Introduction (5%)
• Which foreign country have you selected for your market analysis?
• Give a brief description of your rationale for selecting this country in the first place (e.g.
expected fit with Arla Foods’ objectives, available firm resources, etc.).
2) General Market Attractiveness (20%)
• Market Size & Growth: estimated industry sales for next 3 to 5 years à check whether you
can find more fine-grained data that matches Toms’ product portfolio best; i.e. not only
confectionery in general.
• Competitive Intensity: no. of competitors, strongest competitors (are these domestic or
international firms?), competitors’ pricing/sales promotions (gauge their strategy here: i.e.
aggressive price competition vs. niche/high margin), competitors’ product portfolios
(make a rough check of major competitors’ product portfolio breadth; i.e. how many
different segments do they target/ how do they position their products.
• Geographical Distance & Infrastructure: Physical distance, accessibility (i.e. expected
transport costs), weather conditions.
3) Cultural Constraints (20%)
• Cultural Distance: Are consumers in the foreign market culturally different from Danish
consumers? If yes, in which respects? Is your research reliable?
• Cultural Norms: What does the products mean for these countries’ consumers?
• How likely are consumers in the foreign market to accept Arla Foods’ products? Are
consumers already familiar with this type of product offering or would Toms need to
“educate” them? How much customisation do you think you will need?
4) Economic Constraints (10%)
• Economic Distance: How does the economic situation in the foreign market differ from
the situation in Denmark?
• Are consumers likely to be able to spend much money on products? How large is the
respective share of population that could afford buying lower vs. higher priced.
5) Political/Legal Constraints (10%)
• Administrative Distance: How does the foreign country differ from Denmark with regard to
its political and legal system? (E.g. is the country politically stable for instance with respect
to the acceptability of FDI, is the country likely to introduce additional taxes, are there
trade agreements between Denmark (or the EU) and the foreign country?)
6) SWOT model – Overview (15%)
• Evaluate the secondary data that you have collected in sections and analyse the SWOT.
• Briefly point out major problems and opportunities requiring attention in the marketing mix.
7) Recommendations (10%)
• Given the results of your market audit, would you recommend entering this market?
• Do you see a good fit with Toms’ objectives/strategy?
8) Quality of Research (10%)
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