J., Frambach, R. T. (2013). Creating customer value through strategic marketing planning: A management approach. Springer Science Business Media. Piercy, N., Evans, M. (2014). Managing marketing information (rle marketing) (Vol. 17). Routledge.