Foreign Market Analysis: Should Oriflame Enter France?

Any firm selling its products to more than one country is involved in international marketing and should plan its international strategies in an integrated and structured fashion (Majaro, 1982). The decision to go abroad or which foreign market to choose is not always easy. The firm needs a lot of information and research about the foreign market in order to know whether the market is actually attractive or not .

The purpose of this thesis is to develop a theoretical framework to analyze foreign markets and apply it to the French market of direct sales in cosmetics and Oriflame. A qualitative study based on the 5 Cs framework for analyzing foreign markets has been carried out.  Seven focus groups have been conducted in France and Sweden in order to obtain information about and comparability in consumer attitudes towards Oriflame’s marketing mix. Interviews have been conducted…

Contents

1 Introduction
1.1 Preface
1.2 Background
1.3 Problem
1.4 Research Questions
1.5 Purpose
1.6 Limitations
1.7 Definitions
2 Presentation of Oriflame
3 Foundation of the 5 Cs – Analyzing Foreign Markets
3.1 Literature review on analyzing foreign markets
3.2 The 4 Cs
3.3 The 5 Cs
3.4 Why the 5 Cs?
4 The 5 Cs framework
4.1 Company
4.2 Constitution
4.3 Competition
4.4 Customers
4.4.1 Product
4.4.2 Price
4.4.3 Place
4.4.4 Promotion
4.4.5 Adapting or standardizing the marketing mix
4.5 Culture
5 Methodology
5.1 Scientific Approach
5.2 Choice of method
5.3 Method in practice
5.3.1 Focus Groups
5.3.1.1 Sample Selection
5.3.1.2 Preparation
5.3.1.3 Execution
5.3.1.4 Analysis
5.3.1.5 Quality of Data
5.3.2 Interviews
5.3.2.1 Sample Selection
5.3.2.2 Preparation
5.3.2.3 Execution
5.3.2.4 Analysis
5.3.2.5 Quality of data
6 Evaluating the French Market for Oriflame
6.1 Company
6.1.1 Resources
6.2 Constitution
6.2.1 Political
6.2.2 Legal
6.2.2.1 Oriflame Sweden
6.2.2.2 French System
6.2.3 Economical
6.2.4 Technical
6.3 Competition
6.3.1 General Market Characteristics
6.3.2 Competitors
6.3.2.1 Direct Sales Companies
6.3.2.2 Retail Sales of Cosmetics
6.3.3 Distribution Channels
6.4 Customers
6.4.1 Focus groups France
6.4.1.1 15-25
6.4.1.2 26-59
6.4.1.3 60+ 41
6.4.2 Focus groups Sweden
6.4.2.1 15-25
6.4.2.2 26-59
6.4.2.3 60+ 42
6.5 Culture
7 Analyzing the French Market for Oriflame
7.1 Company
7.2 Constitution
7.2.1 Political
7.2.2 Legal
7.2.3 Economical
7.2.4 Technical
7.2.5 Summary
7.3 Competition
7.3.1 Threat of New Entry
7.3.2 Threat of Substitutes
7.3.3 Bargaining power of buyers
7.3.4 Bargaining power of suppliers
7.3.5 Competitive Rivalry
7.3.6 Summary
7.4 Customers
7.4.1 Comparing Buying Behavior
7.4.2 Product
7.4.2.1 Branding
7.4.2.2 Actual product
7.4.2.3 Country-of-origin
7.4.2.4 Standardization vs Adaptation
7.4.3 Price
7.4.4 Place
7.4.5 Promotion
7.4.6 Potential customers
7.4.7 Summary
7.5 Culture
8 Conclusions
9 Managerial Implications
10 Discussion
10.1 Discussion about the 5 Cs framework
10.2 Discussion about the method
10.3 Discussion about the results
10.4 Suggestions for further research
References

Author: Tunbjer, Michael,Jarne, Marion

Source: Jönköping University

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