With the integration of economies through globalization, the world has become a global village. To expand business in global economy is just not a mere option but it has become a necessity for attaining the market leadership and to stay competitive. The global marketing is an important concept that helps organization to make modification in business strategies to adapt to changes in other countries (Globalization on the rise in the modern era, 2011). It further helps business enterprise in gaining global recognition. The global marketing provides opportunities to companies to transfer their offerings and business ideas across national boundaries. In the present report, various aspects of global marketing management will be explained. In this report, market entry strategy for Burberry will be provided. Burberry is a UK based luxury brand that is providing high end fashion apparels, accessories, cosmetics, etc. Further, in this report, with the help of critical analysis, internal competencies and weaknesses of brand will be highlighted.

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1. Explanation regarding competencies of brand and their implication in international expansion

Burberry is an elite fashion brand that is known for providing high end fashion wears. The brand reflects prime quality, outstanding style and elegance in its products. Company is providing its valuable services from more than 150 years; therefore, there is strong brand recognition in the market. Therefore, the key competitive advantage available to Burberry is its powerful brand name and successful image in the market (Globalization - First era of modern globalization: to 1914, 2015). In addition to this aspect, the expertise of brand in digital marketing also serves as competitive advantage to the brand. Company was first to launch new iPhone applications like “Runway to Reality' which enables elite customers to purchase the designer fashion apparels from runway collection instantly (Strategy report on Burberry, 2015). Further, company also possesses competitive benefit in terms of digital innovation like introduction to Burberry Retail Theater. With this aspect, Burberry broadcasts its Spring Summer Collection live show into number of flagship stores that are present in different parts of the world. This further assists company in providing multimedia experience to its customers by live streaming fashion shows using HD (high definition technology) screens, speakers, etc. Therefore, company is able to attract large number of customers. Another competitive benefit available to firm is regarding creative and competent human resources that assist the organization in developing competitive market strategy. Further, Burberry has gained competencies for its trench coats which are famous worldwide.

Furthermore, company can use its competencies to expand in the international market. The global image will make it easy for the brand to attract customers in target foreign country. Thereafter, company can make the best use of its digital technology for entering in the foreign market. For instance, company has recently started digital branch in shopping mall that is located in China. Likewise, firm can open digital branches in foreign countries where it is still not operational (Core competence of digital marketing, 2015). Further, Burberry can expand its global presence by using online media. In this respect, brand can use social networking sites and other media channels like YouTube, Facebook, Twitter, Pinterest, etc. Further, Burberry can offer its products in international market by designing mobile applications for android cell phones. This will help in reaching the products of brand to the target customers. Thereafter, company can enter in the international market by using its core competitive product, trench coats and scarves that showcase outwear heritage of brand and elegance with supreme quality.

2. An analysis of Burberry's internal strengths and weaknesses

By analyzing the strength and weaknesses company will get better understanding of its functioning (Barney and Clark, 2007). Further, it can use its capabilities to overcome its weaknesses. Thereafter, it also enables the brand to take the best advantage of upcoming opportunities. Since, its inception that company is intending to expand its operations by entering into global market; it is feasible for the marketing manager of brand to critically analyze the internal strengtghs and weaknesses of brand. The description of this is as follows:


Strong brand image: Burberry is a well established brand that is providing luxurious apparels since 1856. Further, the brand is known for its royal heritage as its products were also admired by royals like Queen Elizabeth, Prince Charles, etc.

Digital innovation: Burberry is renowned for integrating digital technologies. Company is operating digital branches and flagship stores by giving multimedia experience to customers (Bharwani and Butt, 2012).

Strong business relationship with elite brand: Burberry has strong corporate relationship with elite brands like Apple. Company started its famous applications like Runway to reality through iPad. New digital store was commenced by company in T mall of China that is owned by Alibaba a famous e-commerce company.

International presence: Burberry has more than 500 stores in different foreign countries. Due to international presence, company has gained global recognition. Organization offers its products to both wholesale and retail customers.

Negotiating power with suppliers: Company has strong bargaining power with suppliers which reduce operating cost for the organization (Carney, 2005).

Royal warrant: Burberry has accepted Royal warrant from elite persons like Queen Elizabeth and Prince Charles; therefore, company can use this aspect for marketing its product as elite brand.

Engagement with community: Burberry is able to enhance interpersonal relationship with its target customers by using social media. Therefore, there are large number of fan following in social sites like Facebook, Pinterest, YouTube and Twitter (Hill, 2008).

Focused marketing strategy resulting in brand retention: Burberry believes in focused branding techniques which not only save the cost but also assists in easy brand recalling and retention. In this aspect, company promotes its high end products only through magazines, celebrity endorsement, fashion shows, etc.


Premium prices: The products offered by Burberry are too costly therefore; it cannot be afforded by middle class customers. Company has gained image of costly brand which impacts the sales of low priced products also.

Restricted product line: As compared to other brands of fashion and beauty segment, Burberry has limited product line with having apparels, accessories, etc. (Doh, 2005).

Intense competition with other brands: The sales of Burberry are declining from past few years due to shift of customers to other brands like Gucci, Louis Vuitton, Prada, etc. Therefore, brand is facing intense market rivalry.

3. An analysis regarding external opportunities and threats

Described below is the analysis of various opportunities and threats that Burberry would face while operating in domestic as well as in international country.


Diversification into emerging markets: Burberry can expand in the international market such as Egypt, Thailand, Turkey, etc. where company is not functioning. Further, the competition level in such countries is quiet low which means that firm will have enhanced opportunities.

Changing lifestyle of customers: With the integration of developed and developing economies, demand of fashion outwears and accessories are also increasing in the emerging countries (Czinkota and, 2009).

Expansion in product line: Burberry can expand its product line by adding other types of products and services. This will also give competitive benefit to company in comparison to its rivals.

Increasing demand of high end products: The demand of premium products is witnessing as a hike rate of 33% (Indian market) which states that company has good possibilities if it expands its market share in developing countries.

Sponsorship of Fashion events: Burberry can sponsor more fashion events and other shows that will enhance the popularity of brand (Bharwani and Butt, 2012).


Increasing competition: The market competition for Burberry is increasing from brands like Gucci, Prada, Jimmi Choo, Hermes, etc. that is major threats for the existence of brand.

Fake products: The major threat faced by Burberry is regarding the limitation of brand of its products which can impact their brand equity (Hill, 2008). Therefore, fake products sold in the name of brand can impact the image of Burberry in the market.

Changing taste of customers: The customer’s tastes and preferences changes rapidly which result into short life span of product and offerings would become outdated and remain unsold in the stores.

Furthermore, with the help of PESTEL analysis, the impact of external factors on the operations of company can be illustrated. It is explained a


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