Duly to reinforce, Grupo Bimbo is a multinational corporation that started its operations in 1945 headquartered in Mexico. This MNC produces baking products such as: bread, cakes, pastry, donuts, tortillas and has added candy to its production line. Further to this, Grupo Bimbo has over 100 baking brands, 129,000 associates, 165 plants, 2.5 sales, and presently located in 22 countries.
In light of this, the international marketing-entry strategy undertook by Grupo Bimbo was acquisition. This has been proven to beneficial for the MNC. Therefore acquiring plants with existing businesses are less costly in setting up operations. In addition, acquisition can be risky due to poor infrastructure and upgrades of improvements that must be implemented …show more content…
Moreover, Grupo Bimbo initiated market penetration. This was a cost saver and an advantageous marketing technique. Thoroughly market penetration is when the product already exists in an existing market. Therefore this MNC capitalised on the branding strategy or localisation branding strategy being low cost for marketing and a money saver to the firm. The highlight of the MNC was the international marketing strategies. Grupo Bimbo embarks upon marketing and distribution channel and therefore applies the buyer behaviour using existing information on the customer. Therefore no new market research is being conducted by the firm saving additional funds. In addition, the market mix was used such as: product, price, place and promotion and was applied on an international level. Additionally, the PLC of most products were at the introductory and growth stages whilst seldom products such as Sara Lee bread was at the maturity stage. In light of this, marketing tactics were discussed, such as the push tactics being highly recommended by the MNC for profits.
Nevertheless the cultural aspect of the Grupo Bimbo was examined using Hofstede five forces. In addition it was noted that Grupo Bimbo exerts the following characteristics such as: individualist, large power distance, strong uncertainty avoidance, masculinity and long term orientation. Furthermore, the IHRM strategy was discussed and employing regiocentric staffing in the MNC and decentralised training to employees. Evidently, Appendix 4 was utilised to display training for staff and Appendix 5 to display salaries and wages rate in each
In light of this, the international marketing-entry strategy undertook by Grupo Bimbo was acquisition. This has been proven to beneficial for the MNC. Therefore acquiring plants with existing businesses are less costly in setting up operations. In addition, acquisition can be risky due to poor infrastructure and upgrades of improvements that must be implemented …show more content…
Moreover, Grupo Bimbo initiated market penetration. This was a cost saver and an advantageous marketing technique. Thoroughly market penetration is when the product already exists in an existing market. Therefore this MNC capitalised on the branding strategy or localisation branding strategy being low cost for marketing and a money saver to the firm. The highlight of the MNC was the international marketing strategies. Grupo Bimbo embarks upon marketing and distribution channel and therefore applies the buyer behaviour using existing information on the customer. Therefore no new market research is being conducted by the firm saving additional funds. In addition, the market mix was used such as: product, price, place and promotion and was applied on an international level. Additionally, the PLC of most products were at the introductory and growth stages whilst seldom products such as Sara Lee bread was at the maturity stage. In light of this, marketing tactics were discussed, such as the push tactics being highly recommended by the MNC for profits.
Nevertheless the cultural aspect of the Grupo Bimbo was examined using Hofstede five forces. In addition it was noted that Grupo Bimbo exerts the following characteristics such as: individualist, large power distance, strong uncertainty avoidance, masculinity and long term orientation. Furthermore, the IHRM strategy was discussed and employing regiocentric staffing in the MNC and decentralised training to employees. Evidently, Appendix 4 was utilised to display training for staff and Appendix 5 to display salaries and wages rate in each