Global Marketing Management and Implications

Question: Discuss about the Global Marketing Management and Implications. Answer: Introduction: Skinjay is an independent French organisation established in 2012. The organisation deals with shower mixers and unique accumulation of aromatic capsules. The SWOT analysis of Skinjay and the implications on the product and the overall business is conducted as follows: Strengths: The company produces high quality products, as each capsule is formulated with necessary oils and raw materials, which are 100% natural. In addition, the formulations are tested to comply with the French regulations by following effective practices of manufacturing (Boutique.skinjay.com 2016). Skinjay uses the most advanced and modern technologies to manufacture its capsules. This is because it could be easily attuned to the shower hose, since the mixer of the organisation is developed on a proprietary technology, which is micro-nebulisation. Skinjay receives support from Rgion le-de-France, Aderly, Cosmetic Valley, Scientipole and many others in France. With the help of such support, it has become easier for the organisation to reach its target customers with greater convenience. Skinjay develops invigorating and fashion forward prints to influence the perceptions of the customers. Such strong visual presence helps in drawing the attention of the consumers, as effective branding elevates a firm or a product from just being a single unit (Design Council 2016). Implications: The invigorating prints of the mixers and capsules have attributed positively to the profitability of the organisation. Greater number of customers has started to place orders in Skinjay, which has helped the organisation in reducing its inventory at a faster rate. Hence, the sales of the organisation have tended to increase largely, which would help Skinjay to increase its presence in the Singapore market. Weaknesses: The product range of Skinjay is very limited, since it produces only mixer showers and aromatic capsules of limited stocks. Hence, the lack of variations in the product line might drive the consumers away towards other businesses in future, which might reduce the product sales and overall profit of Skinjay (Harvard Business Review 2016). Skinjay is a small brand, which has been established in 2012. Hence, the organisation size is small and the products of the organisation could only be catered through limited number of stockists. Since the company has focused on maintaining high quality products by using 100% natural raw materials, the pricing structure of such capsules is extremely high in contrast to the large brand. The cost of production is extremely high due to costly raw materials and oils, which has increased its variable cost and reduce the overall profit margin from each bottle. Implications: Lack of market reputation and higher product prices might turn the customers away to obtain substitute products at cheaper prices from the competitors. However, the loyal customer base would stay with Skinjay in Singapore due to their higher purchasing power. The products could not be delivered to all the consumers in France, which might result in low profit margin of the organisation. Opportunities: Skinjay delivers strong visual identity in the form of spirit of the water inspired by kinetic art and poetry. Such visual display helps in depicting the advantages of the brand new experience to the customers, which would help in generating awareness of the consumers. As a result, Skinjay might be able to develop loyal customer base, which would ensure better business growth in future. Skinjay is a part of the Cosmetic Valley and it is the first centre for the cosmetic global resources with special relations to research, training and technical knowhow. The company is planning to diversify and explore print designs of the capsules, which would help in attracting higher number of customers through improved visual merchandising. Implications: The diversification strategy would increase the demand for the products of the organisation in the market of Singapore, which would ensure stable business growth in future. With the help of such effective management strategy, the organisation could be able to speed up its productivity with the on-board meetings and timely entrance to knowledge (org 2016). Threats: Since Skinjay has high pricing structure compared to other popular brands, there is high probability that the customers might switch away to the other competitors for buying the same at lower and affordable prices. This could act as a major threat for Skinjay in future, since it might negatively influence its business profitability. Weak brand reputation due to lack of product diversification is another significant threat confronting the business operations of Skinjay. This is because the organisation has not focused on diversifying its product range and develops additional stores in Paris for generating additional sales. Since Skinjay is yet on the developing phase, any economic downturn might negatively affect the operating activities of thee organisation. This is another serious threat to the business in terms of future growth and expansion. Implications: Lack of management effectiveness of Skinjay might pose serious threats to the business in future in terms of its revenue generation capacity in Singapore, as the customers tend to avail differentiated products. The customer turnover due to higher pricing structure might limit the organisation to diversify its products, which would result in lower profit margin. References: Boutique.skinjay.com. (2016). [online] Available at: https://boutique.skinjay.com/en/about-us-4 [Accessed 29 Nov. 2016]. Design Council. (2016).The power of branding. [online] Available at: https://www.designcouncil.org.uk/news-opinion/power-branding [Accessed 29 Nov. 2016]. Harvard Business Review. (2016).The Logic of Product-Line Extensions. [online] Available at: https://hbr.org/1994/11/the-logic-of-product-line-extensions [Accessed 29 Nov. 2016]. Kikm.org. (2016).The benefits OF Knowledge Management. [online] Available at: https://www.kikm.org/KM_Benefits.htm [Accessed 6 Dec. 2016].