Essays on International Marketing Strategy & Market Segmentation - Telstra Corporation Limited Case Study

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The paper "International Marketing Strategy & Market Segmentation - Telstra Corporation Limited" is a good example of a marketing case study.   Telstra is otherwise known as Telstra Corporation Limited, an Australian based media and Telecommunications Company. The company is based in Australia however in the past, it has made moves to avail its services in different other countries including China, Europe, New Zealand and in some parts of the United States. The company has built a lot of network in Australia and has a large marketing voice. The core services that the company offers include mobile services, internet access, hosting and pay television services.

Its background may be dated back in 1992, when the Overseas Telecommunications Commission, a government body established in 1946, was merged with the Australian Telecommunications Corporation (ATC), Overseas Telecommunications Corporation (AOTC) which short-lived, and was renamed to Telstra Corporation Limited in 1993. The company is introducing its services to a foreign market, ‘ Kenya’ . This paper evaluates the market entry strategy and further adds weight on how market segmentation should be carried out, and further how the international marketing mix is factored into these segments. Evaluation of Market Entry Strategies In order for Telstra to achieve its goals as it enters the Kenyan business world, it is important for the company to select better approaches by which they will effectively enter into the Kenyan market.

As much as there are different modes by which companies enter into new markets. The company can employ the three perceptions of entry strategies as it takes effort to grasp the Kenyan market. These include the Export-based entry, Relationship-Based entry, and Manufacturing based entry.

The extend by which each method will be used will vary with regard to the kind of service that will target specific segments markets in Kenya (Armstrong 2004, pp. 42). In regards to this particular case of Telstra Corporation expanding their business in Kenyan, Export- based entry will be the most appropriate entry method for Telstra Corporation through Direct exporting, establishing a sales office in Kenyan, Licensing and Franchising. It is simply because Export- based entry can achieve a wide range of distribution in the Kenyan market. Indeed, as Telstra Corporation is not just selling a product but telecommunication services, quality control is critical.

Therefore, Export-based entry will be the most effective entry mode as it can get in touch with a wide range of potential customers but also with effective control. Following sub-headings are the major methods of entry to new markets (Kurtz & David 2008, pp. 40). I. Export-based entry. These entry strategies will include direct exporting, licensing, franchising as well as the establishment of a sales office in Kenya in a bid to boost sales where sales coordination will take place in the country. Direct exporting This entails Telstra selling their telecommunication products to either the end-user in Kenyan directly or arranges for firms in Kenyan as a distributor.

In fact, it is one of the most effective ways for a firm to enter a new overseas. Direct exporting will also enable Telstra to have better and more precise control over the conditions under their products are sold. Practically, Telstra can potentially earn a greater profit as they are eliminating intermediaries. (Delaney, 2010) With a result, direct exporting is certainly a sensible way for Telstra Corporation to enter Kenyan’ s telecommunication market.


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