Marketing Mangoes and Fish
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Marketing Mangoes and Fish
Mangoes
One of the key principles that can be gathered from the case study is the relationship that exists between the price and the value of a commodity that people attach to it. From this perspective, a study on the preferences of the Japanese shows a similar trend of preference in imported ones. The mango fruit is not native to the Japanese people and culture. As such, to introduce it to the market means introducing it to the palates of the Japanese people. This involved encouraging people through a price incentive. The majority of the mangoes that come to the country are from the Philippines and Mexico (Terpstra et al., 2016).
As such, there is a new avenue for mangoes from Australia. There is a need to note that the Japanese people look for high quality and are willing buyers. To this extent, the Australian fruit was introduced at a high price, which made it become a gifting commodity. Otherwise, lower pricing would mean that it would have been a household commodity.
The ratio of general quality regard to the bona fide volume is the measure of the relationship that exists between the cost incurred to produce the commodity and the offer that the commodity receives from the consumers. The quality is a determinant of the appreciation that an individual gives to a commodity. This develops into the trust that a consumer offers to a commodity. The consumer places their trust in the fact that they will get the same quality every time that they purchase the commodity. The market is also able to frame the sentiments in various ways by the word of mouth and reviews.
One of the key aspects that customers need to survey in Japan is the novelty of the products. For example, the Australian mango is news in the market. As such, there is a need to conduct lots of research from various corners to ensure that there is adequate information. This research should be engaged by the consumers through various perspectives such as trial and error and looking at various reviews from customers in other parts of the world.
There is a need to have a look at the parts of the other countries. Evaluation is an exceptional part of the promotional unit. There is a need to have an evaluation of the choices that should be joined by various parts of the promoting unit to make a single item. To build a high level of esteem, there is a need to observe the targets and competitors. This will enable the establishment of the right conduct. There is also a need to look at the buying power of the segments being targeted in the country.
The market as a nation should be evaluated to determine the administration costs vis-à-vis other international markets. The life-cycle state of the product has to be observed as a factor that is affecting the valuation process. The costs of production will always be high at the initial stages but will decline with an increase in quantity as the economics of scale pick up. In remote markets, there is a need to have a deeper analysis by facilitating the necessary parties. Some of the strategies that can be used include the institutionalization of costs and charging different prices according to the characteristics presented by the market (Prasad, 1997).
Fish
Some of the issues that researchers have tried to resolve to include the factors of export that relate to the quality of the fish. This relates to the Japanese market. One of the key factors is the color of the meat. Consumers will pay a high price for good color meat. As such, there is a need to have no red pigments in the flesh of the tuna. For this, there is a need to have fresh fish.
To add on, the processing and handling of fish have to have to be meticulous to avoid any damage such as bruises. This will provide satisfactory meat by sight or presentation. Another important area that is considered is the weight. The weight has to be within the acceptable limits of the international markets. As such, the weight will also yield the appropriate price that is acceptable to the market.
There was a high economic incentive that was provided by the opportunity. As such, the Australian exporters had to engage in thorough research. However, there were high variations in the prices of the fish from the auctions. The Tokyo fish auction particularly has a high price variation. As such, Australian exporters made a rough conclusion that there was collusion that was taking place at the auction by the Japanese. This collusion was aimed at locking the Australian fish out of the Japanese market. This would mean the Japanese fishing fleet of the Coral Sea would have high market access and lower competition.
The pricing decision is an important part of the marketing unit. As such, other functions of the marketing unit have to include pricing decisions. They are different parts but of the same component. As such, they are still working towards the same target. As such, the price-setting behavior of the competitors has to be determined. This is a strategic approach that looks at having a price that is adequate to compete. This should be accurate across various international markets for better coordination of pricing. As such, an organization can choose to have standardized prices or vary prices across the globe. This is supported by the buying capacity of the consumers.
The pricing strategy is also dependent on the exchange rates of the currencies. The Australian and Japanese Yen have different rates now as compared in 1987. As such, the pricing strategy used at times might not be as accurate. Additionally, the globalization issue has changed various aspects of the operation. As such, there is a need to consider other aspects that include import and export procedures. The expansion to the international markets has to consider some perspectives such as the industry operations, the relevance of the business model to the international market, and have a concrete business plan.
There is a need to have an adequate articulation of the potential markets, the pricing strategies of the import and export market, and the financing streams. The anticipated revenue lines and diversification plans should be outlined clearly.
Other additional costs include marketing and inventory storage at the international market site. Potential partnerships are a core part that has to be considered. Various sales models may work differently, such as the use of electronic commerce versus brick-and-mortar shops. There is a need to analyze all these factors.
References
Terpstra, V., Foley, J., Sarathy, R. (2016). International Marketing, 11th edition, Naper Publishing Group
Prasad, B. (1997). Analysis of pricing strategies for new product introduction. Pricing Strategy And Practice, 5(4), 132-141. DOI:10.1108/09684909710184626