Foreign market analysis

The purpose of this sketch is to design and examine a marketing plan for Bursars in enunciate to internationalist their wrinkle operations by penetrating the Egyptian market. As with the expansion of any business, Bursars would face many challenges In exporting intrinsic gas to Egyptian familys which Is their primary target market. In order to master a smooth entrance to the business environment of Egypt, Bursars would bugger off to seize on a standardized product dodge because of the universal nature and diligence of lifelike gas.Secondly standardization would also benefit the company because the resulting economies of scale would cut back costs and the savings can be reinvested Into the companys promotional strategies. A nonher counseling for Bursars to reduce their costs Is by using the existing distri simplyion vane of natural gas established in Egypt. The company positions Itself In such(prenominal) a way to take advantage of the increased demand for natural gas beca use of rising consumption in Egyptian households.The pricing strategy that best suits Bursars is differentiated pricing, which would effectively hedge risks associated with global shocks to the gas contract and various other policy-making tensions. Given the marketing plan suitable for Bursars, the three year sales and expenses suggest that venturing into Egypt would be profitable for Bursars as well as for Egypt in terms of meeting their energy requirements. 2. 0 Description of Target market 2. Political environment Foreign companies have enjoyed the benefits in terms of incentives that the government provides such as the rights to own lands, equipment and heavy(p) in Egypt for business operations and the right to export from Egypt with away licensing (Hosannas, 2010). The volatile political environment in Egypt may be a barrier to meekness for Bursars but sound marketing strategies may be able to scourge these Issues. 2. 2 Economic Environment Egypt has a breakout of $262. Billion and GAP per capita of $6700 the size of GAP per capita suggests that the use of alternative fuel for domestic purposes may be promote In such an economic environment. Egypt has foreign flip reserves of $1. 7 billion (World Bank, 2014) as of 2014 and stable exchange pass judgment means that any remittances and earnings sent back to Turkey would not be susceptible to many allocations. 2. 3 Cultural Environment conducting business operations. This shared culture and value may actually help Bursars to establish within the business environment of Egypt.The use of natural gas as an alternate fuel which is CEO- friendly may actually be favored in a collectivist society such as Egypt. This would countenance Bursars for promotional purposes swell. 3. 0 Segmentation, Targeting and Positioning 3. 1 Segmentation The gas firmament in Egypt can be segmented into geographic, demographic, cryptographic and behavioral part 3. 1. 1 Geographic Segmentation To reach customers on a broade r level, Bursars has to fix its stations on places where it provide be available too wide amount of traffic and a large number of residential households.Most pack live in the capital, Cairo, the 16th biggest city in the world, where the population 9120000 bulk (Cairo Population 2013). 3. 1. 2 Demographic Segmentation The prices will be the same(p) for all those who use them (households) although price discrimination exists within Egypt which will be elaborated later in the report. For residential purposes like cooking and heating people from all social classes will be sing the product, whereas for function by vehicles, people in the lower and middle class families will be using the product.The upper class can easily suffer to use petrol in their vehicles. Since the country has almost run out of its own supplies of natural gas, the country has no other option but to import. 3. 1. 3 Cryptographic Segmentation The advantages of using natural gas for household are that it is env ironmentally friendly and sound than that of other energy resources. thus the reviews should be good by the environmental protection agencies (Peas) which would aid in the promotional strategies as well.