International Marketing Assignment
International Marketing AssignmentName: Jai DhulaniPRN: 15020841023Patanjali – Company Profile Patanjali Ayurveda Limited is a low-key Ayurvedic Indian brand which is the fastest growing FMCG firm in the country, with the widest product portfolio. The company sells over 400 variants of toothpaste, soaps, face-creams and other products. Most of Patanjali products are available at an attractive discount to competition. The company sources products directly from farmers and cuts on middlemen to boost profits. The country I have chosen to study the market potential of is Lithuania The competition is very severe in Lithuania market as it has a lot of big competitors fighting for a higher customer share. With products from a wide array of supplier countries especially in case of cosmetics, beauty and personal care market which is dominated by international and premium brands from the USA, France, Switzerland and Japan, with such products having a well-established brand image in Lithuania due to years of effortless promotions. If Patanjali decides to expand its business to Lithuania, it can be very beneficial for the company as Lithuania is an ideal trial market to launch into European Union nations have similar consumer preferences with Lithuania and have consumption and willingness to try new products.
Country OverviewRegion : Europe & Central AsiaIncome category : High incomePopulation : 2,929,323GNI per capita (US$):15,380Ease of doing Business rank : 21Rankings on Doing Business topics – Lithuania[pic 1]Source: Doing Business 2016Lithuania- Herbal Market Analysis The increasing health and wellness trend in Lithuania has motivated numbers of consumers to switch from standard OTC to herbal/traditional products, which benefits the category in 2015. Herbal/traditional products remain marginally cheaper compared to standard counterparts, which makes them more appealing to price-sensitive consumers. Increasing disposable income has led to the growth of demand for more sophisticated and more expensive products, which also contributes to the development of the category. Herbal/traditional vitamins and dietary supplements, which recorded a decline in value sales, is the main weakness of herbal/traditional products in 2015. Amongst the reasons is that with a change in legislation of vitamins and dietary supplements labelling and approved formulations, some products could not meet the new requirements and had to leave the market.Competitive Landscape Orkla Health UAB is expected to be the leading player in 2015 with a retail value share of 17%. The company offers the Möllers and Gerimax brands, which enjoy strong consumer loyalty and great brand awareness in Lithuania thanks to long-standing presence in the market and funds invested by the company in advertising and marketing activities over the review period. The Möllers brand is highly popular amongst Lithuanians due to its natural structure and high quality, which helped it to become the leading brand in fish oils in Lithuania.