Global Marketing Strategy. Project Shakti - Essay Example

? Global Marketing Strategy Introduction Every organization in the world of today is started with the objective of making profits unless it is a parastatal. Thus, business organizations will strive to gain and maintain customer loyalty, to obtain a satisfying market share and maintain it. Still, it is undeniable that unless a business is a monopolist, it will have to face competition in the market. As a result, a market will always consist of many business organizations competing for the same customers and the same profit making opportunities. Therefore, it is the duty of the management of the organization to device strategies and mechanisms that it can use to be ahead of its competitors. This is referred to as gaining competitive advantage (Chaston, 2012). In the global markets, an organization faces competition from a variety of organizations. Therefore, the company has to build and sustain its competitive advantage in order to succeed in such an environment. How can Shakti contribute to HLL’s bottom line? It is for this reason of gaining global market competitive advantage that HLL formed project Shakti. Shakti can contribute to HLL’s bottom line by using implementing a number of strategies. One key strategy is the creation of new brands. The Shakti project can come up with new and unique brands in the market to assist in catching the attention of already existing customers (PWC, 2011). In addition, new customers will also be attracted and thus, this will be an easy way of creating customer loyalty for the organization. The management will also have gained competitive advantage since; it will be the only provider of that product in the global market. Therefore, it is highly probable that the price of the product will not be affected by other market prices. Creation of new products should also be accompanied by high quality products and efficiency in production. With high quality products, customers will be able select the organization’s products out of the products of the competitors. This will help HLL in building global competitiveness since it will be a step further as compared to its customers. Use of Price Leadership Strategy Shakti can also achieve HLL objective by using the strategy of price leadership. Instead of being the follower, the organization could focus on always being the price leader. This way, it will be able to set its prices according to its costs of production. Price leadership is a strategy that assists in building competitive advantage since; the organization will be the one setting the prices of the competitors. Therefore, the organization has the advantage of being able to choose the quantity to supply to the market while, the competitors’ supplied quantities are dependent on the supply of the price leader (Hill & Jones, 2012). What economic value is Shakti creating? What social value? Social Values Shakti is creating a lot of economic and social values in the Indian Society through a number of ways. One social value that stands out is the empowerment of women (Rangan & Rajan, 2005). In India, a large number of women are underprivileged and marginalized. Having women being involved in the Shakti project was a way of making women feel needed and of importance to the society. It is thus a way that promotes social values in the society since women are able to hold a place in society. The society also develops since; with men already at work and women now occupied with the Shakti project, there will be no idlers and thus the society will achieve more. Economic Values The Shakti project also comes with a number of economic values; one of the main economic values is the introduction of information technology to the Indian villages (Rangan & Rajan, 2005). In addition, creating the communities portal is a way of enlightening the villagers and introducing them to new ideas and information sources. With access to a wide variety of information, the villagers might also become more innovative thus enhancing the economic value of the village. The villagers can also obtain business ideas from the internet, and thus becoming more industrious. The economic values created can also be discussed from the point of view that involving the women in the business is a way of training them on business issues. This is because; with time the women will be able to make decisions concerning pricing and sales on their own. Discuss how your organization views its global opportunities. My organization views its global opportunities as prospects of getting out of the domestic arena and earning more from the global markets. Therefore, the organization has taken advantage of these opportunities and has started operating in the global markets. What marketing strategy approaches does it follow? The management applies different marketing strategies to help it remain in the global markets and to retain its market share. Some of the strategies applied include; being innovative, using IT in most of its operations to ensure quality and class, and standardization of the workforce. By ensuring that the human capital is well managed and of high standards, the organization can meet the standards of consumers and thus build its overall competitiveness. If it does not currently operate in global markets, should it consider doing so? If my organization had not been in the global market, I would advise it to consider joining the global market since; it will be a way of ensuring favorable competitiveness. The market is also wide and there is a variety of opportunities of being innovative. In addition, in the global market there is a wide range of economies of scale and thus, the organization can grow faster. However, if the organization wanted to enter a foreign market it would still have to consider a number of factors such as the cost of entering the market, the level of competition in the market and the available opportunities of growth. Some levels of competition can be too stiff such that they may lead to the closure of a business. In addition, the cost of entering a foreign market may be too high, requiring a long period before the organization makes profits. How do other topics discussed this week apply to your organization? Other topics discussed this week apply to my organization too because; the organization also seeks to build its global competitiveness. The organization also applied the marketing strategies of ensuring it obtains a wide market share. View the following webcast and think about how it relates to your Team Project and to your own organization. The webcast about building the next generation business leader applies to my organization because; my organization also seeks to employ employees that have a wide range of knowledge. The organization also seeks to employ employees that have increasingly experienced talents. This is because; with experienced employees the organization can maximize on its output and minimize its costs. The organization also seeks well trained employees who apply skills of critical thinking in their work. Leadership skills are also of key importance to the organization since; the employees can be able to assist the organization in making critical decisions about the business. Employees with quality leadership skills also act as security for the future leadership of the organization. References Chaston, I. (2012). Strategy for sustainable competitive advantage: Surviving declining demand and China's global development. New York: Routledge. Hill, C. W., & Jones, G. R. (2012). Strategic management: An integrated approach. Mason, OH: South-Western, Cengage Learning. PWC (2011). Building competitive advantage. PwC: Audit and assurance, consulting and tax services. Retrieved November 19, 2012, from http://www.pwc.com/us/en/corporate-governance/assets/building-a-comp-advantage-CDD-2011.pdf Rangan, V. K., & Rajan, R. (2005). Unilever in India: Hindustan Lever's Project Shaktia: Marketing FMCG to the Rural Consumer. HBSP: Read More