AUSTRALIA-INTERNATIONAL MARKETING

INTERNATIONAL MARKETING

International marketing is the application of marketing principles in more than one country, by companies overseas or across national borders.

Three elements of IM

Identifying Targeting Decision

WAYS TO ENTER

FOREIGN MARKETS

Exporting

FDI

Licensing

Contract Manufact

uring

JOINT VENTU

RE

ADAPTATIONS IN THE IM

STRAIGHT EXTENSION

COMMUNICATION ADAPTATION

PRODUCT ADAPTATION

DUAL ADAPTATION

▪ Australia▪ Rank: 7 (Change from 2007: +4)

Ease of Doing Business Ranking: 92014 FDI Inflows: $115 billion2014 GDP: $1.56 trillion (2.34% of world economy)

▪ Currency-Australian dollar,1 $Aus= Rs.47.93▪ Access to natural resources and an attractive

business environment are the driving forces behind Australia's seventh-place ranking. Foreign investors cited Australia as the third most attractive location for investments in resources.

(Source-Bloomberg.com)

KEY INVESTORS

The Australian Trade Commission (Austrade) is a dedicated government agency that seeks to promote and support productive foreign investment into Australia. The incentives offered take a wide variety of forms including taxable grants, tax relief or the provision of infrastructure services at discounted rates.

Australia has nine FTAs currently in force with New Zealand, Singapore, Thailand, US, Chile, the Association of South East Asian Nations (ASEAN) (with New Zealand), Malaysia, Korea and Japan.

Australia is a strong proponent of trade liberalization. Free Trade Agreements (FTA)'s open up opportunities for Australian exporters and investors to expand their businesses into key overseas markets.

CORPORATE TAX Goods and Services Tax (GST)

Capital Gains Tax

Other business taxes

BALANCE OF TRADE:Statement that shows the difference between country’s exports and it’s imports. It is the largest components of country’s balance of payments. Country has trade deficit when there are more imports than exports and for vice versa it is trade surplus.

BALANCE OF PAYMENT:Statement that summarizes an economy’s transactions with the rest of the world for a specified time period. The balance of payments, also known as balance of international payments, encompasses all transactions between a country’s residents and its non-residents involving goods, services and income; financial claims on and liabilities to the rest of the world; and transfers such as gifts.

Australia reported a trade gap of $3.30 billion in October 2015, an increase of 38 percent from a downwardly revised $2.40 billion deficit in a month earlier and below market expectations. It is the largest deficit since April as exports fell while imports remained unchanged.

Trade practices in Australia:

Why to do business in Australia?

• Ease of doing business index: 10th rank• Continuous economic growth• Low unemployment• Contained inflation• Very low public debt• Strong and stable financial system• Open market with minimal restrictions

McD Evolution in Australia

largest chain of hamburger fast food

restaurants

119 countries

36,000 outlets

68 million customers daily

In 1969, the first man landed on moon and two years later, in 1971, McDonalds landed up in Australia

Founded in 1940

Around two thirds of Macca’s restaurants are run by franchisees

These six countries - Canada, Japan, Germany, Australia, France and England - are known as McDonald's "Big Six" providing about 80 percent of international operating income

“Australia is certainly a testing ground for McDonald’s. If a product is successful here, the chances of replicating that success in other key Western or developed countries are high.” - Julia Illera, a research analyst (Euromonitor International) *Source-(*Bloomberg.com)

1. Owner/operators

2. Suppliers

3. company employees

Conceptualised and launched in Melbourne, Australia in 1993

MCDONALD’S Australia has tripled its digital media budget over the past two years and is experimenting with a series of digital marketing “firsts” as part of its bid to grow sales and remake itself as a fully-connected enterprise.

Their websites are designed to be appealing to teenagers. They are both interactive and informative, and make use of latest design and technology

1. Owner/operators

2. Suppliers

3. company employees

Conceptualised and launched in Melbourne, Australia in 1993

MCDONALD’S Australia has tripled its digital media budget over the past two years and is experimenting with a series of digital marketing “firsts” as part of its bid to grow sales and remake itself as a fully-connected enterprise.

Their websites are designed to be appealing to teenagers. They are both interactive and informative, and make use of latest design and technology

Current No. of employees: Around 65,000Current no of Outlets: 920

Over the years, Macca’s have incorporated a lot of healthier options in their menu keeping in mind the health of the consumers

GLOCALIZED APPROACH OF McD• Australia is McDonald's most innovative market globally.

• McDonald's was modernising but losing some of its magic.

• The architecture and experiences within the store had to contain a sense of fun, intrigue, cleverness and nostalgia, expressed in a modern Australian way.

• They reset how a Macca’s looks from the road and the inside.

• New customisable burger menu called ‘Create Your Taste’

• Use digital kiosks to build their own burger from scratch.

• The menu includes two types of buns, four kinds of cheese, and 19 specialty toppings, such as grilled pineapple, guacamole and beetroot.

• Introduced table service, allowing customers to relax with a drink while they wait for their burger.

McD IN AUSTRALIA

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